Investment firm Monarch Alternative Capital has formed Go Outdoors, a platform to acquire, develop, and operate marinas and RV resorts across the United States. Monarch launched the platform with the recapitalization of two large-scale portfolios and partnered with Safe Harbor Development, an experienced owner-operator of recreational developments, to manage the existing portfolios and help grow the platform through acquisitions and development. Monarch believes these sectors are historically overlooked real estate asset classes which benefit from attractive growth tailwinds and are in the early stages of institutionalization.
The platform will initially comprise 11 marinas and four RV resorts, including more than 5,500 marina slips and more than 500 RV pads located throughout Georgia, New York, Pennsylvania and Tennessee. These institutional-quality properties offer upscale services and amenities for their guests.
A strict regulatory environment, scarcity of available land, and the capital intensity of new developments result in high barriers to entry, limiting the supply of new marinas and RV resorts. Additionally, shifting consumer preferences toward leisure experiences, as exhibited by higher levels of recreational boat registrations, boating participation, and RV ownership, have led to increasing demand for docking, storage, and RV pad rentals. The creation of a sizable institutional platform will provide operating capabilities, benefits of scale, and long-term capital to acquire additional properties throughout the United States and capitalize on a highly fragmented market.
“The launch of our marina and RV platform comes at a dynamic time for the industry given the attractive supply-demand fundamentals and increasing industry consolidation. We are excited to be partnering with Safe Harbor Development, who we believe is a best-in-class operator and pioneer within both the marina and RV resort spaces and will help us achieve our growth and execution objectives,” said Ian Glastein, managing principal and co-head of real estate at Monarch. “We believe our asset management expertise and access to capital will support the continued success of the platform and favorably position us to capitalize on this unique opportunity set.”
