When it comes to buying a ranch, there are almost endless choices. One increasingly popular type of property is a shared amenity ranch. These special ranch types share specific amenities or responsibilities with a group. The result pools your risk and lets your investment go further. But are these ranches a good idea? We’ll let’s dive in and learn all about shared amenity ranches.
The Concept of Value-Buying
The concept of value buying has been around for ages. Essentially it boils down to getting the most for your money. Shared amenity ranches let you pool your money for more land. With more land comes more amenities. The responsibility is usually spelled out in a no-bogus HOA that describes the shared amenities in-depth.
This concept took on fast in expensive mountain communities where public land ownership far outweighs private communities. Think iconic places such as Jackson Hole, Steamboat Springs, and even Crested Butte.
With shared amenities, a small group goes in on a specific property or uses parcels to divvy up most private land with shared, private amenities. We’ll dive into the details in just a minute, but the concept remains the same. Pay less and get more.
What are Shared Amenities?
Okay, so the phrase “shared amenities” might not need much description since the concept is pretty simple. Shared amenities refer to communally owned aspects of a ranch. Essentially, these features have multiple owners or shared ownership. A lot of ranches for sale in the west feature shared amenities.
There are three main types of shared amenity ranches that can commonly be found throughout the American West. However, as with anything, if you plan on going into a multi-ownership deal, you’ll want to make sure you have all of your terms and responsibilities properly discussed and explained in all paperwork.
Today, we’ll keep things simple and describe the three types of shared amenity ranches. Each style of shared amenity ranch has it’s own pluses and minuses, so be sure to look carefully before you buy.
One of the most popular types of shared amenity ranches and one you might be most familiar with are exclusive communities. For example, a ranch might have multiple parcels of private land for sale with exclusive community benefits. For example, you might own a ranch house on several acres of private land that you exclusively own, but surrounding it is other shareholders like you.
Within these communities, you’ll find luxury-level options such as fishing leases, overnight cabins deeply nestled in the shared land amenity, dining experiences, even private airstrips. These communities operate on ranch luxury, close community, and exclusivity.
Essentially, your money goes towards your own private parcel plus the upkeep and management of public spaces. Existing infrastructures and luxury-level amenities are included.
Shared Ranch Operations
This model of shared amenity ranch typically operates more on an income-producing concept. If you want to ranch your land for profit, but you don’t have the bandwidth, allowing people to share the amenities of ranching your land is an excellent choice.
Typically, there is one owner who resides on the property, while the shared agricultural duties, responsibilities, and ownership are parceled out to the surrounding areas. This allows individuals to pool together resources such as equipment, management skills, and labor to create income on their ranch property. Typically, this is in the form of traditional ranching and farming, while the other model of shared amenities focuses more on recreation and leisure.
Private Sporting Clubs
The third type of shared amenity ranch focuses more on hunting and fishing. These ranches share collective sporting rights. Private sporting clubs have parcels of land that you hold deeded ownership of, however, your ability to build on these sites may vary. You’ll be able to hunt and fish on the land, but you’re also responsible for proper land management as a group.
There are sometimes shared accommodation or you own the right to build a living structure. Community amenities include a large swatch of land and waterways for sport, guide staff, chefs, social gatherings, and more. These are different than sporting clubs in that you have some type of deed that grants you partial ownership of the land.
Are Shared Amenity Ranches a Good Thing?
It depends. If you don’t have the budget or bandwidth to own a large ranch in the west, then shared amenity ranches are an excellent option to still get what you want without breaking the bank.
However, with any ranching community, fitting in and aligning with the ranch is essential. Be sure to do plenty of research, have sit-downs with other owners, and spend time on the property before deciding to buy-in.
The biggest drawback to shared amenity ranches is that you do not hold all the control over your land. You’re often subject to HOA rules and regulations, along with group decision making. It’s unrealistic to think that every decision made in a shared amenity ranch is going to be in your favor. You’ll trade value sharing for autonomy and that takes a minute to understand.
With a proper understanding of your wants and needs along with a good fit, shared amenity ranches work well for a variety of people. It’s a great way to build and embed yourself within a community that values the same things you do.
Find Your Dream Ranch Today!
Here at Harrigan Land Co, we’ve spent decades living that ranch life. We are embedded in ranch culture and value into our everyday lives. As such, we are experts at buying and selling ranches all over the American West. Let us find your dream ranch today. Contact us to learn more about how our unique ranch real estate experience can help you make your homestead dreams a reality.