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Financial Strategy

The "Impenetrable" Economic Model.

Seed Round

$5.25M

Total Capital

$5.25M

Equity / Debt Mix

Break-Even Occ.

24.8%

Vs. 60% Industry Avg

Year 3 NOI

$2.73M

Stabilized Run Rate

OpEx Efficiency

90%

Utility Independence

The Proof: Data Validation

Utility & Ops Comparison

Expense Category Industry Std. The Maker's Stay
Electricity $250/key/mo $0 (Solar)
Water/Sewer $80/key/mo $0 (Well/Bio)
Maintenance High (Aging) Low (New/Modular)
Monthly Utility Cost ~$11,550 ~$500 (Maint.)

Source: STR Hotel Operating Statistics 2024

The Retention Dividend

Metric Industry Std. The Maker's Stay
Annual Turnover 73.8% (Churn) Near-Zero (Optimized)
Cost to Replace $4,000 / hire Minimal
Staff Housing None Included (Community)
Annual Loss -$147,000 Retained Value

Note: "Near-Zero" implies healthy growth, not stagnation. We eliminate churn, not evolution.

Use of Funds

Category Allocation %
Land Acquisition
1,733 Acres (Hogan's Lake)
$2,500,000 47.6%
Phase 1 Development
Infra, Manor Rehab, Initial 8 Units
$2,200,000 41.9%
Operational Buffer
Working Capital (18 Months)
$550,000 10.5%
Total Requirement $5,250,000 100%

Revenue Outlook (Annualized)

1 Year 1: Activation

Guest Lodging
8 Initial Units
$375 ADR @ 40% Occ $438,000
Events & F&B Small Retreats $150,000
Total Year 1 $588,000

2 Year 2: Expansion

Guest Lodging
20 Units Active
$375 ADR @ 50% Occ $1,368,750
Events & F&B Full Calendar $500,000
Total Year 2 $1,868,750

3 Year 3: Stabilization

Guest Lodging
35 Units Full
$375 ADR @ 55% Occ $2,633,000
F&B + Events
Hexadome, Farm-to-Table
~40% of Lodging $1,050,000
Wellness/Spa
The Grotto, Treatments
Ancillary Upsell $550,000
Total Year 3 $4,233,000
Profitability Note With a 90% reduction in utility OpEx and optimized labor retention, our Net Operating Income (NOI) margin targets 65% ($2.75M), significantly outperforming the industry average of 30-40%.

CapEx & Maintenance Reserves

Asset Preservation

Reserve Fund Allocation (Annual) Purpose
Dam Safety Fund $15,000 Inspections, Minor Repairs
Utility Infrastructure $20,000 Solar, Well Pump, Septic
FF&E Reserve 4% of Gross Furniture & Fixtures Replacement

Note: While our turnover savings are significant, we responsibly reallocate a portion of those funds into tangible asset care.

Deferred Maintenance Strategy

The dam is currently rated "Satisfactory." We have allocated $250,000 within the Phase 1 Development budget specifically for upfront fortification to ensure 100-year resilience before opening.

Routine Care: Annual inspections and brush clearing are built into the Grounds & Ag team's operational scope, not outsourced.

The Resilience Model

Premium Justification

We maintain a High-Touch Staffing (1.5+ Staff per Key) ratio. This service level (including DSPs and Guild Masters) justifies an ADR of $450+. Guests pay for the ecosystem, not just the room.

The Retention Dividend

Industry turnover is 70%. We target Near-Zero (Optimized Retention). By eliminating churn, we save estimated $150k+/year in recruitment costs. We value healthy evolution over stagnation, but reject the costly revolving door.

Asymmetric Risk

With a break-even occupancy of just 24.8%, the project is antifragile. We can survive severe market downturns while traditional hotels (needing 60% occupancy) fail. We own the land, the water, and the power.

Competitive Landscape

Metric
Standard STR (Vrbo)
Traditional Luxury
The Maker's Stay
Guest Experience
Isolated.
"Here's the key code."
Formal.
"Yes sir/ma'am."
Immersive.
"Welcome home."
Staff Ratio
None (0:1)
Standard (1:4)
High Touch (1.5 : 1)
Wellness
Maybe a Hot Tub
Generic Spa Menu
The Grotto
(Thermal Circuit)
Community
Zero
Other Guests (Strangers)
The Guild
(Living Culture)

The 10% Community Tithe

We commit 10% of Net Operating Income directly back to the local community (Schools, Arts, & "Forgotten" Neighborhoods). This is not charity; it is a dividend paid to the ecosystem that sustains us.

Projected Annual Impact
~$270,000 / yr

Tax Efficiency

Structured as a direct corporate donation or via a partner non-profit entity to maximize tax efficiency while ensuring local impact transparency.