In Cobb, about 100 miles north of San Francisco, the owner of the town's Yogi Bear park spent nearly $500,000 to upgrade the park's miniature golf course.
At the Flying Flags RV Resort in Buellton, northeast of Santa Barbara, work crews are completing $1.3 million in improvements, including a new fitness center, luxury cabins and upgrades to the campground's RV sites, landscaping and electrical system.
"We think this is going to be a strong market," said Dan Baumann, general manager of the park.
Montana-based Kampgrounds of America, a franchise with nearly 500 campgrounds throughout North America, reported that revenue in 2008 was the second-highest of any year in the last decade. Registration numbers at KOA are up 39% over the last 10 years.
KOA, which began with one roadside campground in Billings, Mont., in 1962, has added 50 new campgrounds across the country in the last two years.
Resort camping has benefited from several trends in the travel and tourism business.
While Americans continue to travel, they are spending much less. According to a survey of 2,200 adults conducted for the U.S. Travel Assn., an industry group, almost two-thirds of Americans plan to take at least one overnight trip during the next six months.
But because of the slumping economy, nearly 85% of those surveyed said they would cut back on spending, according to the February survey.
Hotels have been hit hard by travelers' cost cutting, with the national hotel occupancy rate dropping to 53% in February, a 10% slide from the previous year, and revenue per available room falling 17%, according to Smith Travel Research Inc.
One alternative to hotels -- tent camping at state and national parks and forests -- has been declining for years, perhaps due to a growing aversion among American teens to spending time outdoors, according to several surveys and polls by outdoor equipment manufacturers. Per-capita visits to California state parks dropped nearly 15% in 2007 compared with 1978, according to state figures.
Recreational vehicles -- rolling homes, complete with showers, beds and kitchens -- temporarily filled the lodging demand between hotels and tent camping until gas prices began to soar above $4 a gallon in 2008.
In recent months, lower gas prices have made RV vacations cheaper, but resort camp owners say the hottest trend at the campgrounds are smaller, rolling tent campers that can be towed by a pickup or SUV. Also popular are one- and two-room log cabins that offer some of the amenities of home without the cost of a hotel.
