National Park Service Seeks Proposals For Operating Grand Teton Food And Lodging

The National Park Service recently issued a prospectus seeking proposals for operating lodging, food and beverage service, campgrounds and more in Grand Teton National Park in Wyoming.

The 15-year contract has an effective date of January 1, 2027. Grand Teton, located in northwestern Wyoming a short distance south of Yellowstone National Park, is one of the country’s busiest national parks with just under 4 million visitors projected for 2025.

The contract includes operation of three lodging facilities, three campgrounds, three food-and-beverage facilities, four retail businesses, two service stations, one marina, a guided float trip operation, guided horseback rides in three locations, guest transportation, and a shower and laundry facility. This is a major national park concession that requires an unusually large investment and is forecast to produce substantial annual revenue.

Overall, the Grand Teton concession is forecast by NPS to produce revenues of between $74 million and $82 million in 2027, and between $90 million and $100 million in 2032. The combination of retail and food and beverage is expected to generate a little less in revenues than lodging.

The three lodging facilities included in the contract are Jenny Lake Lodge (37 guest rooms in freestanding and duplex cabins), Jackson Lake Lodge (365 guest rooms in the main hotel and a series of cottages) and Colter Bay Village (167 guest rooms and 66 tent cabins).

The National Park Service projects the lodging facilities will generate between $30 million and $33 million in revenues during 2027, the first year of the contract. Lodging revenue in 2024 amounted to $31 million.

Grand Teton National Park is also home to three other lodging operations: Signal Mountain Lodge, Triangle X Ranch, and Headwaters Lodge and Cabins at Flagg Ranch that are each subject to separate contracts. The latter facility is in John D. Rockefeller National Parkway that connects Grand Teton National Park with the southern entrance to Yellowstone National Park.

The prospectus notes a minimum franchise fee of 12 percent of the concessionaire’s first $60 million in annual revenue plus 16 percent of the next $20 million in revenue and 20 percent of all revenue above $80 million. Based on the midpoint of the revenue estimate for 2027, the franchise payment required of the concessionaire would be (.12 x $60 million) + (.16 x $16 million), or $9.76 million. Interested parties can offer a higher franchise fee than the minimum in an effort to improve their chances of a successful bid.

The concessionaire will also be required to put aside 6.5 percent of annual gross receipts in a Component Renewal Reserve. Funds in the reserve are designed to pay for repair or replacement of real property. The Park Service estimates during the 15-year life of the contract expenditures from this fund will amount to $95 million. The bottom line is the concessionaire will have approximately 80 percent of revenues to cover variable expenses such as wages, energy and cost of goods sold.

A major factor for firms considering whether to bid on the concession is the estimated initial investment of $72 million, over half of which is to pay the leasehold surrender interest (essentially, an investment interest in the concession) of long-term concessionaire, Grand Teton Lodge Company (GTLC) that is currently owned by Vail Resorts Hospitality.

GTLC has operated the concession for several decades, beginning when John D. Rockefeller III built Jackson Lake Lodge in the mid-1950s. During this period the existing concessionaire has inherited and spent considerable funds on long-term assets for which it has acquired what is essentially an equity interest in the concession. A new concessionaire would be required to buy out this interest from the Grand Teton Lodge Company, resulting in the new firm having its own leasehold interest.

The winning bidder is also required to undertake a variety of concession improvement programs with an overall cost of approximately $16.6 million. This includes nearly $7 million for fire protection enhancements in the three lodges and $4.8 million for new employee housing at Jackson Lake Lodge. Other improvements include new RV sites for employees, new RV hookups at Colter Bay Campground, and a new kitchen at one of the dining establishments at Jackson Lake Lodge. The millions of dollars being required in the new contract add up to a big pile of cash.

Interested parties have until 4 p.m. Mountain Time, October 14, 2025, to submit questions via email at [email protected] . Those expecting to submit a proposal must notify Erica Harris at the above email address no later than 4 p.m. Mountain Time on December 16, 2025. Completed proposals are required by 4 p.m. Mountain Time on January 6, 2026. No site visit is will take place. Notifications of changes to the proposal can be requested by providing a name, email address and phone number to [email protected] .

David and Kay Scott live in Valdosta, GA, and are authors of “Complete Guide to the National Park Lodges” (Globe Pequot). Visit them at blog.valdosta.edu/dlscott