With small and mid-size resorts around the world facing similar problems of both rising operating and labor costs and what are often oversaturated markets, many have ended up having to file for bankruptcy in the last year.
These include German hotel chain Revo Hospitality Group and two branches of the Canadian luxury resort chain Fairmont: the Fairmont Breakers hotel in California’s Long Beach and the Fairmont Château Montebello in Québec.
By March 2026, two Miami beach resorts also filed for Chapter 11 protection within a few weeks of each other. Prior to the filing in the bankruptcy court in the Southern District of Florida, the beleaguered The Sixty Sixty Resort was hit by a $23.67 million foreclosure judgment against investment company De Paz Family Investment LLC over unpaid mortgage payments and fees.
Frio Country Resort and Frio Fest file for Chapter 11 bankruptcy in Texas
The latest in the industry to file for Chapter 11 protection is the parent company behind Frio Country Resort and Frio Fest camping and RV site. Opened in 1981 in Uvalde County in Texas, FCR Partners LP operated more than 30 acres along the Frio River on which guests could rent cabins, lodges and holiday homes.
The southcentral region of the state known as Texas Hill Country is known for its rolling hill and lake panoramas and many national parks; during multiple times of the year, it also sees regular wildflower blooms that bring in large numbers of tourists. The bankruptcy filing comes at the same time as the start of peak tourism season in late spring.
As first reported by the San Antonio Press, FCR Partners LP filed for Chapter 11 protection in the U.S. Bankruptcy Court for the Western District of Texas on April 6. In the filing, it listed between $10 million and $50 million in assets and between $1 million and $10 million in liabilities owed to fewer than 50 creditors.
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As resort promises to stay open, many others file for bankruptcy
With the debt owed significantly lower than the company’s total assets, the resort’s promises to stay operational without impact to guests ring more likely than other hotels and resorts which ended up in the same fate over similar problems of rising operational costs and interest rates on top of a fluctuating labor market.
That said, the bankruptcy filing comes after one of the Arkansas creditors sought to initiate foreclosure against FCR Partners over mounting debt; the bankruptcy case would halt any action as the company presents a reorganization plan.
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“This restructuring is a strategic step that positions the resort for future stability and growth,” FCR Partners President Jamie Vaden Holmes said in a statement. “With its strong brand, loyal customer base and irreplaceable riverfront location, the resort is well‑prepared to emerge from this process stronger, more efficient and ready to thrive as conditions improve.”
Vaden Holmes further said that the resorts’ and parent company’s “current cash flow projections on existing bookings are sufficient to meet the needs of our operations.”
Related: Another travel company files for bankruptcy, cancels all trips
