$1M Cliffside Hotel (full breakdown inside)

February 25th, 2025

read time <4 minutes

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Good morning (and please excuse my lateness)!

For the past year, I've had burning questions about a crazy property I saw on Instagram.

Today, thanks to an interview with cofounder Nardo and some initial research from my friend Manu, I bring you the story of OVO Patagonia—one of most audacious "hotels" I've ever seen.

Be sure to stick around to the end, because I've got some key takeaways to share with you.

the place

Imagine spending $1,600 a night in a glass pod suspended 1,000 feet above a valley floor, with one of Earth's most stunning peaks towering before you.

Nestled at the base of Fitz Roy (immortalized in Patagonia's logo) near Argentina's southern tip and only a few hundred miles from Antarctica, this location is truly iconic.

About 100,000 adventurers visit this region annually, basing their explorations from the nearby village of El Chaltén (population 1,600).

A few years back, the owners of this 20,000 acre sheep and cattle ranch—Estancia Bonanza—decided to diversify into low-impact tourism. They developed a range of outdoor experiences, including wilderness horseback riding, via ferrata, mountain biking, rock climbing, and trekking.

And then came the question of lodging.

the visionaries

Enter Nardo and Luis—two young dreamers with backgrounds in highline (high-altitude balancing) and a passion for untapped niches. Their unlikely partnership with the ranch birthed OVO Patagonia.

Over three years, they collaborated with a team of architects, engineers, surveyors, geomechanics experts, riggers, mountain athletes, and rescuers to design and build four 200-square-foot pods in a Buenos Aires warehouse.

These pods were then trucked 1,400 miles through rugged terrain, crossing rivers and mountains to reach the property.

Their installation was as breathtaking as the location itself: a meticulously engineered three-stage elevator system transferred each pod safely to its cliffside perch, even when temperatures plunged to 10ºF and winds blasted the cliff at 70 mph.

The safety system features two independent tensile structures, 9 anchor points each (tested to 35 tons), and a 126× safety margin. Seems pretty safe (but my stomach still sinks).

the experience

OVO Patagonia opened its doors in December.

The adventure begins at the main lodge. Guests drop off their luggage and pack only essentials. Guided by a mountain expert, they hike through a native forest and traverse a via ferrata along the cliff face to reach their suspended sanctuary.

Each pod features three levels:

Arrival Level: A cozy space with a telescope for stargazing, a bathroom, and sitting area.
Upper Level: A queen-size bed with unobstructed Fitz Roy views—and a secret door with a hidden passage below.
Lower Level: A netted bed offers thrilling views of the sheer mountain wall and a 1,000 foot drop.

Each pod is also equipped with full curtains, satellite WiFi, and runs on solar panels with battery backup. Water comes from a mountain spring and is stored in a 12-liter tank, while waste flows through a biodigester that safely returns it back to nature.

the numbers

Seasonality: The hotel is open only during the Argentine summer (December—April) and is projected to hit 85% occupancy for the season!
Construction costs: Estimated at approximately $130k/pod, totaling around $560k. The owner declined to give these exactly, but these are well-educated estimates.
Rates and revenue: Nightly rates average $1,600—complete with chef-prepared gourmet dinner and breakfast—delivered. A separate lunch experience is available for $420. With 80% occupancy, these four pods should generate roughly $1M per season.
Social media: Building plenty of hype before they actually opened, they’ve already amassed 106k Instagram followers.

key takeaways

A few insights from the OVO Patagonia story:

Breaking the rules: Sometimes it's quite alright to build in the middle of nowhere if it creates a truly unique experience. Travis Chambers built OutpostX in the middle of the Utah desert, which consistently goes viral, and has sold out a year in advance. Many of Kristie Wolfe's stays are also this way, or our restored train car in the middle of nowhere Idaho. "Build it [if it's incredibly unique and has the potential to go viral] and they'll come."
Seasonality doesn't always matter: Seasonality matters less the more unique your experience is. Being open 5 months of the year is no setback for this property. My friend Eddie restored an old ironworkers camp in Maine and, because of both demand decrease and utilities needing to be winterized, he shuts down for half the year. His unit economics are still wonderful because the summer is so good.
Build on someone else's land: Nardo & Luis partnered with the ranch on a revenue share model. This is a great approach for first-timers or projects in exclusive locations. My friend Nick from Post Outdoors is structuring similar deals with landowners across North America. The landowners prepare the site and manage things on the ground. He provides the structures, furnishings, marketing, etc. They split 50/50 most of the time. OOD is pursuing a comparable strategy.

Hope you enjoyed today's story! It's the blend of bold vision, ingenuity, and one-of-a-kind hospitality that lights me up (even if I'm still a bit undecided as to whether I'd actually stay in one of these things:).

Would you?

—Isaac

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