This abandoned train car turned Airbnb brings in up to $110,000/year

In 2020, Isaac French, 27, and his family purchased an abandoned wagon from a neighbor’s farm in Deary, Idaho. They only paid $3,000.

Wagon number 306 was built in the 1900s and originally operated on the Washington Idaho & Montana Railway from 1909 until the 1950s. When the family got their hands on it, the wood was rotting, algae was growing, and about 20 cats were living there. inside, French tells CNBC Make It.

″[My dad] “He had faith and vision and I’m very happy he did it,” he says. “There is something so rewarding about taking an old structure that was built with so much love and bringing it back to life.”

The family took out a $150,000 loan, including $3,000 to purchase the wagon and $10,000 to move the 61-foot-long structure onto their 145-acre property.

“It’s just a beautiful, isolated place in nature,” French says. “We chose the highest point on our property so we could capture these epic views.”

French and his family spent the remainder of the loan, $137,000, and six months renovating the structure with the goal of turning it into an Airbnb.

“I believe today’s travelers are looking for experiences and want to have a story. The richer the story you can tell through a stay, through a property, the better the experience will be,” he says .

The French family didn’t put the wagon up for sale on Airbnb just because they wanted to make money, but because it was a passion project.

“We just thought it was the right thing to do. It’s what we’re passionate about and we think it’s going to excite other people as well,” French said.

The renovation included transforming the former passenger lounge into a lounge area and the mailroom into a bedroom. “Our guests love it,” French says.

“They wake up in the morning and look directly at these beautiful panoramic views of the countryside. It’s a truly epic place to sleep.”

They also added a kitchenette with a gas stove and a bathroom, and renovated the floors and furniture.

Guests also have access to a mirrored sauna, hot tub and fire pit right on the grounds.

“The idea is to reflect the surrounding nature,” explains French. “Since we had these beautiful pine trees and this spectacular view, we thought it would be a cool juxtaposition of old and new.”

When the French opened reservations on Airbnb, the success was immediate. From the first week, the restored train car from 1909 had been full for several months. Stays range from $325 to $350 per night.

“I think all of our dreams were exceeded because of the reception to this movie and how much fun it was for us to do it as a family,” French said. “It was rewarding to see all that hard work and investment validated so quickly.”

In its first year, the wagon had a 90% occupancy rate and $14,179 in sales. Since then, earnings have increased to between $75,000 and $110,000 a year, according to documents reviewed by CNBC Make It.

In 2024, the wagon generated $110,172 in revenue through Airbnb and was booked for 140 nights on the platform.

It has a profit margin of around 65%, with 30-35% of overall revenue going towards cleaning costs, small routine maintenance and repairs, property taxes and insurance.

In addition to Airbnb, French and his family are taking reservations for the wagon online. “We can have more of a relationship with the guests,” French says. “With Airbnb, it feels more like a transaction, whereas [the direct booking] allows for more relationships we can build.

Despite the popularity, the French say they don’t plan to increase the price per night anytime soon. They find it enriching to welcome people from all over who want to experience a piece of history.

“Our best hosting experience has been the thanks that almost every other guest sends us for taking care of this piece of history,” French’s father, Webb, told CNBC Make It.

With the income from the wagon, French says he recently paid off the loan he took out to finance the wagon project.

Instead of paying themselves, the family invests the money into the wagon and the overall customer experience. “It’s hard to overestimate how hungry the general public is for unique, story-driven stays, and dining screenings are one of the best ways to do that,” French says.

“Even if you don’t have experience in catering or hospitality, if you have the passion to welcome other people, to delight them, to surprise them, then you can create one because that’s what it is. ‘hospitality.”

French’s best advice for those looking to emulate what he and his family have done with this rental property is to open their eyes and make connections: “There’s a lot of opportunity right under the people they don’t even realize because they always went there and thought outside the box.”

He says to “talk to your neighbor.” Your neighbor may be the person to partner with if you don’t have the money or don’t have the experience that they might have.”

Although the 1909 train car was a pretty unique find for the family, French advises never knowing what’s out there and what you might feel creatively drawn to: “How many old buildings and old stories and old wagons are out there waiting to be discovered and loved?

“I think that’s the key,” he says. “It takes a little love and inspiration to take part in a project like this and breathe new life into it.”

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