Parking (As an Investment)

[Jurollo]

I realize that this might belong in the finance forum. However, the thrust of this forum is so wide and the quality of those that frequent it is such that I feel like this is an ideal home for this discussion.

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I am considering a few ideas for more investing (paid off student loans for those who saw a previous thread) and want to know if anyone has experience with these ideas or any questions which we could, as a community flesh out and answer.

The ideas I am setting fourth are obviously ideal in cramped urban settings (specifically Boston) and could, be a fairly good money maker. The first of these is much smaller in scope, however, I am curious if anyone has experience with either:

A) Deeded Parking as an investment (we shall call this the micro approach, individual, deeded spots)

or...

B) Parking lots (we shall set this forward as the macro approach)

For B, proximity to professional stadiums and public transportation is paramount. Has anyone had experience in either of these venues?
~Justin

[Hellmouth]

Awesome question. Basically real estate without maintenance. Although you do have to hire someone to take the cash.

I am interested as well.

Greg

[durrrr]

i think theres a ton of money in this, and often a lot of missed opportunity (like lots being built dumb which dont maximize spaces etc).

[Hellmouth]

If that is true than maybe it is possible to buy a looser operation off someone and streamline it turning it into winner?

I am always looking for an investment like this that by streamlining the operation, value can be added to a business where no one sees value.

However, it seems like parking lots wouldn't be for sale too often and probably hard to get involved in.

Greg

[El Diablo]

J,

I don't have any personal experience with or knowledge about this, but have some completely useless anecdotal evidence to share.

I've met two guys who own multiple parking lots, one in LA and one in SF. Both of these guys are super rich.

[XXXNoahXXX]

Part of me almost thinks you could make some money (obviously not the same amount) by simply flipping parking spots.


Try checking out parking spots on craiglist. You have to be lightening quick since the cheap ones go fast, but there are often ones priced well below avg. for location

For example, two spots were available on the same street, within 500 feet of each other, one for $100/month, one for $150/month.

The $150 is probably closer to the right price and definitely will go for that (given that its a good location with no on-street parking nearby)

So rent out the $100 spot and sublease it for $150, making a $50/month profit on this one spot, and you literally have to do nothing.



Parking lot obviously is more work for more money, since you need someone to collect the money, but the amounts that people pay for any spots within 2 miles of fenway on game nights is obscene.


Also, when you buy a lot, I expect to receive some sort of a 2+2 discount since my apartment has no deeded spot.

[Jurollo]

Ok. Another huge perk of looking for sites is that you can find contaminated sites listed by the DEP or EPA and basically cap them and use them. You can also get incentives for helping to clean up contaminated land by the government. You don't necessarily need a lot just space, in whatever form that takes. I will be interested to see where this goes. If anyone else wants to talk in a more live setting you can PM me for my aol name. Perhaps some mutual learning could take place.
~Justin

[IronFly]

in my area (macro as you call it) parking lots are being converted into condos since land is so scarce.

[The4Aces]

I think parking is a good investment. Think about what you could do if you had a monopoly on a highly populated area. Charge $20 an hour + for places like malls.

[RiverFenix]

How do you plan on getting into this area? Wouldnt good locations be pretty sought after by established companies?