500 Unit Development near My Farm. How to Profit...

[Omega Woods]

I recently discovered a huge, multi-national land developer bought 200 acres directly across the road from my 17 acre farm (which has lake frontage in the summer time) and is planning to develop the property into 400 to 500 single-family homes. It's not for sure that they will move forward and they haven't filed their plan with the township yet but I'm both concerned and intrigued. The road I live on runs parallel to a state highway and currently has 250 or 300 cars per day. If they put in a development, that'll obviously go up by a factor of 10, to say nothing of the construction traffic for five to ten (or more) years.

So, my wife and I are talking about how to capitalize on this development if it goes forward. We're talking about self-storage, RV park, rental yard, landscape services, light excavation, land clearing, farmer's market, etc. etc.

If they're going to ruin my peace, the least I can do it make bank.

Any thoughts?

 

[paulsharvey]

Boat and RV storage is an excellent idea. Going rates around here is Fenced with lights/camaras: $10/lf/month; covered storage: $15-20/lf/month; and dry rack storage: $25-30/lf/month. For simple fenced/lighted/automatic gates/cameras; you should have limited impervious surface, so limited storm water retention, assuming you wouldn't want asphalt. One of the issues with storage is the "traffic trip generation code" is Way higher then true. I think they figure 1 trip per 'berth' which is Insane. You might generate 1 trip per month per berth; but this is what determines the need for turn lanes; access radius', ect. You would also need to look into land use for your property, or a portion I'd it.

I'm sure this new neighborhood will be HoA or deed restricted; and almost all of them ban boats/RVs.

 

[paulsharvey]

In Florida, boat or RV storage would trip zoning, access permitting, drainage permit, lighting, building, and would require an engineer that does commercial development on a small scale.

 

[Omega Woods]

Boat and RV storage is an excellent idea. Going rates around here is Fenced with lights/camaras: $10/lf/month; covered storage: $15-20/lf/month; and dry rack storage: $25-30/lf/month. For simple fenced/lighted/automatic gates/cameras; you should have limited impervious surface, so limited storm water retention, assuming you wouldn't want asphalt. One of the issues with storage is the "traffic trip generation code" is Way higher then true. I think they figure 1 trip per 'berth' which is Insane. You might generate 1 trip per month per berth; but this is what determines the need for turn lanes; access radius', ect. You would also need to look into land use for your property, or a portion I'd it.

I'm sure this new neighborhood will be HoA or deed restricted; and almost all of them ban boats/RVs.

Very interesting. Thanks for posting the trip generation resources, may come in very handy!

 

[paulsharvey]

Another thought, not really knowing your area, and local demand; would a package "twice the ice" kind of ice vending sell well around you?

 

[workinonit]

Those do well almost anywhere. They are a bit of a pain but worth it in my opinion.

 

[workinonit]

No matter what you do, pretty much anything is going to tie you down to that business.

 

[LittleBill21]

400-500 homes, its easy, starbucks or dunkin donut, if there isn't one within miles, easily a gold mine

 

[workinonit]

Or a Chik. You can't spend the money as fast as you can make it in a Chik franchise.

 

[ddbackhoe]

So, my wife and I are talking about how to capitalize on this development if it goes forward. We're talking about self-storage, RV park, rental yard, landscape services, light excavation, land clearing, farmer's market, etc. etc.

If they're going to ruin my peace, the least I can do it make bank.

Any thoughts?

First thing to work on would be zoning. Are you currently zoned for commercial use? Will the local authority require permits, curb and gutter improvements, inspections and fees?
Throwing down some gravel and calling it an rv/boat park may sound profitable (usually is). a selfserve ice kiosk may be better.

Ice & Water Vending Machines for Sale | Ice House America

IHA ice and water vending machines are durable, customizable, versatile, and can maximize revenue potential.

www.icehouseamerica.com

 

[Eagle1]

Sell after the value goes up and move some place nice.... away from developments.
Only option I would see, no way I could live near that many people. YMMV

 

[RjCorazza]

I personally wouldn't like the idea of people being in and out of my property for RV / Boat storage, but given your location I can see that as a very lucrative business - also worth a premium rate.

I enjoy cutting grass, so that would be a no brainer for me. Get a few homeowners on board, do quality work, and you'll have as much work as you want in no time. I have been declining new mowing work for several years because I insist on remaining solo and it's a retirement hobby for me.

 

[paulsharvey]

I personally wouldn't like the idea of people being in and out of my property for RV / Boat storage, but given your location I can see that as a very lucrative business - also worth a premium rate.

I enjoy cutting grass, so that would be a no brainer for me. Get a few homeowners on board, do quality work, and you'll have as much work as you want in no time. I have been declining new mowing work for several years because I insist on remaining solo and it's a retirement hobby for me.

If boat or RV or Ice, I would look at rezoning just a couple acres on the road, and fence it off; and possibly look at sperating the property from the parent parcel. I would Not just have a field to drop people's crap off in.

Edit: If your zoned Ag, you might want to see what is classified ad agricultural use; its often pretty broad, but I doubt it would cover the options above; but might cover renting lay down yard for tree/lawn care company; or landscape supply.

 

[paulsharvey]

Your county should have a future land use map; and your frontage very well Might be shown as mixed use/low intensity commercial/low intensity industrial; which would make zoning changes easier (assuming this is Ag/Res now).

 

[bigtiller]

If the housing project gets started, try to get your road frontage rezoned to lite commercial and sell it for BIG dollars. Then leave that mess behind you and...

Get out while the gettin's good

 

[Larry Caldwell]

If I wanted to turn my property into a business, I would pick a business that only was open 5 days a week, 8 hours a day. I would want to own it but not run it, as in build a convenience store/restaurant and lease it to someone else to run. A self-storage would require staffing, security, insurance, and you lose access to your 17 acres. I guess you could always develop 200 storage units. At $400/month that's $80,000. Staffing might run you around $50k, and I don't know what the mortgage would cost. Initially you would probably at least break even, and it would probably provide a comfortable retirement.

 

[newbury]

IF it happens.
Some developer bought a a lot of acres north of us just off the Natchez Trace and MS-4. Cleared most of it, put in roads, lakes, and a few scattered for sale signs about 2010.
It's been mowed since then. Have not seen the first house yet.
Could have gotten a crop of pine thinnings off it by now,

 

[Omega Woods]

First thing to work on would be zoning. Are you currently zoned for commercial use? Will the local authority require permits, curb and gutter improvements, inspections and fees?
Throwing down some gravel and calling it an rv/boat park may sound profitable (usually is). a selfserve ice kiosk may be better.

Ice & Water Vending Machines for Sale | Ice House America

IHA ice and water vending machines are durable, customizable, versatile, and can maximize revenue potential.

www.icehouseamerica.com

No reason not to have RV storage and ice on the same site. It's not zoned commercial yet. Our local authority will require some of this but it's not too onerous.

 

[Omega Woods]

IF it happens.
Some developer bought a a lot of acres north of us just off the Natchez Trace and MS-4. Cleared most of it, put in roads, lakes, and a few scattered for sale signs about 2010.
It's been mowed since then. Have not seen the first house yet.
Could have gotten a crop of pine thinnings off it by now,

Yes, I am aware that these deals don't always get built. I'm not going to spend a bunch of money in anticipation of anything, I just want to be ready with a plan if they start swinging hammers.

 

[Omega Woods]

Sell after the value goes up and move some place nice.... away from developments.
Only option I would see, no way I could live near that many people. YMMV

We don't currently live on the property for a variety of reasons. One of my options would be to carve it up and sell it to the same builders as the place across the street.