Quote:
Originally Posted by 19Yzerman19
Is this a conservative figure per square foot for a large empty space like this? Like I say I don't know the comm real estate market. Are there areas in the city where you could get it for $6 per sq foot, for example? Not saying you know, but if someone has any experience with it I'm curious. Also worth noting that if you drop it to, say, 50,000 square feet (still a lot), you cut that cost significantly. At $6psf + $2 op cost x 50,000 you're looking at $400k. If some of these variables are in fact variable it becomes a lot more feasible in a hurry, seems to me.
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I would say $10+$2 is as low as you could expect to get. I'm not an industrial space guy, but I think if you wanted a reasonable estimate I'd probably use $12+3.50 per square foot.
Maybe someone with better info could chime in, but I almost guarantee there isn't any empty space anywhere near the city at $6psf.
I was trying to make the numbers in my previous post as good as I thought was reasonably possible, which is why I kept the hours relatively short and the staff numbers/pay relatively low. You'd probably want one 'manager' type person on duty at a higher pay grade.
I'd also be curious about the seasonality of the business. Would you expect to get many customers during the summer, when people can go to COP/mountains?
I hadn't considered rentals, you'd probably need to buy an assortment of bikes to make rentals available, which would increase your upfront cost. Might be able to get a financing deal on them if you're going to buy bikes in bulk.