Interstate Billboard, Commercial V/L
just bought an option to purchase commercially zoned 220x100ft v/l adjacent to my 80x100ft v/l.
the billboard sits on the optioned property and has had a lease agreement in effect for more than 20 years. current 7 year lease started Feb 1 1999 with annual payments of 11k and is coming up on the final year of the 7 year lease totalling 14k for the year.
lease is auto renewable for 5 years if not cancelled within 60 days of close of 7 year lease,with annual auto-renews after that.
all vacant land is zoned commercial, large shopping center, mini malls, gas stations and fast food all within sight.
property is on frontage road of I-75 with very high traffic count.
no other available billboard sites in this area, straight from the man responsible for putting them up for the largest outdoor advertising co.
considering strong arming the billboard co. during final 60 days to increase lease payments and/or offering the billboard site to other advertisers, based on its excellent location.
this property can stay leased to billboard co. or combine with laundromat, car wash etc to increase income.
i'd like to keep property for income, and future possibilities for 300 ft of frontage on I-75. would also sell currently under the right circumstances.
ideally , i'd like to borrow 300k against entire property (optioned land and my own) , using proceeds to purchase optioned land and put a couple bucks in my pocket for the next deal.
20+ year payment history, can put monthly payments into escrow if necessary for the right borrowing terms.
looking for money and or thoughts from anyone here...
just got zoning approval for an inside self storage facility, conditional upon site plan approval. no set backs for building on these lots so I am having site plans drawn up for 15-25 thousand sq ft of climate controlled storage, while still keeping the billboard income.
metro detroit storage facilities are getting around 1 per sq ft/mo, and this property has direct interstate access and very few competitors within 5 miles.
looking for someone to lease the entire storage facility, providing some excellent opportunities for both active and passive situations, would be happy to work with someone to create significant short term tax losses with the upside potential of up to 25k sq ft rented at $12/yr.