Renting a small facility? Is it worth it?

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Renting a small facility? Is it worth it?

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    01-30-2012, 10:45 AM
Green Broke
Renting a small facility? Is it worth it?

So I'm pretty convinced that I want to own and operate a boarding facility .. An oppourtunity came up when I saw an ad on craigslist about an 11 stall barn for rent. It is about 30 minutes from my house and here is what the ad states-

11 Stall Barn with secure Tack Room.
Full use of facilities
Indoor/Outdoor rings
Hot/Cold wash Stall
Heated viewing room with frig and microwave
Heated restroom

For $1,000 a month. Which I think is a steal.

The only thing is, there is another barn on the property which they run there business out of...this barn they are wanting to rent is just vacant, so I emailed her and just wanted to get a feel for the situation. She said they have had both professional trainers rent the barn before with there own boarders/clients and they have had private boarders just rent it. Only rules would be that we cannot charge less for board then they do in there barn (which is obviously reasonable) and we would have to apply to there barn rules as well.. I really want to go and check out the place soon but I just wanted to get a feel for what id be up against on here. There Full board is $500 and premium board is $700, and outdoor is $375... so I can easily make my money back to pay for the renting costs but would it be worth it? I think it would be a good learning expierence and get me ready for when I actually have a big facility.

Let me know what you guys think Just please no snarky or rude comments..i didnt post this to get bashed, just want some helpful advice.
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    01-30-2012, 12:19 PM
Green Broke
Doenst sound like a good deal to me. If it was so easy to bring in over 1000 a month why arent they doing it ? Sounds really fishy. Plus having to pay rent on the facility to run as a business, (which in itself is going to have alot more fees) then have someone else make all your rules also sounds fishy.
Does the access to the facility and grounds mean exclusive access ? What about the pasture ? Do you have exclusive use of enough pasture for 11 horses ? Or are suddenly their clients horses going to take priority over yours ?
I wouldnt get into that deal unless there was specific sections of pasture and training areas I had exclusive use of. I also wouldnt agree to anyone setting my fees. You don't list where you live but for 1000 a month you can buy a really nice place that would be all yours. I don't see where yo live but take a piece of land I recently looked at.
It was 25 acres that bordered a national park with 12 miles of riding trails, there was flowing water on sight and it was 45K, 50 K will build you a nice barn, fencing and clear some pasture, and withtodays interest rates your end up with about a $700 a month mortgage.
Wallaby likes this.
    01-30-2012, 12:25 PM
Green Broke
I live in ny where boardig can go upwards of $1,000+ at the big barns. Well the barn is on there property and they aren't using the 11 stall barn. They are using the other barn on the property and we have access to all the amenities. I am goig to check out the place Saturday to see how much pasture they are giving us to work with. Also, I'm not aloud to charge less for rent then they charge because tht would be competing with there prices.
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    01-30-2012, 12:27 PM
Rent is just the beginning.

Manure handling . . .
    01-30-2012, 12:33 PM
Green Broke
Absolutely ^^ I am writing everything down and planning if it is really worth it
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    01-30-2012, 12:40 PM
Green Broke
Your not allowed to make your own fee schedule and rules, reasons don't matter. That's exactly why I wouldnt have anything to do with it. Looks like they are trying to hire a barn manager, and get you to pay them a guaranteed 1k a month. If there were people beating down the doors to fill that barn at the prices they set they would be doing so.
Corporal likes this.
    01-30-2012, 03:53 PM
I say sit down with and write out all of your questions.

Pen and paper in hand - talk to the person who is doing the lease. If possible talk to the previous renters and see why they discontinued.
    01-30-2012, 04:44 PM
LIke in any business, you're going to need to run the $numbers at a "worst case scenerio" ESPECIALLY since we are still in a depression.
ALSO, is there a contract? If so, can you get your attorney to look at it for his/her advice?
I wish you luck in your endeavor to run your own place. If this works, great. If this pans out, there will be something else. =D
I know...I'm old enough now to know. Lol
    01-30-2012, 05:21 PM
I agree with Joe4d. If it was such a good deal, why did the trainers leave? You will incur the expense of having a lawyer read over the contract or partake of drafting one. Think $250 hr. The trouble with owning/running a stable is you wind up doing all the work and it often works out to far less than a downtown job. Will you haul in feed doing all the bull work or have it delivered? Do you have a reliable supplier lined up. Barn help is difficult to hire as so few want to clean stalls or even work. The good ones are already employed.
    01-30-2012, 05:27 PM
Green Broke
I and a few people I know would be doin the work at the barn. My boyfriend would do all repairs and I would go to the feed store and pick up anything I need there myself
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