Posted by ray@lcorn on February 02, 2001 at 17:52:35:
You can get some additional comment of the “been there done that” variety over on the commercial forum. We have many past discussion threads still on the board about businesses and real estate. You can either access the board from the menu at the top left of this page (under Interaction, at “Commercial REI Group”.) Or use this link
A bar (or restaurant… the two are kissing cousins) would be the last venture I would go into if looking for good commercial investment, but that’s just me… unless you’re just feeling adventurous and want some excitement in your life! I’ve had one bar, and been the landlord for another. Regardless of who runs them, they are very hands-on properties.
If it makes sense as a real estate investment without your running the businesses, and assuming that you do have a tenant and not just projecting one, with real lease dollars, then the deal may be worth looking at. Always plan your exit from a deal as carefully as you plan your entrance into a deal, preferrably at the same time. Not too cool to get a property bought and then wake up a year later wondering how the hell to get rid of it.
Especially important is the neighborhood… I would want to see the potential for another use if needed. Zoning is a priority consideration in evaluating the possible exit options for the property.
Hope to see you on the commercial forum!