Posted by GL(ON) on March 04, 2002 at 15:42:42:
I don’t think you can do anything with this particular property but you do bring up an interesting point.
What if you could buy land cheap, acres of it, in the path of urban development and hold it until it becomes part of the city and the value skyrockets?
How about mini storage units? They can be built at low cost on a slab, with minimal plumbing and wiring. But you can get as much rent per square foot as a luxury apartment.
So you buy the land, put up the mini storage buildings, and then rent them out for the next 10 or 20 years. You can make a good living, and pay all your expenses, off the rents alone.
Eventually if someone is willing to pay $500,000 an acre for land you paid $30,000 an acre for, why not? They can bulldoze the storage units and put up a skyscraper if they want.
Here is another one, not quite as good: Mobile home park. There was actually a message on this board a few months back about a mobile home park going cheap in some city in Texas. It was kind of run down but had been there for years, and was now completely surrounded by urban development including a university down the street. I don’t know why it never got bought up for development but it will someday. I never saw a mobile home park in the middle of a city before.