You can run the numbers on a hospitality real estate opportunity in a busy desert community. The costs for the land, utilities, construction or renovation, and the other details each pencil out in your favor. Those involved from the seller to the municipality to contractors meet or exceed expectations.
I'll bet you never thought about the water supply. Wait. What?
The below linked article reminds us all why researching a real estate or business opportunity needs to be more than 'running the numbers'. The water supply is never a business consideration, but here is an instance where a water crisis is forcing multiple hotels and resorts to close. There is no timetable for possible returns because it is out of the control of the owners of these properties. Results include significant revenue losses and the horrendous impact on employees and vendors.
Although you can't predict such a crisis ahead of time, becoming aware of this type of information could (and should) impact future decisions. There needs to be the "What could go wrong?" column on an analysis of an opportunity. What would it cost to hire large trucks to bring in tons of spring water containers from the nearest big city?
Weighing that cost against having to close could be a difference maker. Or, it could further justify the move to close to the investors. Either way, your findings would demonstrate your ability to make solid decisions based on more information than your competition has. My team and I are poised to make you "first in" on your next (or current) opportunity.
Posts
No comments:
Post a Comment