Maybe you’re just getting started in the world of real estate investment, figuring out how to boost your ROI on a prospective property. Or perhaps you’re a seasoned investor with a portfolio of several diverse properties.
Either way, you want to make all the passive income you can from your investments.
To do so, you need to get creative. Adding new lines of revenue means thinking outside the box – outside the four walls surrounding each leasable unit. You have to take stock of all your property’s assets, from the parking lot to the exterior walls.
To jumpstart your imagination, here are four creative ways property owners can add revenue streams.
Partner With a Parking Management Company
Too often, property owners simply make peace with the costly upkeep of a parking lot and never think about how their parking lots can work for them.
Don’t fall into that habit: think of your parking lot as a wide-open space for revenue potential.
You can generate passive income from your parking lot by teaming with a parking management company.
Essentially, a parking management company provides parking management services (complete with proprietary parking technology and equipment) through management and lease deals.
Their parking solutions drive occupancy and profits, which in turn provides you with an added, passive line of revenue.
Unlock Advertising Revenue
Businesses jump at the chance to get their brand and message in front of more eyeballs. So, if you own a property in a dense or high-traffic area, consider allowing advertisements.
Your siding and fencing, in particular, are prime locations for billboards. Simply rent billboard space out to advertising or marketing companies and collect passive income (depending on size, you could pull anywhere from $100 to $3,000 per month, per advertisement).
Before diving into this revenue stream, research local zoning laws, which often govern the size, placement, type, and longevity of billboard advertisements.
Transform Open Spaces into Community Hubs
As you look for parking management solutions, also consider other applications for your parking lot. One parking management company – REEF, North America’s largest parking services provider– also works with property owners to transform parking lots into community hubs.
These hubs can be filled with all sorts of modular applications: delivery kitchens, micro-healthcare clinics, e-commerce fulfillment hubs, and more.
You can still allocate a portion of your property’s lot to parking. Meanwhile, you can transform the rest of your open outdoor space into a thriving commercial hub that benefits the community and earns you added revenue.
Raise the Roof
Lastly, consider raising the roof – metaphorically, that is.
If your building is tall, central, and/or features interesting views, consider converting the roof into an event space. With some lipstick remodeling, you can turn your rooftop into an attractive venue for corporate events, receptions, and other parties.
Given the continuing impacts of COVID-19, demand for outdoor event spaces will likely rise in the future, so now’s the time to capitalize.
This article about turning commercial rooftops into usable space lists several helpful pointers and considerations to get you started.
Conclusion
In summary, evaluate all parts of your property to find new revenue streams. Team with a parking management company to convert your parking lot into a modern community hub. Hang a revenue-generating billboard on your siding or fences. And turn your roof into a chic, rentable party space.
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