Commercial Land

[Steve Olafson]

Hey All,

I am looking into buying a few acres of commercial land.  It is a play in a small town that is about to get a couple hundred million development project that will bring jobs. 

Some activity has taken place but most of the land is still available.  I have an opportunity to buy at a time that is still early.  Values have only gone up on parcels that are in the immediate area of the project.  I have a shot at some of those but I believe that the entire town is going to have a great boom as a result.  There are other projects in this town that will get a direct benefit as a result.

The project is 99.5% ready to go and I will make my offer with an escape clause if the project collapses.

The obvious things to consider are price, utility access costs, and taxes.  I did purchase land in the past but all the development plans were completed already.

My plan is to buy in a location that would lend itself to a bank, chain restaurant, drug store, etc. 

Does anyone have any helpful advice on things to watch out for?  How about lot sizes?  I am currently looking for a minimum of three acres.