Truck Parking/Semi-Trailer Parking

[Ruhi Reimer]

Hi BP! 

My first post.  I love this site.  What a fantastic community and source of knowledge!  

I am an investor/entrepreneur looking to do something in a commercial property niche I can't find many resources about: truck parking.  Over the years I have considered other "low capex" RE models such as trailer parks and self storage but never pulled the trigger.  A recent look at investments in the transportation industry suggests a possible opportunity in truck/trailer parking lots.  There are numerous published articles about the on-the-road parking shortage for truck drivers, and solution there is more truck stops whether state or privately funded.  That is not what I'm talking about.  My initial research suggests truck/semi-trailer parking is also an issue for carriers and small operators -- both at home and at the terminal point of a long haul delivery.    A flat gravel lot with fencing, lighting, security and an attendant/transaction processing capabilities located near an industrial zone/interstate/major state highway could offer daily, weekly, or monthly parking.  In markets where land costs are low and freight traffic is high one can arbitrage the high value of truck parking against the low cost of land and minimal maintenance capex of this model, yielding healthy cash flow.  I am hoping to prove this model out for myself, and upon doing so, get a property launched this year somewhere.  I know -- too generic a goal.  

I'd like to invite other BP members looking at this niche to cluster in this thread to network and share best practices.

I look forward to getting acquainted with the BP community.  Wishing all a prosperous 2017!

[Henry Clark]

@Chapman Walsh

There is definitely a market.  Success.

As always check with Zoning first. Both on usage and also on road surface (rock versus concrete).  Some places may be on rock, but they are grandfathered in.  New person may have to do concrete.  Don't do asphalt with trucks.

If you do rock, put Engineering Fabric under it.  You can then put 1 to 1 1/2 inch with the fines, versus a base of 3 to 4 inch rock.  This will also prevent all potholes and ruts.  Disperses the pressure of the tires.

Recommend you take some stakes, strings and flags; and a semi.  Lay out the driveways and parking spots.  That way you can "see" it.  Don't think you will get 70 spots on 35,000 square feet.

Normally I say "Start small and Make Your Big Mistakes Early"; but in this instance you need a bigger spot.

For this smaller location, I would look to rent out to just one company.  Most owner/operators will have a Reefer or Flatbed; which they would prefer to leave hooked to their truck; thus larger lot needed.  View your customers as follows:  A.  Large company that wants to rent so much space, B.  Semi parking, C.  Trailer parking, D.  Semi/trailer attached parking.  You wont want to mix them, since they take different Driveway widths.

Below are some notes on RV and Vehicle storage, please take and adapt to your situation.

CONSIDERATIONS FOR RV OR VEHICLE STORAGE

A. Pull through- The front, pull as far forward as possible, gives the person next to you an easier angle to turn into, from behind you. Align your front with the fronts of all other vehicles. Be courteous and leave enough room on the Driver side, so that RV can open their doors.

B. Back to back parking- our locations are set up at 60 degree parking. Also, they are setup for the driver to back in on their side, so they can use the lot next to them for alignment. This way you only have one blind side on the right side backing in. Otherwise you have two blind sides.

We have 20/30/40 foot parking at our location at 26763 Highway 34, Glenwood, IA. Each size has a different width due to how hard it is to park a longer unit at the very front angle of their turn in. 20’s- 10 wide; 30’s- 12 wide; 40’s- 15 wide. Although you could park an RV in any of these sizes, it is easier with a wider width to make the “front” turn. Or ask for an end parking spot, so you are doing a 90 degree parking, but have the whole drive way to back in with, without a turn.

C. Canopy- same issues as others, depending on if 60 degree or 90 degree parking.

D. Enclosed- Really a matter of width and depth. Keep in mind all measurements for storage are relative. For example: A 10 wide x 20 deep x 8 tall unit, with studs, roll up door and door jambs; is really 9 wide x 19 ft 6 inch deep x 7 ½ foot tall. Also if you have a 20 ft boat or Camper, its really 22/23/24 ft depending on Propeller, bumper or front hitch.

E. Surface- Rock or hard surface (concrete/asphalt); If on rock/asphalt put your tongue leg or stabilizer pads on wider pads to spread the weight out. These pads are needed on Asphalt since in hot weather they will sink into the asphalt.

F. Pest control- we put mouse bait out along the fence lines and under the units, mow excess weeds and grass. You should put both rodent and bug control in your unit. Dispose of all food sources, for long term storage. If you want to be really diligent with pest control, don’t park next to overhead lights. They attract bugs at night and then mice underneath. Put scented drier sheets in all compartments and rooms. Open all cabinets and doors.

G. Stabilizers- if doing long term storage put you stabilizers down. Most parking is in an open area and the units can rock and move with the wind. This will also help with taking pressure off your tires so they last longer.

H. Security- Put a lock on the hitch. Although you are in a secure location, RV’s and trailers are the easiest storage to break into or take without notice. Recommend you put in motion sensors or GPS tracking security. Check your vehicle at least twice a month. Most Security systems only maintain footage for 2 weeks due to camera memory capacity.

I. Propane Fuel Tanks- disconnect and store if leaving for long term storage.

J. Electronic Lifts- disconnect the battery if leaving for long term storage.

K. Insurance- most storage unit insurance policies do not cover vehicles. Keep your insurance, just have them adjust your automobile to fewer miles or just comprehensive coverage. Wind, Flood, tornado, Hail, or third party damage or theft can still occur. Traditional insurance coverage, RV’s normally stay a flat rate throughout the year, thus you will still need to maintain full coverage. Or, if you seek out a specific RV or rec vehicle insurance company, you can move in and out of winterization rates.

L. Pricing- use a 30 foot vehicle as an example:

-In the country about a $1 per foot on rock.

-With Paved access and parking spot, this might run $60 to $90

- Enclosed parking this will cost about $120 to $170 for a 30 foot.

- Enclosed parking for a 50 foot, might cost $225 to $350.

The price extremes are the cost of the concrete/asphalt road and the storage bay. Also the longer the unit the price goes up significantly because it takes more driveway width to park and the type of door changes in both size and type (remote operated). A 50 ft RV will require about a 70 foot wide driveway to back in.

We are only addressing the long term Parking portion of storage. Other items are specific to each vehicle such as water clean out, Tire/window shades, etc.

Quick non Parking list:

Wheel/tire covers; Vehicle cover.

Remove and store your tires.

Store with a full fuel tank to prevent condensation

Add fuel stabilizers

Place RV completely off the ground to prevent flat spots on your tires, if left for a long time.

Cover your HVAC, skylights, vents and windows to prevent exposure to sun and breakdown.

Boats leave your plug out, whether covered or not.