Renting out space for food truck

[Pinaki M.]

I got someone interested in leasing space in one part of the parking lot of a commercial property than I own. He wants to run a food truck there. I had never thought about this until this person (who I don't know) approached me about this. The property I own has several units and they usually have people in there only on certain days/hours of the week (most are occupied by small ministries). I am wondering, is it a good idea to rent out some part of the parking lot (preferably a part not used by cars) for this? Any downside with doing this? Any general idea on how much I should be charging?

Anyone here that rents space to food trucks?

[Michele B.]

I have heard percentages as high as 30% in high volume areas.  But for that 30% you need to have a electric hook up usually for them.  SO if you have no amenities like electric or parking lot lights you might get 10%.  The percent is an honor situation they pay you the percent on how much they sold.  One week they sell 5k at 10% you get $500.00.  Or you could do a sliding scale from 1k to 5k 20%, from 5k to 10k 15% or something like that.  It is free money don't waste it and you also need to make sure they have the correct health inspections and fire inspections and their own insurance and it has to say it is good on your property.  IE> If there is an issue and someone gets hurt you can be sued if you don't have insurance or if theirs does not cover you. 

It is a pain, but after getting set up it is free money for parking lot space you do not use.  

Make sure the local government is okay with it being set up on the property also because if it is zoned residential you can not have a business on it.   SO make sure you know all the hoops to jump through. 

(I had a friend who had food trucks there was a giant garage sale in a wealthy area and he put his truck on a corner of land that someone said he could , he called the health and fire department got permits for that weekend had his insurance with him.  Then about 1/2 way through the first day someone came in and decided he could not be there and was ticketed and the homeowner was fined. )

Dot your I's on this one. 

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