Looking for Advice - Businesses Catering to Kids

Looking for Advice - Businesses Catering to Kids

Lender · Hutto, TX · Member since 2017 · 95 posts · 60 votes

Hey group,

I was looking to develop a 2.5 acre commercial parcel that I own on a fantastic artery in town, but as I've gone through the process of architect renderings and meeting with the city, I think the property is too small for highest and best use. There's a glut of office and medical coming within a 1 mile radius of my property and it makes sense to go another direction.

Based on the demographics and needs of the area, restaurants are sorely needed, but we also have ZERO facilities for kids and their families in town. In a suburb just outside of Austin, this means most families are travelling around 30 minutes for entertainment.

I'm considering selling the tract of land that I own to use those proceeds to pick up a larger parcel not too far away. 

The big question is: what research/materials would you recommend reviewing when looking to either build and lease out a kid friendly building OR taking the jump into actually operating or co-owning a kid oriented business. With the parcel I'm considering, I could fit a trampoline park/gym, a family oriented arcade restaurant, and/or a science driven interactive facility. 

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  • Investor · Austin, TX · Member since 2015 · 11 posts · 10 votes
    7y

    @Michael Jones I love the Hutto area and I think you are definitely on the right track. Have you considered reaching out to one of the chains (ie. High 5s, Epic Fun, etc)? Even if you are not interested they may have some good information on getting started in that type of business. Also, if there are any stats you need pulled I can help with that just shoot me a message and tell me what you need. Good Luck!

  • Ronald RohdePro Member
    Attorney · Dallas, TX · Member since 2016 · 5k+ posts · 2k+ votes
    7y

    You need a demand study. This will give you an idea of market rates for entertainment, supply, penetration % assumptions, etc.

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