All Forum Posts by: Justin Vermuth

Typically billboard companies will start negotiating a new lease with you 3-5 years before expiration simply because that’s when their leasing agents are able to earn a commission when signing a new lease. Like an earlier poster said though, be sure to read your agreement closely to avoid any automatic renewals, etc.

Ive used local community banks for deals of this sort. I do a lot of billboard investing. Also private money is an option if its a strong lease with one of the large A credit billboard companies - may require you to sign over payments until loan is repaid.

Honestly each jurisdiction has very specific regulations so your best bet would be to have one of the big companies in the area do the work for you for free. Look and see who some of the signs in the area are with, call them up and ask them to check out your property. If its legal and they are interested then they will make you an offer. Then you can either go with them or show it around to other companies or build it yourself. Just my 2 cents.

Thanks to you both!

I have a quadplex under contract in Ft. Pierce and wanted to see if my BP friends had a good recommendation for a property management company in the area? Its a tough market out there so I had to go a little farther than my normal area. I need the PM to supervise some repairs, etc. as well. Thanks for the help!

The general spread is 7-10 depending on a number of factors such as whether the billboard is conforming or non-conforming, whether you own the underlying structure or if it is owned by the billboard tenant, type of structure (size, monopole, digital or static, etc.) Im not sure I answered your question or just made it more complicated, but there are a lot of considerations. Happy to discuss more.

Thanks Shane and it was great talking to you via PM. It's 11X current annual rent.

BP Friends - I have a .65 acre parcel on a busy road in Orlando and have been debating with my partner how to market the property. It has almost $30k in revenue from a retail tenant, a billboard and seasonal vendors. We are intending to sell it but received a great offer to carve out an easement for the billboard first and sell that to another company. In talking with a few commercial channels about the deal it seems like brokers have a tough time explaining to their clients about how they would be buying a property with a billboard but receive no income from it, and it would make it much harder to sell the remainder. It's a question of which is greater, the whole or the sum of the parts? Anybody have experience with this?

Billboards and cell phone towers are a great way to earn passive income. I own five and am always looking to expand my portfolio for the right opportunities. With billboards in particular though you need to be careful though and know the regulations and the status of your location, whether it’s conforming or non conforming, or whether it’s a location that a billboard company may be willing to take down in order to garner rights for a digital sign at another location. I did this for a long time working for one of the largest billboard companies in the world and am happy to be a resource for my BP colleagues 

Really appreciate the feedback everyone. If there are additional folks that may be able to help im just starting my due diligence. Im really excited about this property, but with my schedule unfortunately I can't chase down rent checks or coordinate repairs, etc.