The opportunity of a lifetime! The owners of this property/business/opportunity have been overwhelmed by their success and ae now looking for a quieter life. Their vision for this storage business has steadily continued to grow into different chapters and the growth of this area (with tremendous rise in population) has not disappointed.
In 2007 they realized that there were no public storage facilities in the area yet people were moving here and building homes, especially in Boquete. 8 years later they know they were on the right path.
Today their 1.02 hectare titled property, located on a major new 4-lane highway, prime location between 2 rapidly growing areas of Boquete and David, is 85% leveled, 40% utilized, contains a nice 3 bedroom house for their manager to live in, and a 38 foot fifth wheel motor home which sits under a grove of trees, for the owners' use.
In addition 13 marine containers are divided into 52 storage units of various sizes, and they offer car, boat, and RV storage; an income of over$5,000 monthly is possible. The current owners have always averaged 75-85% occupancy and have expanded as necessary. Every year they have increased their income. In addition they host a monthly flea market going strong for 4 years now, about 60 - 80 vendors, a nice side income for the owners. Asmall corner of the property is leased for 20 years for an internet tower which not only provides rent, but also free internet. They also accommodate RV’s traveling through Panama with camping and hook-ups. An on-site ozone clinic funded by two of the owners is also available and not included in this sale.
The property is shaded with many trees and plants and features a year round creek running through the property and a creek outside running in front of the gate. There is never a water issue as the 40-foot-deep well provides pure drinkable water all year long.
Up to here is today; from here on are the opportunities:
1. The north end of the property houses the flea market and 3 block and concrete storage units. The storage units currently provide $630 per month in rent and the open flea market area provides approximately $800/mo net to the owners. The total square feet of this area is 30x80 (2400 square feet, including the storage units). (Two of these units measure 15x9x10ft, one measures 30x9x10). Total monthly revenue from this area is currently $1,430 per month.
Suggestions for alternative uses of this space and further development are:
a. Expand the storage business in this locale, 6 more units (approximately 40 sq. ft.), at a cost of $5, 000 each ($30,000 total), and with 70% occupancy rate you will amortize your investment in two years. After that it is pure profit. Currently we are keeping the flea market as a community service since we’ve initiated Phase II of the business in the back lot.
b. Alternatively this north area can be converted to a business mall with rents of configured units of approximately $2.50/sf, yielding each unit approx. 270 sf, at a rent of $675/month = $4,050 per month ($48,600/year). This is a prime possibility given the growth in the area north and south, the location, and lack of shops, restaurants, and services.
2. In the back lies a grassy area and seasonal creek (mostly year round) where 6 condos and a pool can easily be built. This is a more ambitious project as the cost of construction is around $100/sf. There are no condos in this area and they would be welcome. Most people now moving to Panama (Chiriqui) are looking to rent or live in a smaller space. Easy for locking and leaving. Also some buy condos as an investment and rent them out. Condos at 1000sf each cost $100,000 to build and each can sell for about $140,000. Total costs equal over $1,000,000 but the return on your money would be at least 10-15%.
3. Another idea that was presented to us in the same area is a small hotel. Figure a cost of about $1,000,000 again for the construction, and possibly 15 rooms for rent, plus a swimming pool. Rooms about $90 per night each night = $1,350 per night (total capacity), = up tp $40,000 per month.
A i The lot south of the property is for sale at a very reasonable price, offering further room for expansion.
The owners are prepared to finance over 5 year with a 50% down payment and an interest rate of 5%. They will also help the new proprietors to hit the ground running.