Quote:
Originally Posted by AC2717
its only worth what people are willing to pay for it
$480k is a ridiculous amount for that strip of property especially the amount of work anyone other than Lakeport or Irwin would have to do with it
I cant believe I am asking (cause I Know the answer) what is wrong with these people  |
It is all about the exposure for sales but it comes with the benefit of additional space to operate your business. It just has to make financial sense.
The building and land are situated so that everyone that drives by sees their boats on display. I always look in when I go by to see the boats that are there. That is "free" advertising for them.
Since the markup on boats from wholesale to retail is about 30% the sale of one $300,000 boat, even at a negotiated price, will generate $50,000 to $90,000 for the seller. That income will more than offset the purchase price.
Now if that lot and the exposure helps to initiate the sale of 2 or 3 or more boats per year even a purchase price of $1,000,000 could make financial sense to the buyer.