likearock 1 #1 October 1, 2010 http://www.loopnet.com/Listing/16796155/190-Paraclete-Dr-Raeford-NC/ $30M sounds kind of steep - from what I hear, the smaller tunnels come out under $10M. That's a big nut to have to carry even at current interest rates. Quote Share this post Link to post Share on other sites
LDiCosimo 0 #2 November 6, 2010 that number could or could not be steep. It all depends on how much the military training contracts that come with the purchase. and how long they last. a little bit of research and a good sales pitch to a group of wealthy investors could make for a great deal. Quote Share this post Link to post Share on other sites
tdog 0 #3 November 7, 2010 So, your monthly loan payment for a 6% loan (impossible to get for a $30M business loan, but why not dream) would be $214,929.30 per month. I know a lot of people in real estate and getting a $300,000 loan for a new business is next to impossible. Imagine making a $30M pitch to a bank! So at $1150 per hour, per their website, that is 6.14 booked hours per day for 20 years to just pay the mortgage at 6%... If electricity is 10% of their operating costs, then you are needing to book almost 7 hours a day. Add in insurance and property taxes, and I am starting to see VERY thin margins. A reasonable investor paying cash for an investment would want to see 10% return. Now we are needing to book 9-10 hours a day solid. If someone was rich and wanted a trophy, perhaps they should buy this tunnel. If they want a solid investment, I don't see it happening. Quote Share this post Link to post Share on other sites
LDiCosimo 0 #4 November 7, 2010 I bet they do 10 - 12 hours per day easy. Skyventure tunnels are built to run. Quote Share this post Link to post Share on other sites
likearock 1 #5 November 7, 2010 QuoteI bet they do 10 - 12 hours per day easy. Skyventure tunnels are built to run. You still have to ask yourself if the larger size at XP is worth paying 3 times the price of a smaller SV tunnel. It's hard to see how they would be getting three times the revenue. Quote Share this post Link to post Share on other sites
VTmotoMike08 0 #6 November 7, 2010 Every time I've been to paraclete, including weekdays, it has been packed. I bet they fly 12 hours a day on a slow day. When its really busy, it runs literally 24 hours a day for days on end. If you could break even at 10 hours a day then I bet you would make a ton of cash. But then again, why is the owner selling if its making money? Quote Share this post Link to post Share on other sites
mbondvegas 0 #7 November 7, 2010 Quote But then again, why is the owner selling if its making money? Hmm...he will probably walk away with a LARGE LTCapGain.... Beaches...babes...and margaritas? Or mabye to roll it into another start-up venture...to hopefully turn that one into an established and profitable business...sell it for a gain...and repeat!- - - I am not afraid of tomorrow, for I have seen yesterday and I love today. Quote Share this post Link to post Share on other sites
grimmie 176 #8 November 8, 2010 I wonder what the yearly maintenance costs are? Quote Share this post Link to post Share on other sites
Remster 24 #9 November 8, 2010 QuoteI wonder what the yearly maintenance costs are? I'd guesstimate from a rough Rule of thumb: 10% of capital costs.Remster Quote Share this post Link to post Share on other sites