I’ve searched for forums and internet and haven’t turned up much. I have some land on a major highway and wanted to use some wasted space for a billboard placement. I guess most people try to lease the land to billboard company like Lamar? I wanted to check around before I talked to them. You can also apparently do everything yourself, have one contructed and get local sign companies to put up the vinyl signs. Advertise them for lease. Any ideas?
I am a lease agent for a Florida Billboard company. I can tell you that all you have to do is call around the different companies in your area and see what each of them have to offer you. The business is very competitive and they will bend over backwards to give you the best deal if you are in a good location.
In my opinion, I can say that Lamar is probably one of the worse ones you could do business with for various reasons.
Jaysnder,
I just priced some billboards today. Lamar was almost double the price of the other two companies I checked.
They also demand a one year contract and pay set up fees on the front. The other companies would do six month contracts and add the set up into the payments and were still cheaper than Lamar.
The best price I got on a good location that I had chosen was $450 per month.
My marketing budget is $1500 per month which includes bandit signs, classifieds, direct mail and fliers. My only reservations are spending 1/3 of my budget in one place and I would love for someone who uses billboards to buy houses, to give me feedback on the return on investment.
Tony
I just spoke to someone about leasing space on my property for a billboard. I am unsure about the going rates in the Bronx, New York please does anyone out there have any ideas.We are both unsure about the zoning in my area, Im acroos a major highway but the neighborhood is mixed with residential and businesses. but About 2 blocks down is a clear channel billlboard. Desperate for answers thanks you in advance
YProperties,
You didn’t mention what area you are from, but I have never heard of setup fees. You and I must be on a separate page. If you lease space on your property for erection of a billboard, it should not cost you a dime. If you were offered $450/month for a location, you must be in a very good market.
I regularly write leases where the property owner gets one advertising face for free in return for the location on his property. In this case, you are looking at MAYBE printing costs, which are about $0.80 per foot here. Remember, you are in the driver’s seat. They want your location badly, whether or not they show it. Get business cards from other companies and have them within view on your desk when they come by to talk to you. They will come around, trust me.
LBC,
Zoning laws are slightly different from place to place, but generally billboards are allowed in commercial or industrial zones. There are spacing requirements, such as 1000’ spacing between billboards on the same side of the road, 100’ from a residential zone, etc.
Contact your local planning and zoning department and ask them for a copy of the sign ordinance. In fact, tell me what city or county the property is in, and I can probably get it for you.
I own a billboard company. Like Jasnyder said, there are several zoning requirement and spacing that you’d have to meet. Also, your city ordinance must still be allowing erection of new ones. If you have more questions pm and I’d be able to direct you in the right area.
Another interesting option once you have leased your land to a billboad company is to consider selling the billboad land lease for a lump sum payment. These transactions are often 1031 friendly, so effectively you can sell your billboard lease and end up with a down payment for another property.
www.outdoorequities.com
In 2005 I had 12 billboards on a rotation schedule rotating every 45 days. The rotation made it appear as if I were all over town. However I was only in the areas I wanted to be in.
As for the do it yourself or lease your land to a BB company… The older I get the more value I see in a hands off business, especially whens its passive income.
I would put the land space up for bid and let the people who know how to maximize its return do their job. Sit back and enjoy the income.
Just watch out for the Tax Accessor.
Congrats on thinking OTB