I’ve started searching for property I can build a small warehouse on. I currently have a 5,500 sf warehouse on 1/2 acre in a downtown area an hour from home that I got 8 years ago as a foreclosure. The neighbourhood isn’t the best and it’s a bit far to get to but got it cheap. Found some lots of 2-4 acres in the $100-200K range at an industrial park in a rural area 30 miles from the Washington DC area. (Anything near my area would cost 10 times as much.) They would be on well water and septic which is approved.
The smaller lots can have a 7,500 sf building which is pretty small compared to the lot size. Is it likely that if and when water and sewer becomes available, much larger building sizes would permitted and the value of the land would increase significantly? I wouldn’t be buying for investment but to use now, but that seems to be a great side benefit. Probably could even subdivide when that happens.
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Yes if developer sprawls out that direction then the property values should go up. Its not really about water/sewer. Water /sewer goes along with the growth & development. and the growth/sprawl of development is what would really increase your property value.
But is there much development going on in that direction now? I really wouldn’t bank on it…
It’s an industrial park in a rural area with half a dozen lots built on.
Does each lot have its own septic or is it a community septic for the industrial park? If community septic, that is probalby what is limiting the sq footage. Each lot is only allowed a certain amount of the septic system’s capacity. Residential developments often limit the # of bedrooms in that situation. Neither is really an exact measure of the septic capacity you are using, but they have to have some sort of guideline.
In this case, getting tied to a city sewer system would probably remove that sq ft restriction as they charge based on usage.