Calling experienced commercial growers...

[connoisseurde420]

Check it.. Im putting together some plans for a warehouse grow. Now before you start with the bullshit... I have been growing for 6-7 years now and know what Im doing as far as making some bomb ass weed, even by cali standards. Me and my business partner will have a business front being a courior service. We are thinking of using an industrial space with a couple offices. Inside the warehouse portion of the space we will be contracting another business partner who does not know what is going on to build a sheetrock or plywood grow room. Ive looked at the details of what I want in the landlord and lease agreement. We were looking at something with similarity to this Industrial Unit as an example. Notice that is says 100amps. to use 50% (conservative) would mean about 10 1000w. And if you have room running in the day and one running at night that means about 20 lights which is aprox 20lbs a month. That will more than cover the costs of runnin shop and plenty will be left over to donate to other medical users. or shops.

with this said my questions are what obstacles do you think we will encounter? How much do you think it will cost in materials to create the rooms. I have equipment list topping 35k at retail, and the space will cost us an estimated 30k including rent, elec, water, etc. any other things i may need to cover i like to plan ahead so we shall see....

-C

 

[potlike]

Square footage of room(s) and how high are the ceilings? Are you running new electric in those rooms or not? Installing plumbing built into the room or are you dealing with this yourself? If you are hiring a contractor to do it how much is he asking? Material costs can be calculated here . Let me know and I will try to help you.

Also, just today someone made me aware of this which I believe would be EXTREMELY beneficial to your grow considering you can operate 12 lights off 6 ballasts by simply setting up two rooms and when one room's flowering cycle ends that day the other room's flowering cycle just begins.



-potlike

 

[connoisseurde420]

thanks for the input. I like that light thing cuz I was thinkin if I had 20 lights to use 10 during the day and 10 at night that cuts lightin in half - good shit!

Sqft. I dunno, but Im thinking two rooms to be 20 deep, by 10 wide? does that sound right? so total to be 40 x 20 for flowering, and like a 8' x 8' for moms, veg, clones. These numbers work with the dimensions Ive been seeing for shops so no probs. there. Im thinkin about 8'-10' feet high but Im still tryin to narrow it down. Thanks for the material calc, I need to come up with some more solid measurement before I can use it though.

I will be running new electric for the grow, (Im putting to gether a wiring diagram right now) I do know that I will be using 220v which is a plus.

The contractor is a good friend who wont know whats going on and will probably be paid in trees to get the job done.

plumbing im not sure yet? That is something that I can do. The idea is to have the grow rooms all inclusive and to just look like Ive modified the space for my business needs (storage of servers that need ventalation possibly).

I really want to hear from some one who knows about leasing commercial industrial space so that I can get an idea about what to expect as far as landlord, credit checks, etc, just the process in general.

Does anyone see somethin that I missed or should be thinkin bout or some comment....

-C

 

[Scroogeness]

i dont know anything about renting commercial buildings being in college. HOWEVER, as a business student, i can tell you that if you rent this land/building. you need a loan. depending on how much it costs, you (or investors or whatever) will have to come up with anywhere from 5-15%. and since it IS a commercial building since its a wharehouse, you definitely need a reason to rent this building. (get a business plan, say its local storage, or whatever). they will check your credit rating for the loan, thats gonna determine several things, one is whether they might even consider you for a loan, and another is the interest rate on your loan. landlords or in this case, the building owners will most likely call if they need anything. but if its a small city or town they might check out for themselves. dont know if any of that helped. but good luck.
are we to understand this is a legit op? like...for medical patients?

 

[potlike]

I am a student as well but in the past year have been involved a little in commercial realty for non marijuana purposes. If I were in your shoes I would consider offering to purchase the place with the owner acting as the bank; this is what is called owner or seller financing. It is usually what you see on all those infomercials about 'making money' flipping properties with little to no money down.

Seller Financing in your circumstances will have several benefits the most important one being it would be your property now so as long as you stay up on bills you are the landlord and aren't subject to those inspections; which can also be could be problematic if the building is in bad condition. Have some tenant improvement concessions which can STILL be done in SELLER FINANCING which means any structural improvements can be deducted from what you may owe on the place. If the owner is an individual this also will make for less of a headache with credit checks; yes it will happen but will be more lenient and right now the banks are NOT lending money.

The benefits for the owner is that he would get more money financing it this way than selling it outright; but for you it could still be at a low percentage say 3-5%. If you default on your payments depending how you arrange them they take ownership of the building again and you don't lose anything- in a loan you would be responsible for that money. Calculate what it will cost overall and when you wish to pay off and then offer a balloon burst style... this just means initial payments are low and increase over time till you finally pay off. Amortize your schedule of payments and see if it is financially feasible.

Structure the company so that your contractor friend owns a percentage of the company until his portion of ownership is paid off. You can do this as interest only or a flat percentage he makes make it look good for the owner of the building and work out the deal separately with your buddy if you don't want him to know what's up.

Alright, that should get you started have fun.



-potlike

 

[Scroogeness]

haha total drug conspiracy anyone?

 

[connoisseurde420]

potlike - I am fond of your financing idea, we shall see. Im not too worried about credit check because the corporation has good credit, mine is shitty but im workin on it. There are a lot of lease to own goin on right now too. I have business partners in that neck of the financial world so we shall see what happens there.

Scroogeness - I havent heard about having to get a loan for leasing a space. Not that youre wrong Im sure that that happens to cover the landlords ass but I know areas where that is not the case. Its basically the same as renting an aparment but your business is living there from what I gather.

thank you all.

"are we to understand this is a legit op? like...for medical patients? "

I would never break the law in any way shape or form this is purely hypothetical talk!

-C

 

[potlike]

No offense but with what is going on in the United States right now good luck on that loan. Banks are extremely tight on lending right now; one of my friends was planning to acquire a hotel- he has around 800 on his credit score(nearly perfect) and has millions in assets(hotels, theatres etc etc in the South Beach area); he got denied for a few million just last week. Banks are sweating their balls off-we shall see how this 700 billion dollar bailout works.


-potlike

 

[Scroogeness]

really? haven't heard about how thats effected those loans yet. sad really. oh, and connoisseurde420, i said loan just because you said around 30k in rent and stuff so i guess i was thinking of a lump sum. hypothetical eh okay well just wanted to clarify!

 

[skitzo]

No offense but with what is going on in the United States right now good luck on that loan. Banks are extremely tight on lending right now; one of my friends was planning to acquire a hotel- he has around 800 on his credit score(nearly perfect) and has millions in assets(hotels, theatres etc etc in the South Beach area); he got denied for a few million just last week. Banks are sweating their balls off-we shall see how this 700 billion dollar bailout works.


-potlike

not to turn this into a political debate or thread, but i was wanting to know something about the bailout.

potlike, will happen with the banks if the bailout goes thru/doesnt go thru?

aren't we supposed to be headed for a depression if the bailout succeeds, because we wont have the money to pay for the stuff? im not sure of much more than that, let me know i love being informed.

after you answer this, just forget about it, cuz i dont want to ruin the thread.

 

[connoisseurde420]

Not that I would want a loan. But I know people in the same area doing the same things and he is in the process of buying a house in Newport Coast area with a loan. These things may be different for commercial prop. I think this will all work out.

-C

 

[Scroogeness]

basically if we dont get bailed out things will get a lot worse, more companies would be likely to go bankrupt because of the shares of stock they have in these companies also.

 

[potlike]

Now I'm not a political science guy, however I am finishing my degree in economics. If we do the bailout we are putting ourselves in a worse position than before because now the government has invested $700 billion dollars of its' taxpayers money to back the banks & wall street.

What I see happening here is we won't be able to carry that debt regardless. What could happen here is the devaluing of the dollar to extremes causing hyperinflation. Honestly, I believe inflation will have to go up to around 20% for a couple years for us to fix this problem. The bailout would be putting a tiny bandaid on a huge gash.

Government needs to be smaller-the economy was meant to be market ruled; one of the main reasons our economy had a boom during the late 1990's was because we had a democrat as the president and republicans in congress. They couldn't agree on shit so the market ruled the economy.

If you want to read an informative book that predicted all of this happening about 3 years ago read Crash proof by Peter Schiff.

Alright I'm done with this & trust me seller financing is much better than a loan for your connoisseur, because there is no financial liabilities on the building given bad circumstances-owner just keeps the building and it doesn't go bad on anyone's credit as well as you will probably be able to negotiate better terms than with a bank.


-potlike

 

[Scroogeness]

not always true, seller financing can be a way for them to put these insane interest rates or large down payments. especially in times like these where there isnt a bailout happening.

 

[potlike]

I would bet you 700 billion dollars he would be able to find someone willing to allow him to do seller financing on a property with a descent interest rate somewhere in his 'geographic location'.


-potlike

 

[Scroogeness]

okay, well as soon as you find 700 billion i would love to make that bet

 

[ThE sAtIvA hIgH]

not sure id be sharing ideas of a grow this size on the tinternet

 

[skitzo]

if I was him posting all these warehouse ideas...i would be doing it from my local library or via someones unsecured wireless network.

i want to see him actually get going with the warehouse op though. props 2 ya biotch!

 

[connoisseurde420]

ThE sAtIvA hIgH - an idea is just that, an idea. all of us are about a year away from a million dollar grow potentially, right?


potlike, Scroogeness - I could find a loan but credit sucks, I dont like being in debt to anyone in any shape or form.

skitzo - of course I wouldnt be doing posts like this at my grow op or house or any thing like that. These are the basics. I havent posted since OG. And still have no pics up, I like to keep my ego in check. I know all about saftey no worries there, I may never even do this but I want all the facts just in case.... and its good info for others to see how easy it can be with a little game plan and patience


-C

 

[LuckyLou]

You don't want to own the building. Rent it. Rent much more space than you think you will use then partition off your grow behind locked doors. Remember the three most important aspects of this type of operation 1) security, 2) security, and 3) security.
If the bailout doesn't go through then the people holding the bad loans are stuck with them...as it should be.