South Boston Gas Stations

If you are interested in investing in Boston, there are plenty of neighborhoods to consider, but one of the most populous areas that you should consider for a great investment opportunity is South Boston. This area is one full of both residential and commercial properties, which means that there are plenty of investment opportunities in the area, and a service station can be quite a profitable investment to consider.

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Purchasing and Leasing Gas Stations

One of the first considerations that you should make when you are thinking about investing in a service station in the area is whether it will benefit you more to lease the property or purchase it. Both options have their advantages, so consider which one works for you and proceed from there.

• Leasing the Property – Leasing is a great option for an investor who does not want to put a lot of money down on a property that you are not sure will be profitable or not. You will not be required to pay taxes on the property because you are only renting it, and if anything needs to be repaired or replaced, the cost will not come out of your pocket. This gives you the opportunity to get a feel for the neighborhood, the amount of traffic in the area, and the average profit that the service station brings in on a daily basis. If the property does not do as well as you first expected, you will be able to find another investment location without much loss.
• Purchasing the Property – When you decide to purchase the property, you will have the freedom to decide how to run the business. The promotions that you choose, the suppliers that you use, and the expansions that you decide to build will all be your decision, so you will be able to increase your profit margin with ease. This also means that you can decide to lease or sell the property in the future when you are ready to retire.

Buying a Service Station with a Convenience Store

One of the best ways to increase your profits is to have a convenience store at your gas station. This way, you are able to offer more to your customers than just gas, which will bring in customers who are just passing by as well as those who stop to fill up their tank. Many customers will stop at a station with a convenience store over one that only sells gas so that they can pick up snacks and a cold drink for their travels. This means that you are going to want to have a variety of these items; in fact, it is even a good idea to add a grill or an MTO station in the store where your customers can order food. You will also want to have fresh coffee available throughout the day for customers to enjoy, especially during the morning rush.

Another way to get more business is to have a clean bathroom inside the store itself for your customers to use. When you are traveling, stopping at a service station that has an outdoor restroom can feel unsafe, and they are often not as clean as most people would like, so a station with an indoor restroom will be far more appealing as a rest stop. In addition, travelers who stop to use the facilities will most likely make a purchase as well.

Reasons to Consider this Area for Your Investment

A large portion of South Boston is located on the water, which is also an area that is experiencing a lot of growth and redevelopment. That being said, this is a great area to consider for a service station investment, but which opportunity will be best for your portfolio? For a list of properties in the area contact Boston City Properties today at 617-247-1933.

If you’re looking for up-to-the-second information about gas stations for sale or lease in South Boston, you’ve come to the right place. Owning or leasing a fuel station in a busy Boston neighborhood like this one is a surefire way to generate consistent, strong sales and profits. Of course, it is no secret that these properties tend to be money makers, so competition for the best listings is typically fierce. By signing up with Boston City Properties, you’ll enjoy instant, free, unlimited access to our continually updated MA commercial real estate listings. In no time, you’ll know what is out there. We can also connect you with an experienced commercial real estate agent in this neighborhood when you’re ready.

About the Neighborhood

Stretching south of Fort Point Channel, Southie, as this neighborhood is known locally, offers prime opportunities for investors and business owners alike. With a population of around 35,200 at the time of the 2010 U.S. Census and recent explosions in commercial and residential development, this neighborhood’s fuel stations perform well throughout the year. A primarily residential neighborhood, it is home to thousands of commuters who head to work and school in vehicles every day.

What to Look For

If you’ve never invested in fuel stations before, it’s particularly important to get a referral to a local agent from our team. Some properties are excellent opportunities but others can be downright money pits. A few things to look for in your search include:

• Appearance – Aim to procure a station that is already in pretty good aesthetic shape. If people have a choice between patronizing a clean, attractive fuel station or one that is rundown and dilapidated, they’ll choose the first option every time. At minimum, seek a property that includes a large, structurally sound convenience store, a canopy over gas pumps and clear, legible signage.
• Location – The best location for a fuel station in a neighborhood like this would be along a major thoroughfare or within very close proximity of a major freeway exit. Properties on intersections are highly sought after as well, but beware of gluts of local competitors that can shrink profits.
• Size – The more square footage that the fuel station that you buy has for peddling convenience items, the likelier it is to attract consistent, loyal business from locals. Buy or lease as large a property as you can afford, and make sure that the premises include plenty of working gas pumps that are in decent condition.

Considerations to Make

Even if a fuel station looks promising on paper initially, several factors can come into play to negatively impact its long-term profitability. The agent that we refer you to can help you to avoid major obstacles; for now, here are some things to keep in mind:

• Environmental issues – Unless you won’t be the owner of the actual land, always pay to have an environmental study performed on the property. It might be that the previous owner wants to sell to get out from under major problems that could result in thousands of dollars in fines.
• What’s included? – Be clear about what is included in a property when perusing listings. Don’t get ahead of yourself because oftentimes, properties like these go on the market without everything that is needed to operate a business from day one. If you have the opportunity to lease or buy a station that includes a fast-food restaurant or other extras, definitely consider it.
• Lease and financing options – Be prepared to handle the financial aspects of procuring a fuel station before looking for one in earnest. If you are buying, you’ll definitely want a preapproval in hand; if you will run the business, a loan from the Small Business Administration might be the way to go. If leasing, look for lease terms in listings right away to avoid getting attached to properties that don’t suit your needs.
• Financial records – Insist upon receiving at least two years’ worth of financial records from the fuel station. These should then be analyzed by a qualified CPA or accountant to determine the long-term financial viability of the property. Otherwise, you could end up with a station that underperforms and doesn’t generate the returns that you need.

How Boston City Properties Can Help

The fastest, easiest way to check current availability for South Boston gas stations for sale or lease is by signing up with Boston City Properties. When you do, we’ll give you immediate access to our searchable listings so you can see what’s out there right away. We also have connections with local commercial real estate agents with extensive experience in this area and can refer you to one whenever you are ready. Our team is here to help, so give us a call today.

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gas stations