Truck Parking - A Growing Opportunity
February 22, 2025
Looking for your next (or first) real estate or business investment opportunity? How about one that provides a good return, provides a much needed service so it’s in demand, and qualifies for SBA guaranteed financing? And of course, one that could greatly increase your Financial Momentum.
In the US according to USDOT rules after completing a 14-hour work period, a driver must take at least 10 consecutive hours off duty before driving again. If they happen to be in the middle of a long haul that means they have to find a place to park and sleep. Sounds easy, right? This is actually a problem.
Here’s Why It’s A Problem And An Opportunity-
“A chronic, nationwide shortage of truck parking is forcing America’s professional truck drivers into an untenable position—either violate federal hours-of-service regulations that mandate rest breaks at specific times, or park in unsafe and unauthorized locations. Ninety-eight percent of truck drivers regularly experience this fraught scenario—a problem that grows more pervasive as cities across the country prohibit trucks from parking within city limits.” (From a Nov 2023 blog post from the American Trucking Associations website)
The Opportunity
Truckers need a safe place to stop and sleep. They also need a place to park their trucks in their off time because most cities and HOA’s don’t allow 18 wheelers to be parked in residential areas (a similar problem exists for RVs). And you can’t just go park in the mall parking lot.
So if you are a trucker, what do you do?
For an entrepreneur or real estate investor this can be a huge opportunity. Solve the truck driver’s parking problems and be well paid for it.
Different Types Of Parking Needed
1. Daily Parking- Drivers need to get off the highway and stop for 10 hours.
2. Weekly Parking- Between trips drivers need a place to park their truck until their next trip.
3. Monthly Parking- Same as weekly parking but some drivers will want their space to always be guaranteed to be there so they don’t lose it to someone else.
4. Long Term Bulk Parking- Trucking companies that need space for multiple trucks on an ongoing basis. This is the stable income for the property.
Rates for parking will vary based on what area you are in. The same is true for the cost of the land. But usually if one is higher they are both higher so the return on investment is fairly consistent from one location to another with some exceptions.
What Is Required
The Bare Minimum:
3+ acres of land. 5 to 10 acres or more is better.
A stable surface like caliche, gravel, asphalt paving or concrete.
Security fencing. Usually a 6 foot chain link with barbed wire top.
Security lighting
Automated entry system
For Overnight Parking: a restroom and shower facility would be needed. Size would depend on how many trucks can be accommodated.
The Investment
For a 5 acre facility you could easily be in for a $600K investment without asphalt or concrete. Since this is a business you could be eligible for SBA guaranteed financing, possibly with as little as 10% down payment.
The returns can be a lot more than a conventional real estate investment. A 5 acre lot (calculating 200 spaces) with 50% to 85% occupancy at $150 per month per space (long term rental) would be approximately $15K to $25K per month in revenue. In some parts of the country that long term rate would be double that or more. Of course the land is usually more expensive in those areas as well.
Of course the short term rental rates would be higher. $15 per day per space as a conservative rate would be a monthly rate of $450. However the occupancy rate could be much lower for daily rates unless you’re on or near a major highway with high truck traffic.
This is a good enough investment that I was recently planning to do this until a problem came up with the land we had picked out. I will be looking again in the near future. If you're looking for a business idea that involves real estate, and one that could provide you with a great annual return and a nice exit opportunity, truck parking is one that is worth considering. It's very much needed and government entities should look favorably on anyone wanting to place a facility near their city or highway.
Hope you enjoyed the article and thanks for reading!
Let me know if you have any questions about Truck Parking.