Where to get advice about successful property renting?

Sounds great, Seven!

I did write down exactly what I thought, and what I do presently, but I'm very hesitant to advise regarding what you *should* do.

Realise that during my startup days a grid concurrency of 5000 was huge, Second Life was barely over two years old instead of almost four, and I paid only 66% of the monthly tier that you pay now. Didn't seem like it then, but looking back it was a simpler world. Much simpler.

Since then I've been cruising along with a well established brand, so if I've lost my down'n'dirty startup street smarts, there's no real way for me to know. Unless I get an unknown alt and start a fresh sim or something - which sounds rather financially scary, to be honest!

Good luck and do let us know how it goes.

Nathan: Yeah, there's NO way we can swing the rate you're talking about there (1.8 dollars a prim). That's the kind of rate you can only get when you buy multiple sims and rent in bulk and are doing serious mogul business. We're trying to build a Caledonish community, just focused around a beach rather than a time period... so, unthemed giant cheap plots are not our market. If people really want that, Anshe's got plenty of pancake land.

The differentiation comes from the environment we're setting up, I feel, with numerous public facilities (beaches, free vehicles, roller rink, arcade, and plenty of shops and neighbors). We have an uncomplicated rental scheme so I wouldn't want to monkey with variable rates; this is the plan according to industry standards and we're sticking to it. Our job is to provide a surrounding atmosphere that makes people go for it, and provide pricing that doesn't scare them away, and according to other posts this pricing will work.

Sounds workable, Seven. I'll be curious to see how it pans out for you.


FINANCIAL:
This question is also for Desmond, Ged, and others too:
It has to do with how many prims you are charging L$2 for, to determine the rental price. I'll use a 512 with 117 prims as an example:

When you talk about the number of prims each plot is allowed for the tenant in your rental terms, does that total of 117 prims on a 512 include the prims already used for the house and any landscaping plants, walkways etc) that you have put in on the property? In other words, are you charging renter of a 512 plot for a full 117 prims even thought it has a house on it, and technically they would only get the remaining prims? Or are you charging for only 75 prims or so, after subtracting house and landscaping (like sidewalk that lead up to their front door).Or do that get that many prims (117) IN ADDITION fo the house/landscapaing prims already used by you. And if you allow them the option to put in a house of their own choosing, with lower prims instead, does that free up those extra prims for them to use? Obviously, then, if they choose to use a higher prim home of their own, that would also count against their total prim allowance?

FINANCIAL RECAP:
Trying to understand the pricing, to assist with my own pricing. If i charge L$2 for prim, would I give them the entire 117 prims that come with a 512, or would it be 117 prims minus house and landscaping? And if that is the case, how may prims am I charging them for? All 117, or just the onces that are left over after the house/plants for their use?

TENANT CREATIVITY:
I know that there has been al fair amount of discussion about residents wanting some creative control over their home and land. In the case of what I'm doing, especially in Nakji, there is not a lot of flexibility in that plan that would allow that. I have a very narrow strip in Nakji, and I had to work hard around the surrounding area in order to fit in a small community of three homes that fit the neighborhood feel we are striving for.

Unfortunately it means I had to make some creative solutions regarding layout to make it work aesthetically and logistically. And this took a great deal of time, planning, and measuring to come with the the most workable solution. There really isn't much room to allow residents additional control over their environment int that setting. Maybe some extra plants, or different plants that what I have put in, but not much more externally. Our larger home does have a bigger yard that has room for some tenant design in terms of other plants, an outdoor hammock, or chairs. The other two are smaller. One has a small stone patio in back of it, but that is all the private outdoor space available. I have allocated the land between this cottage and the remaining cottage, so that there is a public access park between the houses, with a swing, and some landscaping. This should prevent a feeling of "crowding," and provide a shared out park for the residents of those two homes. As i said, it is a small space and I don't want to just pack em' in. I want the feel of some space, and peaceful tranquillity, even if it is small.

So for the Nakji development, there isn't much flexibility regarding allowing different houses, landscaping etc. I worked pretty hard to get it to fit in a tight spot as it was, and thee isn't much left in terms of flexibility that would work.

Nakju is the one going on the market 1st. I suspect I will have to price it lower than the land in Huin.

Then there is the Huin sim, which is a totally different situation. I'm working with a friend to clear out the clubs, casinos, and ad farms. We have been very successful (but it has been expensive!). She is developing Faeria Village, a setting for what is becoming a thriving communiity of artists and artisans of all type. In the center of the sim Faeria Palace is being build, which will host public cultural events, ballroom dancing, etc. I am developing the land around this area into a forest of public green spaces and parks, with a small number of rental cottages scattered about (this area is Faeria Forest). We have a strong image of the "look and feel" of what we are creating, and that is our number one concern to maintain. Obviously, we are not in the is make a profit, just to get some steady revenue to help offset some our high tier costs. We are not in this one to make money - it is a mostly altruistic project to beautify a sim that was overrun with clubs, casinos, and other things that were filling the sim so that residents could not even get into the sim most evenings. Residentia landowners were getting for frustrated that they were selling and abandoing their land as a result.

The cottages in Faeria Forest are on larger plots, separated by garden plots (all 1024s), as well as being surrounded by what is becoming forest land. After listening to all of you, especially Desmond, it sounds like we should give them some greative control, if they want it, so that they will feel part of things, and perhap be inspired to join forces and help to develop that sense of community we are looking for. Initially it was just Faeria Village (the art galleries), and Faeria Palace. I felt that for people to really become part of our community, if they could live there too, it becomes "home" instead of just a place to visit in SL (and we've got plenty of those around already). Perhaps I will do some basic landscaping so it looks nice, but allow a rental tenant to alter the landscaping to suit their own tastes, asn long as it is in keeping with the overall theme of the development.

So I know this was long, and I do apologize (and thank those of you who hung in to read it all! My biggest question is the prim charge stuff that I opened with. The rest of this was mostly explanation of what we are doing. Feedback is welcomed!

Princess Ivory

Hmm.

Well in answer to the first question, I'd say if anyone charges $L for prims, it should be prims that they let others control.

So yes, people get to use all the prims, and the streetlamps and paths and suchlike are mine.


As for creative control - well, you be the judge - I give people pretty much full control, although I might insist on a few things like 'natural looking terrain not abstracted mess' or 'no modern buildings.'

I'll let other people decide how Caledon looks. Of course response has been very very positive, but I can't really tell any one person what they will think of it before they see it themselves.

I guess what it comes down to is how much control you are willing to cede. Can you live with it, if everyone else loves the area but you personally hate something about it?

For me, it was tree-lined streets. I started the parcels with lots of trees. Historic Caledon was really, really pretty in that regard, but sure enough one by one most tore down the trees on their lots, maybe replacing a few. Crushed my soul but I decided to let people have their freedom instead, and to be honest nobody seems to notice it but me. That's the sort of thing you'll have to come to terms with.

Hi Seven,

On the Fair-Isles Estate we rent 12 homes at 900 prims per home. We use 3000 prims for the beach facilities, the Estate manager's home, and the Central Hub. That leaves us with 1,200 prims in hand.

In my experience we veru occasionally have a tenant go over their prim allowance, and I am warned of this by our rental system. Usually however, most tenants use far less. This being the case I do not get unduly worried if one tenant is over, and I don't usually say anything. If two or three go over, I have a polite word with them.

Income from the sim is not limited to the rental income. Several Estate Owners have come up with some excellent ideas for income generation, without commercialising the sim, and keeping it 100% residential.

IM me in world if you would like further details, and perhaps join our informal Estate Owners club.

Rock

here is what i pay on the Crucial estates and Crucial is one of the best estate owners I know.
I have been with Crucial for a very long time and would not even think of moving.



4,096m2/937 prims Tier- $1,875 L per week - Purchase Price $32,480 L.


8,192m2/1875 prims Tier- $3,750 L per week - Purchase Price $64,960 L.

Cru is awesome. These are pretty good numbers, and best of all you have someone decent to deal with.

I'm very glad Cru is in the grid "neighbourhood" also - there's sort of an area on the map that is Crucial Estates, then Caledon + IBM to the north, then Gothic Winterfell and Oahu (the inaptly named Harry Potter fanfic sim) a little more to the further north.

Just met a new neighbour (Jody Huet of Brightfield sim) to the west last night; they seem to be a sort of businessy sim for teaching people how to provide services and market on the grid; grand opening in 3 weeks or so I think.

It's kinda like the old First Land neighbourhood all over again, crazy offbeat grid madness fun, just on a slightly larger scale than the old 512m First Land plots by a factor of 2000 or so...