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Scrap yard location, Does it matter?

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  1. #1
    x15 started this thread.
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    Scrap yard location, Does it matter?

    The question is, is there any gain by having your scrap yard in the heart of town, or on the outskirts?



    Here's my scenario. I currently buy and sell big Peterbilt and Kenworth Semi trucks on a small piece of property and am looking to expand my business by purchasing some land and building a 100' x 100' shop to build this end of my business. I have always infatuated with scrap yards and have always had interest in starting and owning a scrap yard. I'm currently tossed up on either spending a few extra bucks buying some land in the heart of town or going a little cheaper by purchasing some land on the outskirts.

    I'm not in a major city but my town is pretty nice, all major food chains and has about 50,000 population. The property im looking at in the city is at a stop light with its own drive, prime spot for people in the town to not have to drive far. My plan is to purchase a 70' scale, a nice Liehberr material handler and have fun from there, try my best and hope for a little luck.

    Your guys' thoughts on location?


  2. #2
    webuyselltradestuff's Avatar
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    Really has nothing to do with what anyone thinks...you need to check the ZONING of said property...the zoning determined what you can and cant put on a property....finding that out 1st might answer your question for you.

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    jord0690's Avatar
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    Don't wanna burst your bubble, but zoning is a good point. In my area its real tough to find land zoned for scrap.
    If I didn't have bad luck, I'd have no luck at all...

    GC Metal Recycling & Recovery
    Barrie, Ontario.

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    happyscraper's Avatar
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    It would be easyer and cheaper if you could find a place just outside the city limits. Cities always have more codes and more taxes than in the county.

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    Check the zoning and any other regulations,Couple guys near here started one several years ago, only to discover they were next to a highway designated a scenic byway,so long and short they could build a fence to hide the biz or move. they closed down. They also had hassles with the County tax office,wanting them to inventory there scrap and pay property tax on it.So be prepared for anything.

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    Sometime Scrap yard location effects the business sales and personal buying process. Some people not care and trusts on their contractors.

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    If i were to ever have a scrap yard i would want on the city limit outskirts. I find in my area (Texas) the land is cheaper. You could start with a small yard and then just grow from there. Sometimes you could even find one that might be fenced already. Well anyways x15 good luck on your journey.

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    1956's Avatar
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    Being a former scrap yard owner,I go against the grain here I would with out a question if you can get the permission from the city,take the building in the city,where there are people there is business,the thing I would do is open a recycling center inside the building, nice clean operation,buy just nonferrous and e-waste.forget the steel and shread cost hundreds of thousands to set up for a profit of 30.00-40.00 a ton profit,there is not as much money in steel as manny believe,good luck to you.


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