New Store Question for the Pros...

[harleysr1]

We have just located a perfect location for a new laundromat (our second)...Free standing building, 2500 SF, great parking, 50k daily traffic count, mobile home park within 50 yards, camping park across the street, etc. Landlord is willing to rent at a very reasonable rate and would love to see a quality laundromat....here are the issues/questions:

1. Electric service not nearly enough.....what is the cost of bringing enough power to run
22 washers (2 80's, 4 40's, 4 30's, 12 20's) and 13 dryers (3 75's, 10 30lbs stacks)?? Does installing 3 phase electric cost more?

2. There is no natural gas available...I guess my only other option is propane? What is the cost of a propane tank? Is propane worse/better than natural gas?

3. Incoming water is only 3/4"....Would they have to run a new water line from the main source? Any clue on the cost of doing that? Has anyone just used the 3/4" and possibly a storage tank/booster?

4. When negotiating a lease, what build-out costs would/should the landlord pay for? The A/C is only 5 tons (that needs to be at least double)...The floors would need to be tiled...the electric needs to be upgraded, etc. Are landlords providing any sort of buildout allowance these days?

Any help from the pros/veterans would be appreciated (especially if you've dealt with these issues in the past!!)

Thanks!

[BMWHD3060]

Originally Posted by harleysr1

We have just located a perfect location for a new laundromat (our second)...Free standing building, 2500 SF, great parking, 50k daily traffic count, mobile home park within 50 yards, camping park across the street, etc. Landlord is willing to rent at a very reasonable rate and would love to see a quality laundromat....here are the issues/questions:

1. Electric service not nearly enough.....what is the cost of bringing enough power to run
22 washers (2 80's, 4 40's, 4 30's, 12 20's) and 13 dryers (3 75's, 10 30lbs stacks)?? Does installing 3 phase electric cost more?

2. There is no natural gas available...I guess my only other option is propane? What is the cost of a propane tank? Is propane worse/better than natural gas?

3. Incoming water is only 3/4"....Would they have to run a new water line from the main source? Any clue on the cost of doing that? Has anyone just used the 3/4" and possibly a storage tank/booster?

4. When negotiating a lease, what build-out costs would/should the landlord pay for? The A/C is only 5 tons (that needs to be at least double)...The floors would need to be tiled...the electric needs to be upgraded, etc. Are landlords providing any sort of buildout allowance these days?

Any help from the pros/veterans would be appreciated (especially if you've dealt with these issues in the past!!)

Thanks!

All great questions, the one question you did not ask, have you checked out what if any impact fees you have for your County, here it is $5,800.00 per washer.
All prices anyone gives you will be estimates, every State/County is different.
1.) All depends on how far the run is guesstimate $10,000.00
2.) I have Propane at one of my stores, all equipment/tanks you can get installed for free call different Propane companys. I have a contract price of .40 cents over cost per gallon
3.) You will need at least a 2" line for the street, $8,000.00
4.)Ask for everything, you have nothing to lose. For another business I had landlord pay for all of my buildout, you never know unless you ask. What is the worst they can say, NO.

[thinkclean]

congratulations on finding a project. your store and machine count is close to my store. for electric I would share the spec sheets of the machines and ask your electrician for a quote. he will recommend how many amps to bring in. also note these days new machines like Dexter's are delivered to be hooked up on either single or three phase. single is obviously cheaper to install and the utility savings from using three phase is under 3% with new Dexters. also check to see if you can dig a well, out here 3000 HCF is $10k a year so it's worth 100k over 10 years before one factors in inflation and cost of capital.

[harleysr1]

Thanks for the input...

BMWHD3060 - How big is your propane tank? Do the dryers work as well and last as long? Is there a conversion kit you need? Do you use the propane to heat your water as well?

The roof is new and big....has anyone put solar panels up there
with any luck? Does the cost/benefit come even close?

Thanks again for your help!!

[BMWHD3060]

BMWHD3060 - How big is your propane tank? Do the dryers work as well and last as long? Is there a conversion kit you need? Do you use the propane to heat your water as well.

I have four 120 gallon upright tanks, in the busy season they refill every two weeks, when you order your dryers tell them you need them set for propane, all they do is install a different brass orffice fitting, not a big deal at all to convert a N/G dryer to propane or water heater, tank or tankless.
Yes my tankless water heaters run on propane. I have No dryer issues & there are plenty of mats that use propane, almost every mat near my small mat uses NG, people are always telling me my dryers are hotter/better than theirs.