Is there a “back of the envelope” method to valuing an already built billboard? For instance Projected Revenue divided by Purchase Price should be at least 20%. I was thinking about buying one in my town and was trying to see if the asking price was reasonable. The one I am looking at is $225k and would get $3,600 month if fully rented (2 sides each tri spinners = 6 sides x $600 month = 3,600). I’m not familiar with what typical fixed expenses are on billboards. Land rent, utilities, maintenance, property taxes, etc.
Any comments or advice is appreciated.