Commercial Studio Revenue per square foot

[jho]

Commercial studio owners only please (much love to my home grown brothers though!)

What would you say your gross revenue per square foot is (this way you don't have to disclose your actual revenue...)

For example, you've got 2500 SF and you bill $25,000 a month therefore your GR per SF is $10...

I'm curious, and putting together some business plans.

Thanks!

Jeff

[jho]

[Clueless]

Originally Posted by jho

What would you say your gross revenue per square foot is (this way you don't have to disclose your actual revenue...)

For example, you've got 2500 SF and you bill $25,000 a month therefore your GR per SF is $10...

2500 SF of acoustic space? Or including lounges, bathrooms and storage? My facility's going to have approx 2561 SF of playable acoustic space, but it's 5617 of SF under the roofs and 8700 SF worth of level slab. Which number is most appropriate for your denominator?

[jho]

Originally Posted by Clueless

2500 SF of acoustic space? Or including lounges, bathrooms and storage? My facility's going to have approx 2561 SF of playable acoustic space, but it's 5617 of SF under the roofs and 8700 SF worth of level slab. Which number is most appropriate for your denominator?

Hey man,
Let's say acoustic space+lounge, bathroom storage and office. I'm weighing options on lease vs. buying in my area, which is pretty pricey on both fronts. It's been said that the rent/lease should not be more than 12-15% of the monthly gross revenue. I'm trying to see what reality is like out there for others.

BTW...looks like we're both using the same designer...cool!

J

[Clueless]

My top-line target is $45,000 per month, give or take. The triple-net lease is likely going to be around $8K/month, which means that in one fractional sense (lease as a fraction of revenue), it's about 18%. In your metric, $45,000 / 4330 artist-useable space (does not include garage, machine room but does include green room, storage room, bathrooms, etc) works out to just over $10/SF per month.

Should be easy, right?

[jho]

Originally Posted by Clueless

My top-line target is $45,000 per month, give or take. The triple-net lease is likely going to be around $8K/month, which means that in one fractional sense (lease as a fraction of revenue), it's about 18%. In your metric, $45,000 / 4330 artist-useable space (does not include garage, machine room but does include green room, storage room, bathrooms, etc) works out to just over $10/SF per month.

Should be easy, right?

Cool...$10/SF is where my preliminary numbers were basically landing! Your numbers area actually very close (I'm a fraction of the size so proportionally on the revenue).

Would love to hear from any others to see if these metrics hold true for them?

[Clueless]

Originally Posted by jho

Cool...$10/SF is where my preliminary numbers were basically landing! Your numbers area actually very close (I'm a fraction of the size so proportionally on the revenue).

I'll bet I'm cheaper by the CU FT: $0.81/CU FT.

[jho]

Originally Posted by Clueless

I'll bet I'm cheaper by the CU FT: $0.81/CU FT.

..yeah with all that ceiling height! That will be a very beautiful facility man!