Owning a spare plot of land can be like sitting on a winning lottery ticket. While the simplest way to monetize an empty plot of land is to sell it, there could be other ways to turn it into a continuous form of income. And we’re not talking about turning it into a labor-intensive farm either – by exploring alternative income stream ideas, it may be possible to make money from your empty plot without barely lifting a finger. Below are 6 examples of ways to turn empty land into a passive income that are worth comparing.
Community garden
If you’ve got some land located near a residential area, setting up a community garden could be an idea worth pursuing. Many people want to grow their own food, but lack the outdoor space. You can make money by providing small plots to these people to grow plants in for a modest monthly or seasonal fee.
When looking into how to make this work, consider some of these tips:
- Start by making sure that land is suitable for growing on. Check the soil quality and consider installing raised beds if drainage is poor.
- Divide the land into individual beds that tenants rent each season. These could all be the same size, or you could provide a few larger beds that cost more to rent.
- Provide water access, compost bins and tools storage. Lighting and security fencing could also make the garden more attractive.
- Consider hosting workshops on soil health, planting and composting to generate more interest and potentially make money through event fees.
Self-storage
Self-storage is one of the most straightforward ways to monetize spare land. Many people find themselves needing extra storage space for inherited belongings, work tools, seasonal gear or business inventory. By installing some storage units, you can tap into this demand.
To make self-storage facility a success, you’ll need to make some of these considerations:
- Offer a mix of storage unit sizes to appeal to a range of customers.
- Look into prefab self storage buildings if you are on a tight budget. They are also typically much faster to build if you want to start making money quickly.
- Make sure to plan access for vehicles and lay down a vehicle-friendly surface like concrete, asphalt or gravel.
- Invest in security like lighting and cameras to provide peace of mind to customers renting out units.
Parking lot
In dense urban areas – particularly locations near train stations, airports, stadiums and tourist attractions – vacant plots of land can often be turned into lucrative parking lots. You won’t have to provide a lot of maintenance, and upfront costs could also be relatively low.
What is the key to setting up a profitable parking lot? A few of these tips could be important to keep in mind:
- Start by choosing the right surface option. Gravel is cheaper than asphalt, but asphalt will look more professional and allow you to get away with higher rates.
- Carefully plan out the layout to maximize the amount of bays without creating too much congestion. Think carefully about where to put entrances and exits, and think about the direction of traffic flow.
- Implement a simple parking meter system or partner with a parking app provider. Provide clear instructions for payment and make sure rates aren’t too high by comparing other parking lot fees in the area.
- If you haven’t got a lot of upfront capital, consider renting the space out to a parking management company.
Solar farm
Plots of land that are not overshadowed by buildings or trees could be turned into solar farms. This involves installing multiple solar panels and then selling the energy to a local electricity provider or directly to homes and businesses in the area.
Solar farms are very easy to run, but there are some vital things you need to understand:
- Installing multiple solar panels could require a lot of initial capital. Leasing the land to a solar developer could save you money upfront – they handle and pay for everything while paying your fixed rent.
- You will make more in the long run by going down the self-development route. In this case, investigate a grid access agreement with your local electricity provider to determine how your system will be connected and how much you’ll be paid.
- There may be local incentives like grants that can help pay for installation. Look into what your state or county offers.
Campground
Campgrounds can be a passive income source in relatively rural areas – especially those near national parks, hiking trails, lakes and rivers, or remote tourist attractions. Start with minimal tent only sites for budget travellers and then build your campsite facilities up from there.
When attracting people to your campground, consider some of these tips:
- On top of pitches, provide shared amenities like toilets, showers and picnic tables. Larger pitches with RV hookups could be worth considering for attracting RVs, but be prepared to charge more for the energy usage.
- Heavily market your campground so that people know about it. Build a website to take booking through and invest in local SEO and social media marketing.
- Think about other creative ways to make extra money from your campsite. This could include firewood sales, guided hikes, kayak rentals or a small campsite shop.
- Check whether you need a license – in some states, campground class as tourism businesses and require extra permits.
Apiary
Ever thought about getting into beekeeping? You don’t need a lot of acreage to set up an apiary and you can make money by selling honey without having to spend much money upfront or dedicate much time to upkeep.
Running an apiary is fairly straightforward, but there are some important details you’ll need to consider:
- Taking a beekeeper course is recommended to understand the process of beekeeping and to ensure that you’re meeting health and safety and environmental guidelines.
- Some states require you to register your apiary with the local Department of Agriculture. This allows you to be notified of any diseases or issues in your area affecting bees.
- If you don’t fancy doing the beekeeping yourself, you can rent out your hives to a local beekeeper.
- On top of selling honey, you can sell other products like beeswax and propolis, as well as making money through beekeeping workshops.
Meg is an author at Cinnamon Hollow. She writes on a variety of topics sharing tips and ideas for daily life.
