Idea Napkin No. 1

1) My name is Benjamin Sherry and I am an advertising student with a minor in real estate at the University of Florida. I will be beginning law school in the fall where I intend on pursuing a career in Real Estate law. I have also spent the last three and a half years living in and out of different apartments in Gainesville, Florida while receiving my undergraduate degree. My ultimate goal is to own and manage multi-family residential real estate, specifically apartment complexes and town homes. College towns are one of the best places to invest in real estate, Gainesville being one of the best in Florida. My business idea, a residential rental property with quarterly leases aligning with college schedules would be a perfect way for me to begin my real estate investment portfolio and begin managing properties. My hope is to grow this business idea into a popular model in Gainesville and ultimately take over the real estate market in this city similar to what companies like Trimark and Collier company have.

2) The product in this business concept is intangible. However, it is nonetheless extremely valuable to Gainesville renters. This rental property would offer customers the opportunity to avoid being stuck in a year long lease that causes countless potential problems and inconveniences. The leases offered at this residential property would be different than the standard one-year leases found in a vast majority of the residential rental properties in Gainesville. They would be four-month leases aligned with the typical operating schedule of the University of Florida. They would be easily and immediately renewable, meaning if somebody wants a one-year, two-year, one month or any type of lease time-frame they can receive it. This is extremely unique and different than most apartments in Gainesville where your only option is a one-year lease.

3) The product will be offered to all individuals receiving a higher education in Gainesville, Florida. A majority of people who are in Gainesville for their higher education came here specifically for this. This means nearly all of them are in need of a place to live. Additionally, when getting an education in a city that you do not permanently reside, it is likely you will not be there during breaks from school or during periods of internships/residencies and so on. This creates an inconvenient situation for people trying to save money and not pay for a lease when they are not living in Gainesville. This product will also be offered to students who do not have people to live with but do not want to live alone. Living with random roommates is a tremendous risk. People who are scared of who their random roommates may be are usually hesitant to sign an entire year long lease. However, with this product, they can sign a four month lease and wait to see how they get along with their roommates before continuing to live with them.

4) Customers will care about this for multiple reasons. The number one reason why people will want to pay for this product over others is one of the most compelling college student opportunities that exists. The opportunity to save money. By paying for shorter term leases, students are not risking paying additional wasteful rent while they are not there. College students also care significantly about alleviating stress. As a college student, there are tons of stressors that come from difficult classes, living on your own for the first time, trying to find a job after graduation, finances and so on. Having to stress about roommates you do not like, wasting money on rent at an apartment you will not be living in for several months, or having your lease end before the summer semester is over are all stressors that students do not want to add to their already thick list of stressors. If they knew that this opportunity was available, they would care significantly about having somewhere to live that they will never have to worry about these things.

5) While there are many apartment complexes in Gainesville that lease primarily to students, none of the owners are students. By having the experiences I have had, it is easier for me to know what students want and need than any disconnected real estate company that owns properties in the area. Additionally, the product we will be providing is completely new and unique and already separates us from an already tremendously saturated market.

My faith in this business is only strengthened by this exercise. The more I think about it, the more reasons I come up with as to why it is such a great idea. All 5 elements fit perfectly together which proves the idea as strong and plausible. The only weak point in this entire business opportunity is that the rent will have to be more expensive than most other rival properties. However, when considering the value proposition and everything that is offered by this product, the additional price seems like something customers can overlook based on the additional benefits they would be receiving.