Pool rooms that closed down due to rent increases?

[realkingcobra]

I think about my home town (childhood) pool room (that ran out of business back in late 99 or 2000) from time to time, and I still get very angry when thinking about the rich greedy owners who owned the building.

I am not sure how much the rent originally was when it opened back in the early 90's, but at the time of its closing, the rent was around $2400 a month (from what I heard / from what I remember).

I heard that the owners kept increasing the rent on the guy that ran the pool hall / arcade, and it got to the point where he was barely breaking even after all of the expenses.

I imagine that none of you guys have ever heard of the place, but it was called Power Players, and was located in Carbondale (in Southern Illinois).

I loved that place.

It had 12 nice Valley 8 foot tables (that the owner kept in good condition, and refelted on a regular bases).

Anyways, I just do not understand the sense in driving the rent up to the point where the place can't stay in business, and then it end up being nothing but an empty space for years after it gets closed.

But I understand that maybe the owners did not expect the building to remain empty for so many years.

If the owners could have made the rent more affordable, then I think the place could have remained open (maybe even to this day), but the owners would rather just let it sit empty, and collect nothing (0 income) on the place for years.

After years, the building ended up being an information center (to hand out info / flyers about the city of Carbondale).

I just wonder if greedy building owners like that ever regret their decision to drive pool room owners out of business, due to rent increases.

Why not work with the pool room owners (like maybe even lowering the rent, in times when they are hurting for business)?

It is better then letting the building sit empty, and collecting no rent money at all, right?

Anyways, I just really miss my old home town pool room (that I grew up shooting at), and still upset that it ran out of business.

The owner closed it, because he was no longer making any money, and knew he could go back to driving a truck, and make a very good yearly income.

It is just really sad when your local pool room closes down.

Pool rooms that insist on operating with last year's business plan, for years after opening, and do nothing to KEEP the customers coming back.....are destined to fail sooner or later. The landlord raising the rent was not the reason for failing, the customers not coming in anymore and spending their money....IS the reason rents don't get paid. When a room owner thinks they can keep paying the bills on table time alone....they're only fooling themselves.

 

[maha]

you cant write off lost rent when empty from your taxes. all you can do is deduct your expenses you pay out.
landlords dont make much off their properties from rents. they make it from appreciation on the sale. they need to raise the rents regularly to pay expenses.

as cobra said they close because of bad management. generally good business people dont open poolrooms.

 

[chefjeff]

I used to cook in a folk music club in downtown Lowell, ma. The owner of the building was ruthless and saw this wide eyed entrepreneur coming from a mile away. He had him paying rent for four floors of space when he was only using one half of a floor for the club. They also had it rigged so he was paying the electricity for the whole rest of the building, which included the owners bar. If this wasn't enough he was strangling him with increases to rent the was already too high. The club never stood a chance. Now granted he should have had a lawyer look at the lease he was signing and vetted these things out, but, it is still unconscionable on behalf of the property owner.

The commercial real estate market is full of people like this. There business is to suck money out of the businesses they rent to. Once that business closed they look for another to gouge and the cycle continues. In fact business in general is run that way. Between suppliers, insurance carriers, staffing companies, taxes etc, etc... Small business are supposed to fail. All of that money just feeds the bigger fish. It does seem that the owner of this particular building just priced himself out of the game. He would have made substantially more money in the long run if he didn't let his greed get the best of him, but that is not how capitalism works. You gotta grab that cash with both hands and make a stash.

re the bolded.....Which is it, greedy or not? If he is greedy, why wouldn't he satisfy that greed by serving his customer to maximize his take? Why would his greed do just the opposite and have him harming his customer?

Jeff Livingston

 

[Colonel]

Recently Satyr Hill Cue Club outside Baltimore. It had been there since 1970. A friend called recently & told me, wish I'd seen it one last time before the doors closed.

 

[336Robin]

You cant avoid promotion but for so long

Pool rooms that insist on operating with last year's business plan, for years after opening, and do nothing to KEEP the customers coming back.....are destined to fail sooner or later. The landlord raising the rent was not the reason for failing, the customers not coming in anymore and spending their money....IS the reason rents don't get paid. When a room owner thinks they can keep paying the bills on table time alone....they're only fooling themselves.

You have to be creative and promote to markets that don't know about you that might find value in what you can do for them. The general pool market just isn't enough to do it. Pool survives best on people that want to learn to play and people that find Pool fun. You find a way for pool to be fun, then you have something to market to other groups.

 

[BmoreMoney]

Recently Satyr Hill Cue Club outside Baltimore. It had been there since 1970. A friend called recently & told me, wish I'd seen it one last time before the doors closed.

Oh no, I hadn't heard! A buddy of mine and me have been planning on going there to hit some but we just haven't been able to hook up. Honestly though, off the top of my head I can't think of one person that goes there - everybody I know just goes to Top Hat or 9's or whatever. I know I've been by there a million times and even in the parking lot but I'm not sure if I've stepped foot in the place ever in 25 years.

 

[realkingcobra]

You have to be creative and promote to markets that don't know about you that might find value in what you can do for them. The general pool market just isn't enough to do it. Pool survives best on people that want to learn to play and people that find Pool fun. You find a way for pool to be fun, then you have something to market to other groups.

A room simply filled with pool tables is in no way....a pool hall, but rather a business just waiting to fail.