If I owned my own rail car...questions for the members here.

Trains Magazine General Discussion
1

I’m about to show my ignorance, I’m afraid…

Let’s say that I own my own rail car. I bought it used for $50,000. Who would manage that car for me and see to it that it gets loads and income? How much of a cut would they expect? How much would an average year bring in for boxcar or covered hopper? If the car is damaged, it must be repaired to complete the journey. How would that be billed? Is there insurance on the car for destruction or repair?

My questions stem from owning rental property and having an excellent property management company do the work for a small cut of the profit. I’m very happy with the arrangement. [:D] So, does the same thing happen in the railroading world?

2

I read an article somewhere about a company that does just that. i think they get 25% of the gross or something.

3

25%? [:O]

My rental property management company only takes 10%.

Now if I can just find someone to tell me how much a privately owned rail car makes in a year…

4

Check trains magazine for articles. They did a rather full analysis some time ago. I would guess around 1978 but the factors should be the same adjusted for current interest rates.