Having a cookout for your STR tenants?

Question

Several years ago, when I had less properties, every place I had was rented with people doing some specialty maintenance work at a refinery. I had the same 63 people renting from me for over a month. Now I have about 5 more properties, and have 83 beds (including sofa beds).

There is another big maintenance project starting soon.  My goal is to have 100+ tenants.  People hot swap beds.  I provide 2 sets of sheets/blankets with some of my beds.

The people work 12 hours a day, 13 days in a row. The 14th day is their fatigue day, a day off. I'm thinking about telling all my tenants that if there are 100 people renting from me, I'll have a cookout at their house on their fatigue day. I have a 16' dual axle flatbed trailer that can hold 4 big grills and a keg of beer. I'll drive this to the back yard of the fatigue day house and have a cookout for my tenants.

I'm doing this for the word of mouth advertising it will get me.  My tenants will tell other non-tenants that are staying in a motel what a great deal they have with staying in my houses.  When these people leave, there might be a list of people waiting for the empty house.  Ideas?

Paul Sandhu · Answer

I may do something like this:

Have 3 or 4 grills on the trailer, have a 60 quart K2 cooler filled with burgers/steaks and other cuts, and have a keg of beer with a CO2 dispensing system (screw the manual pump type dispenser).  Before I go to a particular house for their fatigue day cookout, I'll tell them to invite their co-workers that are staying in motels to come to the party.  That way, if some of my tenants leave for whatever reason, their co-workers staying in a motel can take their spot.  If another house becomes vacant, the ones in the motel can take it.  So there may up 10-30 people at the cookout.

The guys will quickly see that I'm understaffed to do all the cooking with so many grills, and some will probably hop on the trailer and help.  Someone else will probably tell me to get off the trailer and enjoy a beer, because they'll do the grilling with whatever grill I'm left to man.

Final question:  Is the food and beer a tax deductible expense?  What if I hired some dancing girls to the party?  Could that be deductible?

John Teachout · Answer

Even if it didn't generate more business, it would certainly create goodwill and be a nice "thank you" for your customers. Living away from home/family is usually rough and something "nice" would be appreciated.

Michael Baum · Answer

@Paul Sandhu I think that is a great idea! Nothing like a cool extra to drive business.

I would do a real mix of burgers, sausage, etc but include some ribs (both pork and beef) and maybe some steaks.

I would go to Costco and look at bulk meat or a good local butcher. It is amazing how much you can save. For example, I bought a 30lb New York roast. Just under 4 bucks a pound. I cut about 18 steaks (16oz each) and used the rest for Christmas. That was at Costco. They have great meats.

Personally I think that will boost your business a bunch. Those guys will talk and talk about it. I would start looking for a few more of those $9500 homes you find.

Brent Paul · Answer

That sounds like a great idea

Troy Bailey · Answer

Of course the dancing girls can be expensed they are catering staff. Its' all about the classification :). Send pics

John Underwood · Answer

I'm sure they will appreciate it.

Having a cookout for your STR tenants?

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