Are Californi Heavy Haul companies making profits?

Like I said, I know zero about your market, but could it be that they are letting their trailer sit, waiting for the big bucks, while all the other poor saps run around for $375 per hr.?

 

That is similar to the current situation in Nashville. Everybody is moving out, selling off the high priced land to developers. The difference is, you only have to drive about 30-45 minutes out of Nashville to get into the $10k-$20K per acre range.

 

Well, the companies there already aren’t paying current prices for real estate.
If they bought it 30 years ago or more, property is likely paid off for quite a while. i never heard of a financial institution that offered 30 year financing for industrial or commercial land/

 

I have a friend with rgn and he was talking with older guy at heavy haul whi mentioned when you have over 10 axles equipment - loads looking for you , not you for the loads ...not sure if its true but from other members in hh on this forum i heard that mistakes in this business are extremely expensive

 

That dump truck business model seems to be par for the course in nearly all major cities in the entire country unfortunately.

 

I've been hoping REO and/or Rontonio would show up and offer some wisdom here.

I was thinking about this thread today when I saw the only 9 axle setup we have in the county working today. I think this is the first time it's been out of the yard in weeks. But the truck pulling it works every day. 7 axle, 5 axle, end dump, heck if nothing else they'll grab a flat and pull lumber.

Is it profitable? No idea, but they been doing it for a long time.

 

I have tried to stay out of this because I do not run local or short haul even. What I will say is that one can look at the purchase of one these trailers on a short horizon like 5 years. Most of the Cali Multiaxles I have had experience with were well established and had long term relationships with the construction companies that own and move these machines. My first job in trucking was for Double D in Hayward and they ran a number of multiaxles. They had ownership ties to one of the big road construction companies and moved all their machines large and small. They also ran like 150 belly dump trailers everyday on the highway projects. So it would not have mattered that they “lost” money on those big trailers - they would more than make it up on the otherside.

so, I am not sure if this clears anything up at all. I know in the Phoenix market I won’t move machines local based on the work vs reward matrix. Move a 657 on a 4 hour minimum for $1600 - no thanks.