The benefits of investing in gas stations.

23 Feb 2024 · 1 min

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In this segment, Eric Siu explains how he leveraged the cash flow from his online businesses to purchase corner‑lot gas stations as a passive real‑estate investment. He bought properties that are leased to large, publicly‑traded operators such as Couche‑Tard (owner of Circle K) under triple‑net leases, meaning the tenant handles rent, insurance, maintenance, and all operating expenses. This structure provides a headache‑free, predictable income stream that serves as a financial safety net. With that security, Siu became more frugal, reduced personal stress, and felt confident to take bolder risks in his digital ventures, using the gas‑station income as a backup plan.

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So what I did at the time, once my online businesses were making money, I didn't spend anything, right? I was very, very frugal. So I went to him and I said, I would like to buy a gas station too because I've saved up enough money. And so I bought them because one, they're corner lots. I'm not operating those gas stations. I own the real estate and they're leased out to publicly traded companies like Couche-Tard, right, that own Circle K and so on. And they, they pay you rent and they pay for your insurance, they pay for maintenance, they cover everything, right? It's called triple net leases. You can look it up, but it's headache-free for the owner. And for me, I was not sure what my digital business was going to do, because nobody in my family has ever had a business, considering I told you how hard my dad was working. I'm like, if all of this goes away, at least I have this predictable income that will sustain my life. That was, I think, was a pretty important shift also in my journey. Because once I had that peace of mind, I was no longer stressed about things. I'm like, okay, if something goes wrong, I have this as a backup. I was able to make more bold moves in the business.