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It is not different from real estate investment which is a very good business.This is also the same as investing in real estate, real estate still remains one of the best ways to generate passive income for yourself and you can make good money from it.
To engage in this type of enterprise, you would need a lot of capital to succeed.If you do not have land near the factory, you will have to by land, and lad in the proximity of factories costs a lot of money. But if you have money, it might be a good passive income.
It is a rental property and engaging in rental property is a very profitable Investment.You can definitely and passive income through building quarters and you will collect money for rentals.
Also, many large factories actually prefer to build such accomodations for their staff themselves as it's cheaper and closer to the workplace. A few might go outside the one provided, but most prefer to stay with others like them.Probably, most of the factory workers will probably rent it because it will be nearer for them to work there. I think it is a very good idea but getting a land may be a problem.