I'd like to make of list of things I need to know / questions I need to ask
in order to rent a retail space. Also, how do I go about estimating buildout
costs?
officespaceaustintx | Window Shopper |
2/19/2013 - 8:48 am
The best way to estimate buildout costs is to get at least 2-3 preliminary
construction bids for the work you want to do. Providing the contractors with
a rough sketch of your ideal layout will help.
Make sure you do this before signing a retail lease. You want to know all
your out of pocket costs first as when getting the construction bids you may
find a few items that you can get the landlord to pay for instead of you.
A good tip to know is that most leases are negotiable and you can request the
first 1 - 3 months rent free while you build your customer base.
Also, most property taxes become part of your rent. As well as maintenance
fees. You might be required to have your own contracts for air conditioner
maintenance (over and above the monthly CAM charges...maintenance fees). You
can ask for an allowance for the build out, but you will likely be required
to pay out of pocket. If it's a vanilla box (brand new build) the owner might
pay for some of the build out.
creativemediaweb | Window Shopper |
7/15/2012 - 3:46 am
Show Replied Text…
I started renting a retail space in March of this year.
I'm in a small town though, but not that small.
In other words, we only have one outlet mall located in this immediate area.
Prayfully & thankfully I was able to rent.
From my already new experience ask about Rent a month.
Ask to see the potential space before hand. ( I didn't get a chance to see my actual spot until I got the key to my space).
Make sure it gets cleaned. (the leased space). Mine was filthy.
Make sure everything works properly, (toilets, blown light bulbs,etc).
Can you have your own hours of operation, if the space is stand alone surely, but I'm at a outlet mall, we are as 1, they don't care how big or small.
See if you are renting as is & or see if you are able to make small changes if needed.
How short or long can the first lease agreement be?
Ask to see the actual lease before signing even if the property manager acts as if shes so busy.
With all this I'm still thankful because my rent is affordable & won't put me out of business.
On top of that I amongst big retailers, Gap, Old Navy, Rue 21,etc.
Its lovely, just trying to grow my store now.
Good points. One other thing to remember is that all leases ARE NEGOTIABLE.
Just because they are asking for a certain amount per month doesn't mean its
set in stone. In this economy, you can negotiate any of the terms in a lease,
kind of similar to when you purchase a house. Just remember that and you will
keep things in your best interest.
kburger | Community Moderator |
6/28/2012 - 10:20 am
Our blog post entitled, 4 Steps to Moving Your Business out of your Home and Into a Retail Office, will give you a broken down list of the process. Another good post to read would be, Before You Sign: Quick Tips for Understanding the Terms of a Commercial Lease. Good Luck!
officespaceaustintx | Window Shopper | 2/19/2013 - 8:48 am
construction bids for the work you want to do. Providing the contractors with
a rough sketch of your ideal layout will help.
Make sure you do this before signing a retail lease. You want to know all
your out of pocket costs first as when getting the construction bids you may
find a few items that you can get the landlord to pay for instead of you.
bizplanhelper | Window Shopper | 7/2/2012 - 8:26 pm
first 1 - 3 months rent free while you build your customer base.
Also, most property taxes become part of your rent. As well as maintenance
fees. You might be required to have your own contracts for air conditioner
maintenance (over and above the monthly CAM charges...maintenance fees). You
can ask for an allowance for the build out, but you will likely be required
to pay out of pocket. If it's a vanilla box (brand new build) the owner might
pay for some of the build out.
Toynga | Window Shopper | 6/29/2012 - 6:35 pm
I'm in a small town though, but not that small.
In other words, we only have one outlet mall located in this immediate area.
Prayfully & thankfully I was able to rent.
From my already new experience ask about Rent a month.
Ask to see the potential space before hand. ( I didn't get a chance to see my
actual spot until I got the key to my space).
Make sure it gets cleaned. (the leased space). Mine was filthy.
Make sure everything works properly, (toilets, blown light bulbs,etc).
Can you have your own hours of operation, if the space is stand alone surely,
but I'm at a outlet mall, we are as 1, they don't care how big or small.
See if you are renting as is & or see if you are able to make small changes
if needed.
How short or long can the first lease agreement be?
Ask to see the actual lease before signing even if the property manager acts
as if shes so busy.
With all this I'm still thankful because my rent is affordable & won't put me
out of business.
On top of that I amongst big retailers, Gap, Old Navy, Rue 21,etc.
Its lovely, just trying to grow my store now.
creativemediaweb | Window Shopper | 7/15/2012 - 3:46 am
Just because they are asking for a certain amount per month doesn't mean its
set in stone. In this economy, you can negotiate any of the terms in a lease,
kind of similar to when you purchase a house. Just remember that and you will
keep things in your best interest.
kburger | Community Moderator | 6/28/2012 - 10:20 am
Join The Discussion
You must be logged in to join the discussion. If you already have an SBA Community account, Log In to join the discussion.
New users, Register for a new account and join the conversation today!