Hey guys, I’m looking for some suggestions. I have 2 years left on a five year “Triple net lease”. It’s pretty small and we’re really limited in the kitchen. A building came up for sale this week. It had been a restaurant at one time, so it looks like a really easy job to convert it back into one. It’s now just an empty 2400sq ft. shell with the kitchen area and two restrooms. The real allure: If I bought it, my payments would be the same as what I pay now to RENT 1/2 the space. Has anyone tried to get out of a lease early? How can I approach the landloard? He has been wanting me to buy the building I’m in now, along with his mini-mart next door, but I haven’t got the $1million he wants.
Seek the advice of an attorney, however, leases are usually written by the landlord and are very onesided giving the landlord all kinds of options while giving you very few. My advice would be to by the new building if the deal is a good one. If you went under contract today, you could probably drag out closing for 3 to 6 months. Renovating and securing all licenses might take 3 to 6 months longer. During this time, try to sublease your current building. Worst case scenario, you will be paying rent on an empty store for 12-18 months. If you can afford to take this risk, it is a small price to pay to own the ideal building.
Yeah, I was thinking about something along those lines. I thought about leasing some games and pool tables and turning the new place into an arcade for now. That would get people used to the place, while I work on the kitchen and wait for the lease to run out. May not totally pay for it, but could offset the cost a little. Also, it’s only two blocks from the existing place, I think I could get away with serving our food there.