current property lease

[garym]

Given the current state of the economy has anyone attempted to re-negotiate their
current property lease ? Results ?

 

[system]

That might be possible if you are aware that your landlord has several other locations on the premises or elsewhere that are empty. But you also have to balance that against their knowledge of how hard it is (or even feasible) for you to move your business elsewhere.

I suspect that against an established restaurant, the landlord has the upper hand.

 

[Daddio]

gregster:

That might be possible if you are aware that your landlord has several other locations on the premises or elsewhere that are empty. But you also have to balance that against their knowledge of how hard it is (or even feasible) for you to move your business elsewhere.

I suspect that against an established restaurant, the landlord has the upper hand.

But on the other hand if there is a posibility to move to a better location and the new landlord would give concessions to accomidate the build out. The temptation would be to move if the rate were better. Lets say for arguements sake you were a DelCo in a neighbor strip mall with no real anchor store and you have the oppotunity to move to a strip mall at a main intersection with a major food store as an anchor. Should your current landlord be more flexible on his rates?

 

[steveo922]

Daddio:

gregster:

That might be possible if you are aware that your landlord has several other locations on the premises or elsewhere that are empty. But you also have to balance that against their knowledge of how hard it is (or even feasible) for you to move your business elsewhere.

I suspect that against an established restaurant, the landlord has the upper hand.

But on the other hand if there is a posibility to move to a better location and the new landlord would give concessions to accomidate the build out. The temptation would be to move if the rate were better. Lets say for arguements sake you were a DelCo in a neighbor strip mall with no real anchor store and you have the oppotunity to move to a strip mall at a main intersection with a major food store as an anchor. Should your current landlord be more flexible on his rates?

But what if there are still some terms left on the contract? That is assuming that the lease is up.

Plus if you had the opportunity to move into a main intersection location with a major food store as an anchor AND still could get better rates from your current landlord, why wouldn’t you move? Location location location.

Also, I doubt anyone would move their store just for that reason. Now expanding, and/or a much better location is another story, but to move just to stick it to you landlord b/c he won’t budge on rent IMO would be foolish.

 

[marbles_2]

We’re the anchor tenant in a strip mall next to the grocery store and my five-year-lease has expired. The landlady has been horrible at dealing with issues such as building and parking lot maintenance; the building’s outdoor lighted signs are not working; and she won’t split the costs of putting in a heating/AC system with me (she just wants a swamp cooler in the window, or another fan in the ceiling). The final straw was when she rented the next door space (which I had said I wanted a small part of to put in a walk-in because we really are squished in our spot) for half rent to the real estate office who wanted a bigger space than the one they had elsewhere in the building. We were starting to investigate buying our own lot and building our own restaurant to our own specs, but then this recession stuff came along so it’s on the shelf for a few years.

MEANWHILE, the landlady called to renew the lease and offered a small reduction in rent. I said I didn’t know, we were unhappy and wanted to move to our own place. She freaked! Suddenly work was done on the parking lot (there was a lake where the drain had clogged years ago) and she at least sent someone to check roof leaks (no fix yet). She’s also practically evicted the real estate folk back to some other unused space. I suddenly realized I have the power because if she loses me, she’s got a big empty building. We have a meeting planned to discuss issues face-to-face and I figure I can negotiate a much, much, much lower rent and then do my own heating/AC, expansion, etc. We’ll see… ( I need to review my notes from a Kamron Karrington class on getting what I want!)

 

[Deacon_V]

In my current business we needed a LOT of work done on the building, stuff that like others had been neglected for many years. We had a couple of locations in town that were open and “could have” been moved into if our negotiation failed to come up with answers. Faced with the possibility of having a big empty building our landlord has finally sprung for a whole new roof and insulation to stop the darn leaks, new eletrical service upgrades, re-sealed the parking lot and repainted the stripes and blocks, AND elimnated the planned for 4% raise in our rent.

So yeah…negotiate.