Retail Tenant Source is a licensed California real estate brokerage
focusing on the greater Fremont, Newark and Union City area, License # 01460164
Call Today: 510.207.6207
Scott@RetailTenantSource.com
Are Retail Lease Rates Finally Coming Down?
by Scott Capen
A lot of folks have been asking me lately “are retail lease rates coming down?”
Well the real answer to that is: Yes, No, and it depends.
According to a recent report from CoStar (www.CoStar.com the number 1 commercial real estate information company), the 2009 “Third Quarter National Retail Report show[s] that there has been at least a moderate meeting of the minds between retailers and landlords, which is reflected in the national average retail asking rental rate.” The report continues, “…the national average asking retail rental rate (triple-net basis) came in at $16.94 per square foot (psf) at the close of the third quarter, down nearly 4% compared to the rate a year earlier.” So the first answer is “Yes” by as determined by national average.
Common Mistakes Made By Those Who Negotiate Their Own Lease
By Scott Capen
The Risk Mistake
A lot of people think that entrepreneurs are people who like to take a risk. Well that could not be farther from the truth. The reality is an entrepreneur leaves nothing to chance. Successful entrepreneurs have done their homework and checked their facts three times over or more. Why? Because they don't like surprises!
Lots of small business owners will not conduct the research necessary to find the location that absolutely meets their needs. Choosing the right location can be the difference between success and failure. And just as important, is choosing a location that can meet your needs in the future. They fail to ask themselves; what if I need to expand, contract, or abandon my business completely? And if I need to do any of these things, am I going to be able to do so without losing my shirt?
As much as I hate to say it, a lot of new business owners end up "settling" for a location because the get worn out looking at location after location and don't know where to get the information they need that will tell them if a location will work or not.
So they take the "risk" on a location that may end up sinking their business in the short term.