How do I crack this nut? - Page 2 - PeachParts Mercedes-Benz Forum

aklim · #16 01-18-2011, 12:51 PM

Quote:

Originally Posted by Chad300tdt

If you can't serve breakfast, just serve lunch and dinner.

There is a location about 2 miles from my house that has had about 6 restaurants in the last 10 years. The most recent, a Bacco, has been there for about 5 years now and is doing great. They open for lunch and dinner. The previous failed restaurant attempts were all breakfast/brunch (all you can eat) places.

Personally, I'd never want to open a breakfast place due to the fast pace with most getting just coffee and a bagel. At least with lunch and dinner, you can charge a bit more and if you get a liquor license, you're set.

I know several restaurant owners and the most successful is the owner of a pizza shop with a bar.

Why should I bother with you? FAWK YOU. There are 5 other places that want me so why should I care about your exclusivity contract with that guy? I will go somewhere where I don't have those rules. How bout them apples.

There are so many closed shops that it isn't even funny. I am in the driver's seat as a tenant.

Kuan · #17 01-18-2011, 12:53 PM

The appeal of this "dead restaurant space" is that it's already set up. There's no dinner business to be had in this mall. All of the traffic is local breakfast and office lunch.

Daman858 · #18 01-18-2011, 01:01 PM

From my understanding, this is a common "no competition" clause in a lease. It is done all the time. For instance, if a mall food court has a McDonalds, you can bet they have a lease that says there will be no other fast food burger joints there. A Chic-fil-a yes, or a Chinese food place, OK, but no Burger King or Hardy's.

aklim · #19 01-18-2011, 01:40 PM

Quote:

Originally Posted by Kuan

The appeal of this "dead restaurant space" is that it's already set up. There's no dinner business to be had in this mall. All of the traffic is local breakfast and office lunch.

Is there another place that will accommodate him? After all, he is losing a lot of business? Does the owner have a contract with the successful restaurant or is the guy rattling sabers?

Kuan · #20 01-18-2011, 02:31 PM

Quote:

Originally Posted by aklim

Is there another place that will accommodate him? After all, he is losing a lot of business? Does the owner have a contract with the successful restaurant or is the guy rattling sabers?

I have to find out. This is another of those damn malls with 60% occupancy. Go figure. Chances are he's not going to go through the trouble. There are other places.

I never understood why people want such big bucks for their retail space that's been sitting unoccupied for months.

aklim · #21 01-18-2011, 02:43 PM

Quote:

Originally Posted by Kuan

I have to find out. This is another of those damn malls with 60% occupancy. Go figure. Chances are he's not going to go through the trouble. There are other places.

I never understood why people want such big bucks for their retail space that's been sitting unoccupied for months.

I would say so in this economy

They can ask but if nobody wants to pay or you push them with a better offer, the might relent.

Hatterasguy · #22 01-18-2011, 02:44 PM

Call up and talk to the landlord, its probably a competition clause. A lot of times around here they won't let say two Chinese or Pizza places occupy the same strip mall.

Everything is negotiable, see if they will let you serve brunch. If not find another location.

Skid Row Joe · #23 01-18-2011, 04:49 PM

Quote:

Originally Posted by aklim

Actually, that is worded in the contract. For instance, if I set up a shop right next to H&R Block, they could have it in their contract about being exclusive. So, If I owned H&R Block, I would make it a part of my contract that you do not allow anyone who is doing taxes in that strip mall. My friend's store wanted to do taxes and H&R said "NO. We have exclusive rights" or whatever the term is. OTOH, if there is no contract with the first owner, there is an issue with the successful business threatening to leave.

That said, why there? There are so many open spaces with the recession that they can pick and choose. Another friend of mine had a Karate shop. He made so much noise the massage place wanted him gone because it disrupts the clients. Maybe they were taking too long with the distractions for the "happy ending", IDK

. Anyways, the strip mall owner offered to have him move into a place further from the massage shop. He went shopping and found another place a little down the road for half the rent. So, my answer would be "FAWK YOU! I'm gone". There are other places that want me.

And here I thought all the noise/screaming/moaning would be coming from the massage parlor.

Skid Row Joe · #24 01-18-2011, 04:59 PM

Quote:

Originally Posted by Kuan

The appeal of this "dead restaurant space" is that it's already set up. There's no dinner business to be had in this mall. All of the traffic is local breakfast and office lunch.

Maybe there's no need for a dinnertime restaurant right there? Does he think office workers will come back for dinner? I doubt it. That's why downtowns and other office parks get deserted real quick at 5 p.m. and all weekend long.

SwampYankee · #25 01-18-2011, 05:20 PM

Quote:

Originally Posted by Kuan

I never understood why people want such big bucks for their retail space that's been sitting unoccupied for months.

Or any property. There are two commercial properties on our main strip in town that have been for sale for 15+ years each. They've been vacant for that long and each has a building that would be difficult to adapt to a different type of business. They haven't budged from their $4MM and $2.5MM prices respectively in that time. Maybe they're hanging on desperately hoping to get more than they owe? I just don't get why they wouldn't budge on the price just to be free of them. They truly are white elephant properties at those prices.

Skid Row Joe · #26 01-18-2011, 05:50 PM

Quote:

Originally Posted by SwampYankee

Or any property. There are two commercial properties on our main strip in town that have been for sale for 15+ years each. They've been vacant for that long and each has a building that would be difficult to adapt to a different type of business. They haven't budged from their $4MM and $2.5MM prices respectively in that time. Maybe they're hanging on desperately hoping to get more than they owe? I just don't get why they wouldn't budge on the price just to be free of them. They truly are white elephant properties at those prices.

Friends of mine here in Dallas, Texas put their Preston Hollow home up for sale for almost 10 years before it sold at the price they wanted. They were offered $1.5 million, but stuck to their guns and got $3.2 million. Patience does reward the patient.

SirNik84 · #27 01-18-2011, 06:22 PM

I got it. Open up a night club! the breakfast guy is long gone by the time the drunk masses will show up.

On the plus side for the breakfast guy, its a known fact that sales of pancakes go through the roof once the bars close. There is a opportunity for him if he willing to open extra early!

MTI · #28 01-18-2011, 06:28 PM

Kuan, if you client needs that space bad enough . . . make the landlord and offer he can't refuse.

aklim · #29 01-18-2011, 06:29 PM

Quote:

Originally Posted by MTI

Kuan, if you client needs that space bad enough . . . make the landlord and offer he can't refuse.

Like what? Send Luca Brasi over and promise the landlord that either his brains or his signature would lie on the contract?

SwampYankee · #30 01-18-2011, 07:46 PM

Quote:

Originally Posted by Skid Row Joe

Friends of mine here in Dallas, Texas put their Preston Hollow home up for sale for almost 10 years before it sold at the price they wanted. They were offered $1.5 million, but stuck to their guns and got $3.2 million. Patience does reward the patient.

I guess. Were they still living in the house? These places have been unoccupied and empty for this long. I could see if they or a portion of the
were leased but they're not. They're non-conforming buildings, too. Neither one would be a quick move-in and you're in business deal.