The economy is on an upswing, which means new commercial and retail locations are opening all the time. When a new business is considering a location or a new location, there are several thing to consider. The first being whether they should rent, buy, or build. Finding a commercial property for rent provides the ability to move quickly and control costs.
Finding a large retail space for rent is generally not challenging. Many areas still have plenty of commercial property for rent that incoming businesses can choose from. Choosing the actual location for your business will involve looking at where your target demographic is most densely located, examining your supply chain, analyzing the competition, and finding a location within your budget.
Examining your supply chain is important to make sure all your vendors will deliver to the new location. It also means making sure you have the access you need. You also need to look at what the shipping costs will be to your new location. Depending on the distance, there may be addition shipping costs that you?ll need to take into consideration.
The competition in your new location is something to seriously consider. When looking for an area that has the highest concentration of your target demographic, it is highly likely that competitors will also be drawn to that area. The problem comes in when there is too much competition. Even in an area with a dense population, if there is too much competition, the sales will be diluted between the businesses.
When looking at a large retail space for rent, you need to find one with a balance of good location and not too much competition. You also need to consider your overhead costs, which will include the rent, taxes, utilities,and any additional fees charged for the business space for rent. Your projected profit needs to be enough to cover all those costs, plus your inventory costs, and still turn a profit for the business.
There are also retail space for lease in a wide range of sizes to accommodate offices of all different sizes and needs. If you are looking for a large retail space for rent, you may need to look at stand-alone buildings, opposed to storefronts in plazas.
When looking for a commercial space for lease, you also need to consider things like parking. Are there enough places for you and your employees to park. Are those parking spots in an area that is safe and well-lit? Are there additional fees for property maintenance, snow plowing, window washing, etc. or are those service included in the rent?
When you find a location you really like and appears to fit all your needs including budget, an additional step to consider is to talk to other tenants. Get an idea of how they like the leasing company. Ask the other tenants if repairs are made in a timely manner, if the property is consistently well maintained, how communicative the leasing company is with the tenants, and how often there are rent increases. Ask several tenants if possible. Some tenants may have had a specific negative or positive experience that impacted their overall view of the company, so it is important to get multiple view points.
Another aspect to keep in mind is your company’s brand and image. You need to ensure the look of the building for rent will support your company’s image. Many national brands maintain a similar look and decor across all their locations. This is a fairly common practice. Moving into a building that was designed for another company may create conflict with the look you want for your business.
Additionally, you want to discuss with the leasing company what you are allowed to do in terms of remodeling and decorating. If there are electric or plumbing changes needed, determine ahead of time what is allowed and who pays for it. These are all important factors to consider when looking at a large retail space for rent. Even if the space you are looking at isn’t that big, you want to be sure you can customize it to fit the needs of your business.
