Opening a brick-and-mortar location is an exciting step for any entrepreneur. It allows you to build a physical presence within your community, connect with customers face-to-face, and offer a unique experience. Beyond your personal aspirations, brick-and-mortar businesses play a vital role in our communities by creating local jobs, supporting the local economy, and fostering a sense of vibrancy and character.
This guide equips you with 10 essential real estate tips to navigate the process of finding the perfect location for your next store. By following these steps, you’ll gain the knowledge and confidence to secure a space that supports your business goals, fosters customer engagement, and sets your vision on the path to success.
Before you sign the lease
1. Define your needs: Understand your space requirements (square footage, dimensions, amenities, accessibility) and how they affect business operations and customer experience.
2. Research the market: Analyze demographics, competitor landscape, lease comparables (also known as comps), and other market data in your target area. Identify areas with high foot traffic or vehicles per day that are a good fit for your brand.
3. Consider location type: Weigh the pros and cons of downtown locations, shopping centers, and stand-alone buildings based on your budget, target audience, and desired visibility.
4. Set a realistic budget: Factor in rent, utilities, insurance, maintenance, constructions costs, and regulatory fees. Don’t overextend yourself financially.
5. Negotiate the lease: Understand key terms like rent escalation clauses, renewal options, and subletting possibilities. Don’t hesitate to seek advice for complex terms.
During lease negotiations
6. Inspect thoroughly: Look for potential issues like structural problems, accessibility requirements, and compliance concerns. Factor in necessary repairs or upgrades into your budget.
7. Secure parking: Ensure convenient parking options for customers and employees. Off-street parking, designated spaces, or partnerships with nearby parking facilities are crucial when opening a brick-and-mortar.
8. Read the fine print: Understand zoning regulations, permitted signage, and any restrictions on business operations within the space. Ensure your business activities comply with all regulations.
9. Plan for growth. Consider the space’s scalability for future expansion or changes in your business model. Look for flexible layouts or options for additional square footage.
10. Build relationships. Network with local business owners, landlords, and community leaders. Building relationships can provide valuable insights and potential support in the future.
Brick-and-Mortar Location Bonus Tip
Consult a commercial real estate broker! Our expertise can be invaluable in navigating the complexities of lease negotiations and finding the perfect location for opening your brick-and-mortar.
Remember, choosing the right location is a crucial step for your small business success. Take your time, do your research, and don’t be afraid to seek professional help to ensure you make an informed decision.
If you are in search of your next retail space, please contact our skilled team of leasing agents and tenant representatives. They are dedicated to guiding you through the process and ensuring a smooth transition for your next location!
Interested in learning more? Reach out to Elliott.
