How To: Lease a Business Suite
Do you want to take your small business to the next step but don’t know how to go about leasing a retail space? This post outlines the process step by step, and even tells you how to figure out how much rent your business can afford!
How to Lease a Retail Space with Westview Shopping Center
Do you have a business idea that needs a place to belong? Are you running your small business out of your house, but now you need a bigger space? Are you looking to open your own franchise location? All these scenarios are the starting point of looking into leasing a retail location. We have a lot to offer at Westview Shopping Center, while keeping rent prices affordable compared to other locations in the area.
Why Us?
Westview Shopping Center has been family owned since 2018. The owners work around the clock to build their dream restaurants within the store, which will bring higher foot traffic levels to the mall and increasing visibility for your budding business. There are also a wide variety of vacancies available. From a mammoth 33,000+ square foot space fit for a large-scale operation, to a 1,500 square foot space perfect for a small business owner looking to start their first store front. Westview Shopping Center is well established within Hastings and is home to Ace Hardware, a large source of business for Hastings.
How Much Does It Cost?
The general rule that we follow when it comes to giving estimates is that you can expect between $9-$11 per square foot per year. When you sit down to talk with us, we can talk about the details, but the price is very negotiable! We want to bring new experiences to Hastings, and we know that having the right price is important.
How To Start the Process
Determine your businesses' needs. The first step is to determine what your business needs to be successful. You’ll want to think about the location that works best for you. Would you like a storefront? An internal mall space? These are important factors to consider when looking at vacancies. You will also want to carefully consider what your business can afford when it comes to renting. The general rule when calculating what you should be paying is that commercial tenants should be able to spend 5% to 10% of their gross sales per foot on rent. Rent per square foot / Sales per square foot = Rental budget.
Look for the best fit. When looking at spaces, make sure to carefully consider each one. Making sure that the space is a perfect fit is important because it is going to impact how successful your business is in the long run. You can never ask the leasing manager too many questions, we want to help you find the perfect fit as much as possible.
Create a Letter of Intent. Sending a letter of intent to the property owner states the official desire of yours to enter into a leasing agreement with the property. These letters are not official leasing agreements and are non-committal in nature.
Begin Lease Negotiations. This is where the price per square foot comes into play. Once the property owner and yourself sit down and discuss many different factors in the lease. Along with the property owner wanting to establish your business’ financial credibility, there are other things to discuss when creating the leasing agreement. These include: Lease rate (price per square foot), lease length, concessions (these are discounts and special rates that might be struck between owners and yourself.), rate bumps (an industry standard is bumping rental rates every year according to the average cost of rent. This is something that can be worked into the deals while working on the concessions) and renewal options.
Target Occupancy Date. This is the goal date that you would like your business to be ready to open. This date depends on many factors. Since Westview Shopping Center offers custom build outs to make our spaces fit your business exactly what you need, this date depends on how many tenant requests made.
Move in!
