Real Lessons on Real Estate for Restaurants
Opening Soon is a weekly show about the journey of opening a restaurant featuring conversations with some of the world’s greatest chefs, restaurateurs and the vendors that help take their business from an idea to opening soon. Opening Soon is hosted by the founders of Tilit NYC, Jenny Goodman and Alex McCrery, who bring their unique perspective as hospitality industry insiders and many questions as the former proprietors of a now shuttered restaurant. Each week we'll extract the strongest takeaways from our guest interview so that if you don't get the chance to listen you can still get the drop.
1. Get a Lawyer. A good one! Lease negotiations are tricky and every landlord is looking to make a deal that best benefits them. Make sure you have someone that can evaluate the lease (well) on your team. The life of your business is directly affected by the lease details.
2. The Good Guy and the Assignment Clause. You may need a way out, a way to grow or a change in structure. Make sure these clauses are evaluated and benefit your business potential.
3. Request a White Box. While building every part of your new space may seem enticing, it's best to stick to your strengths and preserve your cash. Having a move-in ready space will save you time, money and major headaches. It may be possible to negotiate a higher monthly rent in exchange for this, essentially financing the buildout with your new landlord.
4. Lease Analysis Document. This document will help you analyze the potential revenue you can generate through the term of your lease based on the size, length and terms.
5. Embracing Opportunity is not luck! While it pertained to our discussion on real estate Erin's statement rings true for every aspect of business and life. Hard work, planning and education can you put you in the right place to be able to capitalize on an opportunity. Don't look or wait for your lucky chance!