Is this lease for a shop fair?

[E7mack96]

I am looking at leasing some space for my business.



The deal is as follows:



$800. 00 per month.



38x35 space



I get 1300 sq/Ft. of space which includes about 110 sq/ft for an office.



this works out to about $7. 38 per sq/ft per month.



The owner also pays all electric, and the shop is plumbed for air already (off his compressor). so I won't need one.



The overhead door is a 12x12 so I can get about anything in there.



THere is a seperate entry door to the shop, and another for the office.



The whole place needs some tlc.



The location is convenient to I-275 and I-74.



Some not so great locations go for $4. 00 per sq/ft. This is for new construction, or existing structure.



How does this compare to some of your setups out there??



I want it, but feel it is high.

 

[midwestdually]

is this for personal use or will you be making money out of the building?

 

[jrandol]

E7,



I dont know your area well but I would highly recommend you get in touch with a good reputable Commercial Realtor. They know the market conditions well and will fight to get you a good deal. The realtor gets paid off of the lease conditions thru the Leasor (sp?) so no dough comes out of your pocket. You'd be suprised how helpful a good commercial realtor is, commercial leases can get pretty busy with the contract terms, they know how to look out for you. I am moving my office now and tried for about 2 weeks to look on my own, bad move. Hope this helps



Jeff

 

[E7mack96]

I have been looking for 1 year now. Commercial realtors have hardly anything in my area. (in my price range) They have great places that are 2500 and up per month. I only do 1/2 - 3/4 million/yr. and can't budget that much.



This owner is a really busy guy, and once you are in, he forgets about you. i. e. you can do what you want.



I know one of the guys that rents from him now.



He doesn't do big drawn out leases, just basic rent is $... . , due date is... stuff.

 

[TowPro]

My concern would be that I could get some kind of wording about price increases (indexed off the cost of living) and something about how long you can stay, especially if its a business open to the public where people would have to find you again if you were forced to move.