Ready to buy some commercial real estate for retail?
Retail site selection is not as rigorous as site selection of property to build a warehouse or manufacturing plan on, but there are still regulations to adhere to. To avoid frustration and business blues, consider a few things throughout the retail site selection process. Real estate agents should be prepared to listen to understand what the client really wants.
Location is vital and choosing a location can be affected by what you’re selling. If you’re a coffee shop, you want to be in an area that sees a fair amount of foot traffic, possibly near restaurants or office buildings. If you’re an upscale jewelry store, you probably want to be near other high-end shops.
Leasing a property means that you need to think about the landlord or property manager and their level of involvement. Are the buildings able to be modified to your business needs? Are any appliances included in rent? Owning makes you more the master of your own destiny, but it also carries more responsibility. Both have advantages and drawbacks.
Pay attention to what stores are there, what stores have been there, and how long each one of those has lasted. Often times, commuting patterns are indicative of what your target audience will notice and pass by. Some shopping centers don’t see a lot of traffic or are located in an area that makes them difficult to get to. On the other hand, there are some shopping centers where vacancy is rare and success is all but a given.
Pay attention to the patterns of your consumer base. Where do they go to shop? Do they travel far? What can you do to appeal to the local buyers and those who travel a little bit for retail therapy?
Imagine where you see your business in 5 years. If you’re aiming to grow your business for the foreseeable future, you’ll want to make sure you have room to grow. Additional space to rent or build on is something to look for during retail site selection.
As a business, you will be viewed as a part of the community. For the sake of your business, it’s important to make sure there’s compatibility between your business and its values and the community and their values. Your level of involvement is ultimately up to you, but be aware of the community.
Retail site selection is an involved process and is a bit like planning a move for your family. Understanding the area is going to be essential to the success of your business and your satisfaction. Carefully consider all possible angles and factors for each space you look at. Research and doing your homework will pay off in the long run.
No Comments Yet
Let us know what you think