What are common incentives to get good tenants to fill your space
We are rehabbing a 25K 3 story building and looking to attract a restaurant go to into the first level. The city is a major help because they were the ones who came to me when I bought the building and they are offering any help they can so I can fill it with a restaurant because its a big part of their plan to revive what used to be a thriving downtown area.
The city has been reaching out to restaurant owners and setting up showings. I just walked through the building with a restaurant group looking to expand and they seemed to have some strong interest.
What are some common incentives I can offer them or future prospects to make it happen?
My initial thoughts were 6 months free rent and $5000 in building out assistance. Is there anything else I can offer or is $5000 a low number.
To put the numbers in perspective - The total project for rehabbing levels is going to be around 500K and the lease for the restaurant could be 4-5K a month so the lease would heavily contribute to the NOI. I have no idea how much their build out would be for the restaurant but I would imagine 150-200k ?