Preparing Commercial Space For National Retail Restaurant

[Milan Obradovic]

Hello everyone. I purchased a corner commercial property that I plan on doing some TLC to, to prepare it for renting out. The property is on a main road, corner lot 150x100. My idea was to renovate the existing freestanding building enough so that it could appeal to a Dunkin Donuts, Starbucks or any other business that uses drive through services. My question is, besides installing a parking lot, and connecting water, electricity, gas to the building. What other ammenities would they ask for? Since they come in and renovate to their model. Any information would be greatly appreciated.

[Damon DiPlacido]

Hello Milan - They'll have shell delivery requirements which will also outline their specs. for gas, electric, hvac, water, and sewer. There is an expectation of TI dollars being provided up and above the shell. Depending on the deal leverage of how good the location vs how struct the tenant is, this can be negotiated. Most food franchisee driven concepts I typically see $20-25 psf in TI. Starbucks with corporate signature can get more. Starbucks and Dunkins' expansion is all about locations with drive-thru's (unless you have an A location where it's not permitted). Also, for Starbucks the drive-thru will require 8 car stacking at a minimum...Dunkin is probably similar. Easy ingress/egress is a must - no more than two turns, and being on the morning side of the road is important for coffee operators. Good luck.