I purchased a mixed-use triplex with the bottom floor zoned commercial. It was a pizza shop and now is a blank slate. It's a good location so I have had several inquiries from pizza, tacos, gyros, deli, etc. you name it. It's a small space good for takeout. Most inquiries are from folks looking to get into the takeout business. I have solid commercial leases, but I am interested in what landlords request of prospective commercial tenants to do the due diligence? What kind of documents? I want a successful, long-term operator. Thanks much!
hey @Matthew Toporowski, at the least I would check their financials/tax returns to see how profitable they are (which translates into how easy it will be to pay your rent).
Based on the numbers, if they're really good, you may not need to ask for much else. If they aren't, then you might ask for anywhere from 2-6 months of rent upfront.
That's a good idea too, or a personal guarantee potentially if they signing as an LLC. Of course, some of the potential tenants want flexible terms at start to get themselves set up in the space. I'm moving slow with it to avoid getting someone in there I'll just have to get out if it doesn't work...thanks!