(Topic ID: 222576)

Finally have some pins on location....

By Coz

5 years ago


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    “Should I open my own arcade?”

    • Yes! Go for it! 63 votes
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    #99 5 years ago
    Quoted from Coz:

    I appreciate everyone’s opinions and advice, any more words of wisdom?

    Be careful what type of commercial lease you get. Unlike a residential home, commercial leases (generally) come in two types: Modified Gross, and Triple Net.

    Modified Gross is going to look more like a residential lease, whereas a NNN lease will come with some strings attached. In most cases, you’d be expected to pay for repairs to the building as well as taxes.

    When looking at spaces, I would immediately inquire about the lease type.

    #101 5 years ago
    Quoted from Coz:

    Great info! One place I’m looking at is in a shopping center. 1200sq ft for about $1000 plus utilities. Only requirement is agree to one year lease. I met with the building manager and they take care of the hvac unit. I will definitely ask lots of questions before anything is official.

    That would be considered modified gross by what you’ve described. Be sure it’s in writing though! NNN leases are generally cheaper and appear to be more appealing. You don’t want to inherit a landlords headache though, so I’d avoid it if possible.

    I’d also highly recommend having lease extension options in writing. You don’t want to have a great first year and end up having to look for a new space. My current lease is written as three years with two additional three year option (at a certain % increase).

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