For small businesses

Open your doors in the right space.

A practical guide for small business owners looking for a storefront or commercial space, from a landlord who wants tenants to succeed.

Location is a business decision

For a shop, restaurant, clinic or service business, the space you lease shapes foot traffic, visibility, costs and the customer experience.

Taking time to choose well and understand the lease pays off for years.

What to evaluate

01

Foot traffic & visibility

Watch the block at the hours you plan to be open.

02

Zoning & permitted use

Confirm your business is allowed in the space before you sign.

03

Total occupancy cost

Rent plus taxes, CAM, utilities, insurance and maintenance.

04

Build-out needs

Plumbing, electrical, ventilation and accessibility can drive costs.

05

Signage

Know what signs you can install and where.

06

Neighbors

Complementary businesses nearby can help bring in customers.

1

Budget the whole project

Beyond rent, budget for security deposit, build-out, equipment, permits, insurance and the time before opening.

2

Understand the lease type

Know whether your lease is gross, modified gross or net, which expenses you will share, and how increases work.

3

Get professional help

A real estate attorney and an accountant can help you understand obligations and avoid surprises. Their fees are small compared to a multi-year commitment.

Frequently asked questions

How much does it cost to lease retail space?

It depends on location, size, condition and lease type. Consider total occupancy cost, including rent, shared expenses, utilities, insurance and build-out, not just base rent.

What is a build-out in commercial real estate?

The construction and improvements needed to make a space ready for a specific business, such as walls, plumbing, electrical, lighting and finishes.

What insurance do commercial tenants need?

Leases commonly require general liability insurance and often property coverage, with the landlord named as additional insured. Check your lease for specifics.

How long are retail leases usually?

Retail leases are often several years long, sometimes with renewal options, since businesses invest in their space.

Published by

Fouerti Realty

Real estate investment & management, Brooklyn, NY

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