Trying to rent a shop

fritzelly

For the past year I have been looking for the ideal shop in Dublin city center to rent.
The weird thing is every shop I had an interest in when I phoned up to get a look around with an interest to take it I was told it was already taken/reserved

Fair enough - but all these shops now 6-12 months later I see the same shop empty (this isn't like a 6 months later the shop happens to be empty, the previous 6 months it was empty). Who pays €1000's in rent every month for a shop that isn't being used? (I'm only talking small little shops - not mega stores or anything)

What is going on with these estate agents that are renting these shops?

I find this very strange.

ScouseMouse

Just an observation. If a shop is empty, has no tenant, and has to let signs up, it pays no business rates.

Maybe a reason for your troubles ?

fritzelly

Even empty shops pay 50% of the commercial rates

antoinolachtnai

If you are looking for city centre property, you may need to consider getting an agent of your own to make enquiries on your behalf.

jimmii

Things seem to have changed massively in the last 18 months when we were looking early last year we were having people approach us with places! Now it seems pretty tough to find the good units the money they are asking for seems to have gone through the roof. I wouldn't be surprised if it was a case of people making an offer then spending months trying to negotiate the rent down etc seems crazy to let them lie otherwise.

fritzelly

You may well be right.

delahuntv

If its a prime location the landlord will wait for the right tenant.

Basically If Mr Delahunt who is an independent retailer with 3/4 other locations wants the unit, he has a chance, if he had no other location he'd have no chance unless his accounts showed he had loads of cash, but if he had 50 locations, they'd be running to him.

Why?

If the Landlord wants to sell the property he will get close to 20 times the rent if a major retailer is in the shop, 12-15 times if its an established but relatively small retailer and lucky to get 10 times if its a single unit independent retailer.

Therefore you will find most independent retailers will not be considered for prime locations.

One option you can offer is to take a 12-15month licence - and have a clause that if you pay rents on time and show your business is viable, that a longer term lease would be considered (it worked for me!).

jimmii

Certainly ran into that myself in the past even offered more money than another person but they got it because they had an existing shop.

fritzelly

@delahuntv
Thats sounds like it could be the case
Though I had no problem with a year lease. Rent was 1200 a month and I was willing to pay 6 months up front.

Will keep looking