ATLANTA, GA (Oct. 1, 2012) – From getting creative with site
selection to becoming more savvy in lease negotiations, retail tenants are
finding new ways to thrive.
The latest episode of “America’s Commercial Real Estate
Show” took an insightful look at some key issues affecting retailers. The show
featured a panel of experts who shared tips to help retail tenants maximize
their site selection process and protect themselves in uncertain times.
 |
| Greg Stanislawski |
In many markets, the lack of new construction in recent
years has made it harder for tenants to find suitable space. Rental rates have
creeped up, and it has become a landlord’s market in many cities.
This means tenants have to do their homework and put their
best foot forward, explains Greg
Stanislawski, vice president at The RetailStrategy. His firm works hard to
present tenants in the best light possible to prospective landlords.
“We really spend a lot of time on the front end educating
the landlord on the tenant, educating them about what their products and services
are and getting them excited about the brand,” Stanislawski said. “That way
they are more apt to provide incentives to get our clients into their shopping
centers.”
 |
| Michael Bull |
Tenants and their brokers are finding that research,
networking and a little legwork can make all the difference in securing a great
location. For example, they might identify desirable locations that are not on
the market and then make calls to see if any tenants are struggling and looking
to get bought out of their lease.
“It’s not always just going to be a site that has a big ‘For
Lease’ sign in the window,” said show host Michael
Bull, founder of Bull Realty Inc. “A professional retail tenant rep is
going to have a few more insights on finding some great locations.”
 |
| Jonathan Neville |
The tighter market also brings opportunities to think
outside the box. Some cities don’t appear desirable based on demographics, but
a little research reveals potential goldmines. For example, some border towns
in Texas have modest income levels but enjoy tremendous traffic from travelers,
and the same is true for some sites near the outlet malls in North Georgia.
When it comes time to do a deal, there is a bit of good news
for tenants, says Jonathan Neville,
a partner at Arnall Golden Gregory LLP who focuses on commercial real estate
development and franchising. Tenants may have a better chance of getting a SNDA
(subordination, non-disturbance and attornment agreement) clause in the lease.
SNDAs protect tenants by ensuring the lender would honor their lease in the
event that the landlord goes into foreclosure.
 |
| Laurel David |
“Landlords and lenders are getting more cooperative — I
think certainly for our smaller users who used to get laughed out of the room
when they asked for an SNDA and are now getting it,” Neville said.
There could be more positive news for retailers on
thehorizon, according to another guest on this week’s show. Proposed federal
legislation would require online sellers to collect sales tax in states where
they have no store presence, said Laurel
David, an attorney at The Galloway Law Group LLC.
“The bills are really aimed at leveling the playing field,”
David said. “If I walk into a store on Main Street and I have to pay sales tax,
why shouldn’t I have to pay that same sales tax if I buy something online?”
The entire episode on retail tenant strategies is available
for download at www.CREshow.com.
The next “America’s Commercial Real Estate Show” will be
available Oct. 4 and will feature an update on the U.S. restaurant industry.
Contact:
Stephen Ursery
Wilbert Public Relations
E-mail: sursery@wnspr.com
Office: (404) 965-5026
Cell: (404) 405-2354
1 comment:
Thanks for sharing this information.
retail tenants
Commercial tenants
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