Hi
I'm living in Brisbane
I'm thinking to open my first business in shopping centre in brisbane. But it's far from city
So I checked retail cost …70m2 is $61000/yr include gst
I'm not sure it's expensive or not
I compare Brisbane city. One of shopping centre $11000 more expensive
Is it common cost??
And how can I get a good deal? Like get some cost for fit out…
Give me a good advice plz
Thank u very much :D
Take a look at RealCommercial.com.au to get an idea of market prices for premises. I think that rent is low if you are in a good position with high footfall, but shopping centres aren't charities, so you can be sure they know what they can get.
You need to judge whether you will get sufficient traffic to make your business a success. You will need to make over $1000 in profit just to cover the rent. That is a lot of sales.
Look carefully at the lease, and I suggest get a lawyer to do so as well. It is routine for a landlord like Westfield to make a a refreshed shop fit-out part of the lease. Sometimes they will specify a dollar figure for what has to be spent. It is not unusual to see a fit-out cost over $100,000 for a business like a deli or cafe. So ensure that is in your budget.
Also look for what happens at renewal time. You don't want to be evicted if your business is successful, and you want to ensure any rent rise is reasonable.
agreed - make sure you fully understand and happy with the terms and conditions, eg. A shopping centre may require you to open 7 days. $1100 fines per day for close shop on top of the rent. Also, must renovate shops every few years with minimum spent $25k, just as an example.
Sounds like you have no idea. Neither do I.