Forums: Discussions for entrepreneurs and small business.

I want to find space for a small improv theater in AZ in the NW Phoenix valley (2,500 to 3,000 sq ft. in a strip mall or other existing space).  I have contacted several places and none of them seem like they want to lease their buildings.  Their secretaries answer the phone.  They don`t call me back when I leave voice mail.  And they do not respond to emails.  I feel like I`m trying to get a hold of a celebrity.

I have also contacted space finder services that claim they can get me a good deal on a location.  But even they are proving to be of no value to me. 

Am I alone on this?  Has anyone else been through the same thing?  Or am I just totally missing something?  Any recommendations on how to find a suitable space, or services that will help me with this would be much appreciated.

Hi Dramagenics,

 I think the issue is the type of business. Most places do not just lease to anyone unless they are desperate. When a lease management company hears “Improve Theater” what they think are:

1. Will alcohol be served?

2. Will this be late night events when the other stores are closed? If so will security be an issue… in other words will I be sued when a fight starts in the parking lot or when someone gets hurt.

3. Will such a business be able to honor a lease?

I am not in the real-estate business however I do have some close friends who are and you would be surprised at what occurs when a business wants to hand over money to rent a space. It appears to be straight forward from one perspective, however from the other perspective it can get complicated.

Think of it this way if your business was to lease out space to other business, however 1 out of 3 businesses went bankrupt. That one business that did not go bankrupt ended up having patrons sue the owners of the mall which cost them $1 million dollars to settle, now the insurance company wants more money and they can not switch insurance companies because they have had a settlement with in the last 3 years.

You would probably adopt some criteria as well that would help you select they types of business that would succeed and not cost you money as well.

I am not saying its fair, I am just saying it is understandable in this day in age of sue first ask questions later.

However knowing this you can use it to your advantage, don’t do business over the phone schedule a meeting and sell yourself address this issues head on let them know if no alcohol will be served, how many people you expect to show up, you have capitol to handle the cost or rental, time of close etc.

I think if you can have a face to face you will be more successful.

I hope the information helps.

Eric

Have you went to the National Association of Realtor`s website?  If not consider checking out their website because many local real estate associations datashare their listing with them.  NAR`s nationwide commercial properties can be accessed through: http://www.realtor.org/cominfex.nsf?OpenDatabase

Thanks Eric, this is great advice!  I did not think of it from that perspective, but you are right.  I probably have not been extremely clear to some of them on the type of business I am trying to open.  It is going to be a family environment with no alcohol, and most landlords probably think "comedy club with bar fights".

And that web site is a great resource RealtorNicole!

Thank you!
Joe

Excellent Dramagenics, I think by addressing the issues head on you will have better luck finding a location and perhaps a customer.

Good luck on your endeavor,

 Eric