CLA Connect Open Forum

GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

  • 1.  GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 11 days ago
    Godfather wants to do an UNOFFICIAL survey
    For all mat owners who are renting, what is the rent you paying per Sq.ft
    In example you renting. 2000sq ft space and
    the rent is monthly $3000 including NNN, so yearly rent is $36,000/12 mo = $18 a sq.ft. And Please inculde your NNN also in the rent.

    The reason I ask is. A excellent location came up for a mat. So I only inquired to see what costs would be in case a new mat came there.
    Well they want almost $30/sq.ft

    i know rents have increased but not that much.

    Basicslly the guy wanted $11,000 for 4500sqft plus NNN etc. No way for a mat.

    So i am doing this survey to see what others are paying. If this is the trend, there is no option but to keep increasing vend prices and eventually most mats will price themselves out of the market.

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    ORIGINAL GODFATHER
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  • 2.  RE: GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 11 days ago
    Bob,

    Here in Michigan, I'm paying $8,000/month on 3,700 sf. building and 30 parking spaces.  That's $96,000/year divided by 3700 = $25.95 per square foot.  The laundromat also pays NNN on top of that rent.  Since I'm paying all this to me, maybe it's time for an increase?

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    Larry Adamski
    Muskegon Laundromat
    Spring Lake MI
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  • 3.  RE: GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 10 days ago
    We operate 5 Mats.  From 2500sq ft to 5000sq ft. We have found the best return on the larger stores paying as much as 11,500 per month. I don't think the determining factor should be how much your rent it should be what your projection is for income. How far away is your competition and what are they vending at.

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    Denise Rubenstein
    Store Owner/ Employee
    Laundermagic of Patchogue
    Bayport NY
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  • 4.  RE: GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 11 days ago
    Edited by Michael Walsh 11 days ago
    Bob & others,

    I do agree with your statement about possibly being eventually being priced out of a specific market including the possible future public perception that it tends to be too expensive to use any laundromat in a locality.  More prematurely bought heavily discounted home washers ... not washing clothes as often ... bathtub washing crude wringer hand to dry ... etc.

    From my bird's eye view ... what I don't agree with is when you mock Larry when he has shown with good & healthy long term leadership how to make "customer convenience gains" & avoiding significant "at their mercy going rates" merchant fees as a way to structure his business for sustainability & for long term financial stability.

    Also trying not to be too negative ... I don't like is that the "get rid all physical cash" crowd capitalizes on some of that same "frenzy" from among a portion of "anti dollar coin" laundromat owner-operators putting the truer "net income metric" in danger.  Especially, for younger families just starting out on their seeking of a "new livelihood" & finding out that a bunch of "misinformation &/or incomplete information peddlers" stacked the deck against them having hope of long term success.  My thoughts are that some of them who fall short never do figure out what the root causes of their failure was.   In other words they allowed themselves to be "hoodwinked" by the "anti higher denomination coin" crowd IMHO!

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    Michael Walsh www.kingkoin.com
    Store Owner/ Employee
    King Koin Laundry, Car n Dog Wash
    Bismarck ND
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  • 5.  RE: GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 11 days ago
    Edited by Chris Mallam 11 days ago
    Store A 2000 sq ft = gross lease $12/SF
    Store B 1000 sq ft = NNN lease $15.60/SF

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    Chris Mallam
    Norfolk VA
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  • 6.  RE: GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 10 days ago
    I'm paying between $16 and $20 per SF, all costs to me included.  Lease cost is mostly a function of the quality of the building, traffic (on busy street or not), and parking.  Oh, and duration of the lease/options.  In metro Dallas, in a generic plaza on a decently busy road, $30 is pretty close to market rent.  Good luck.

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    Paul Kludt
    Multi Store Owner
    Lake Worth Coin Laundry
    West Palm Bch FL
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  • 7.  RE: GODFATHER WILL LIKE TO SURVEY WHAT PER SQ. FT RENTS ARE YOU PAYING

    Posted 10 days ago
    Bob: The out of state rent quotes are not going to be pertinent.  If you have a business relationship with a RE Broker and or Appraiser, they can search location lease rents for X years to current if you provide the business addresses.

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    Les Monthei
    Potential Investor
    Redding CA
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