Wednesday, August 2, 2017

What to Consider Before Renewing Your Industrial Real Estate Lease

Any lease can be difficult to navigate, whether it is for your apartment or commercial property, you’ve read over the lease multiple times, or you have already signed the lease before. Surprisingly, it is actually lease renewals, or the second lease, that can cause conflict. Unfortunately, the signs of a bad lease may not be apparent when you first read over it because it will appear as issues and problems arise conflicting with the statements in the document. Have no fear, for we are here to help guide you through some things to think about before renewing your industrial real estate lease.

1. Focus on the specifics. 

The language in a lease is obviously the most important part but you do not want to get caught up in all of the fluff to the point that you get distracted. The clarity of the language is what you want to pay attention to, especially the specific numbers, such as square footage. Almost all leases will define the space in terms of square footage but it is not uncommon for leases to be recycled from year to year. Make sure that the lease is accurately depicting the space so that you do not overpay for a landlord’s laziness. Similarly, there are certain terms like usable and common areas that may be described in similar terms but are actually completely different and can affect your multiplying factor.

2. Look at all of your options and stay aware of the turns of the market. 

You don’t want to sign a document without recognizing all of your options to make sure that you are choosing the best options. Just because you are renewing a lease does not mean that a better space for your industry hasn’t appeared in the time of your previous commitment. It is important to keep up with the real estate market and maximize your options to the fullest degree. Similarly, you should not go into this process without a plan. Although it may be familiar territory, it is important to stay prepared to discuss things such as operating costs, the assets of a space, and your landlord’s renewal profit.

3. Do not be afraid to negotiate the terms of your lease. 

There are many things, such as the above mentioned operating costs, that do not directly affect your company or the space itself that can easily be negotiated. Another important area of negotiation is the cap of the escalation clause, because you don’t want a significant increase in your rent during the time that you are in the space.

At NAI Isaac Commercial Properties, we are your commercial and industrial real estate experts. Call us today so that you make the best decision for both your company and your wallet. We are located in Lexington, Kentucky and serve the surrounding area.

Tuesday, August 1, 2017

NAI Isaac Brings Just For You Gift Shop & Boutique to Brighton Park Shopping Center in Frankfort, Kentucky

NAI Isaac Commercial Properties recently leased +3,200 SF in Brighton Park Shopping Center to Just For You Gift Shop & Boutique. Brighton Park is located just of US 60, Versailles Road in Frankfort, Kerntucky.  They are slated to open in August, 2017.  Jim Holbrook, Associate with NAI Isaac, represented the Landlord during the lease transaction.

Thinking of Investing in a Commercial Space? Keep These Trends in Mind

We live in a rapidly changing economy. The internet has irrevocably changed how consumers shop, and that, in turn, impacts how retailers are faring. Those who are able to capitalize on these changing values are thriving, but those that are staying stuck in their ways are finding themselves left in the dust. Whether you are thinking about opening a local branch of a major retail chain or you are opening the flagship store of your own brand, here are some recent commercial trends to consider before you put pen to paper.

1. It’s better to be a jack of all trades than a master of one

Many of the stores that have closed their doors permanently are what would be considered specialty stores or department stores, specifically stores that only sell one kind of item, such as Payless ShoeSource and Radio Shack. Consumers are becoming less and less likely to want to travel to multiple stores on a day out when they could order everything they need from the comfort of their own home, so if you are thinking of opening a brick-and-mortar store, make sure that your wares have enough variety to bring in shoppers accustomed to the limitless variety of the internet.

2. Don’t discount discounts

Another way that the internet has radically changed the attitudes of shoppers is how much easier it is for consumers to shop around to find the best prices on whatever they are looking for. With major internet retailers like Amazon, consumers can find twenty different listings for the same item, and then find the one with the lowest price and proceed with their purchase. While that kind of model doesn’t work as well for physical stores, there is something to be said for the fact that the sector with the largest number of openings right now is discount stores. Discount clothing retailers like TJ Maxx and discount grocery stores like Aldi have all seen massive growth in recent months. If you can’t compete with the internet’s variety with your store, you can at least compete with the internet’s prices.

3. Make it an experience

While almost everyone can say that they enjoy shopping online, you would be hard-pressed to find someone who would claim that online shopping is an enjoyable experience. Online shopping trades experience for efficiency, but this is exactly something that brick-and-mortar stores have in spades. Take monotonous major retailers like K-Mart and Sears being shuttered as a warning. If the experience of being in your store isn’t enough to bring in customers, you may not want to invest in a physical location.

Do you feel more informed about getting your own commercial property? If so, please contact NAI Isaac today to get started. We are located in Lexington, KY and proudly serve the surrounding area.

Monday, July 31, 2017

NAI Isaac Brings Fresenius Kidney Care to Patriot Plaza in Stanford, Kentucky

NAI Isaac Commercial Properties recently leased +/-6,694 SF to Fresenius Kidney Care within the Patriot Plaza located at 29 Frontier Boulevard, Stanford, Kentucky. Fresenius Kidney Care, an Investment Grade Tenant with an S&P rating of BBB- and a net worth of $10.144 Billion, provides medical care services to people with chronic kidney disease and end stage renal disease.  This will be their first Stanford location.  Al Isaac, President and Jamie Adams, CCIM, LEED, AP, Senior Associate with NAI Isaac were involved in this transaction.

Patriot Plaza is a +/-34,162 SF former Food Lion center with investment and leasing opportunities. +/-4,000 - 25,068 SF for lease with two dock-height doors. Potential outlot for sale or ground lease. Great visibility on US Highway 150 connecting Danville and Stanford with +/-13,583 cars per day.  PRICED TO SELL!