How do I negotiate to secure the shop I want

[69xians]

I am after a retail unit for my new business venture and unfortunately I have chosen to set up business in a South Coast Roman town where property is in very short supply. However I have come across a property that is quite small, 225sq ft ground and similar upstairs with a very cheap rent of £16k pax, and assignment of the current lease expiring Sept 2009 but the current tenant is asking for a lease premium in excess of £15k. Before putting in my offer I met with the council, ran my business plans by them and I have investigated the impact of the II* listing of the property. Satisfied that it would meet my needs and I could meet the tough legislation I put my offer forward only to be told that it had been declined and that another offer of the asking £15k premium had been met. I then spent the weekend reviewing my options and decided to try and make contact with the current tenant who told me that if he did not get the £15k+ he would remain in the property until the expiry of the lease - beleive it or not I'm trying to be succint here but suffice it to say I have other information available to me which corroborates what I have been told by the agent and the tenant. I then spent another day deliberating my options having established that I wasn't been hoodwinked to get into a bidding war and decided that I would make an offer for what I could reasonably afford to secure the property but before even putting this forward the agent suggested that I make contact with the landlord (the church - they own alot of property in my town) to confirm that they would acept my business use - a sandwich shop, and I was told to speak with another agent who has a close relationship with the Dean & Chanter (the office of the church that handles their investment properties) at which he said he didn't believe that it would meet the Church's current investment portfolio strategy - nice. Anyway that was 3-days ago and the agent hasn't called back and I've left 4 messages. What do I do?? I've been looking for property for nearly a year and this is the closest that I've got, how do I get my name on the lease agreement? I need this property but I am completely naive as to the ways of these agents and feel like I'm being played. Should I go directly to the Church and if so how best do I present my case. Thanks for any help

[Ericthelobster]

beleive it or not I'm trying to be succint hereWell try a bit harder then!! :)

[Jonboy]

i'm not even gonna read that

[MrShed]

And its in the wrong section! Try reposting, in bullet point form, in the commercial property section.

[69xians]

New to the site, thanks for your help. Anything I can help you smug arses with or are you ok finding your own way back to your villages? I understand they're a search for their idiots. Cheers

[P.Pilcher]

Well, it seems quite simple having read your long post. The current tenant is quite happy to stay there until his lease expires, however he would appear to be prepared to sell the remainder of his lease for £15000. If your business plan will support this price plus the rental required by the landlords then you get the lease. If it won't then you will have to look elsewhere. The landlords have granted the current tenant a lease, provided he fulfills the obligations, they are not going to boot him out in favour of you however you present your case. So if you really want to trade there, it will cost you 15 grand. End of story.

P.P.

[Ericthelobster]

New to the site, thanks for your help. Anything I can help you smug arses with or are you ok finding your own way back to your villages? I understand they're a search for their idiots. CheersAnd thanks for your oh-so-adult private message, reproduced below in its glorious entirety:
eric the knobster is a twatJust take another look at your original post, which I still haven't read by the way - a turgid block of undecipherable woffle. Newbie or not; if you come here asking for help from those who choose to give up their free time to give it, then the least you can do is present your query in a readable form.

Now, if you had been a vulnerable tenant, eg a single mum being harrassed by an unscrupulous landlord I wouldn't have given the slightly flippant response that I did; however you evidently just want free advice on some business venture. If you're too lazy to bother wording your question clearly, don't expect me to waste my time translating it for you.

Oh, and by the way: I (and the other respondents except for DJB) could have just ignored your post completely, which would have probably left you wondering why nobody had replied. You were at least given the chance of trying again (although you might just have blown that now).

[Poppy]

You appear to be asking the members to help you force the landlord and current tenant to grant you the tenancy. These people don’t have to accept you.

That’s like someone turning up at my front door and insisting I sell to them. Come on now!

Your best bet is to comply with the use class and/or better the £15,000 premium AND THEN hope they want to do business with you.

[RichieP]

AND THEN hope they want to do business with you.

If his business negotiating skills are as good as his interpersonal skills displayed here it should be clinched no problem.

[Jonboy]

well said eric, i thought it was just me that thought this guy was an idiot.:D :D

and true enough richie he dosn't need our help with that attitude! lol

[propman2]

there iare 2 qu's to address

does the user clause in the lease exclude your proposed business?

if so then the landlord has absolute say in accepting an alternative use unless their is a reasonableness provision in the user clause

the present tenant has an agent trying to assign his lease so that tells me they want to dispose of it but cannot because your proposed use is excluded by the lease

what is the premium for?

the teanants goodwill and fixtures? or

in recognition that the unit is presently leased at a rental value below what the open market value is ie to reflect the fact that you would be paying a rent until expiry of lease less than what you would be paying on a brand new lease as at today? or

a bit of both?

You need to be sure what it is you are buying

Hope that helps

[curmudgeon]

Should I go directly to the Church and if so how best do I present my case. Thanks for any help

Prayer seems to be your only answer.