Existing salon take over

[Arthur Banks]

Need a little help here. My sister, a beautician, is looking to take over the existing building where she conducts business. Apparently the owner is non too happy with current manager and is motivated to get a new manager. She's looking to take over but not quite sure how to structure the deal as it is currently not meeting rent and she doesn't have the security deposit. She stated she couldn't do the deal for these reasons and the owner asked her to come up with a proposal. Obviously he's motivated. The current manager is doing nothing to fill vacancy either.

Details that I have thus far:

$6,659.33/mo + utilities ($17/sq ft + CAM + tax + ins)

$500/mo approx current utilities (gas, electric & garbage)

3800 sq foot building

19 rooms + 1 larger room

10 tenants currently

She offered to take over current managing and pay existing rent and utilities. There is a salon in the large room that is moving in upcoming months. With that move, incoming rent will be $4,800/mo. She offered to continue to pay rent at $4,800 - utilities ($4,300) and start marketing to fill vacancies. She requested 6 months to fill vacancy to reach requested rent amount. She presented this to the owner and he said he would discuss with his partner. Sounds motivated to me. My question is, should he reject this offer, I want her to have a counter offer. I know nothing of commercial and am a beginner investor myself, so I'm not strong on creative deals. She's looking for a creative idea to come up with the $6,026 security deposit. I don't know if this is considered actual investing, but thought I'd ask for help here.