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Updated 12 months ago, 11/25/2023
Advice about leasing my land
Hello- I own a property located on one of the busiest streets in my city. A franchised coffee business would like to lease my land. Nearby is a Panera, Chipotle, and Starbucks.
Currently there is a cement block building and 2 homes on the land (all owned by me). The interested party would like us to pay for 50% of demolition for the building and 2 homes. I would also need to pay 6% to the realtor who brought the interested party to my attention.
My realtor cannot give me numbers or information on whether or not this is an acceptable offer for me. Her opinion is only that it is a good offer.
How would I go about assessing this? As you can tell, I am new to land leasing. It would take me about 2 1/2 years for this deal to be profitable for me after my expenses. The land lease would be for 15 years.