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Updated over 5 years ago,
HOW TO FIND RESTAURANT OWNER’S
Hey BP I was wondering, when finding someone to acquire a restaurant where do you look first? Do you suggest finding a broker with clients or finding someone with a passion for restaurant. A brief description of my specific issue:
I am currently helping a seller get rid of a restaurant which has a lot of upside but it’s not getting anywhere. It is zoned as a “WD” water development because it sits on the water but is currently used as a mixed use property. Tenant upstairs paying $2k a month, with another space to be rented out or used as an office, fully updated. The main floor which is a restaurant has been vacant and not of use for more than 5 years.
Major repairs of $150k but when I look at the appraisal it was appraised for $530k in 2015, and in the same appraisal mentioned it's best use would be as a restaurant with a potential NOI of $43k. With all this on the appraisal even though it's outdated but an upside of ample parking and location next to a popular casino (Mohegan Sun). Local investors did not bite, I am shifting to either find a broker to talk to, market out of state or people who own restaurants out of state. I thought the asking price of $340K would be a quick sale. What's missing?