All Forum Posts by: Adrienne Schwartz

 I would be interested in these questions as well. Also, you have brands like Radio Shack and Dress Barn in your portfolio which are not necessarily expanding brands. Are those still profitable businesses?

Thank you for all of the feedback. 

Purchase price $950K, proforma lease rates around $18-20/ sf NNN (market is $15-$25 but this space is pretty unique and includes all bar and music equipment), with those numbers I have plenty of cushion and a healthy cash flow. Building has a total of 8300 sf over 2 floors, ground floor bar/ concert venue, top floor is private apartment (could be long term or STR) and also has another private event room. Would need to put another $85K in to finish apartment. My business model was to find an operator to lease the full building (and ideally have that operator in hand before we close). But just getting worried with market and lack of interest I am getting from potential operators that I won't have a tenant any time soon. I really do not want to operate an event hall but this is an option which could help with carry costs(but again, I am a real estate investor/ broker- not wanting to run an event hall).

I have a bar and live music venue under contract in a smaller town outside of Houston. I threw in a low ball offer not expecting it to take and they took it. The previous owner died but he has redone the building completely in 2018 so all systems are pretty much brand new. I have had everything inspected and done a phase 2 and surprisingly everything looks great. On paper, if I can find a tenant, this could cash flow over 20%, however, since it is a specialized building and in a smaller town, finding the tenant has been challenging. My question is- if I get to closing in the next 40 days and still don't have a tenant, should I still go ahead and close and hope someone comes along? I have been cold calling, meeting with local tourism partners, music partners, etc. My fear is that I sit on an empty building and bleed cash for several years. I know this is the game we play but I want to get others' opinions. What would you do? We have already sunk about $20K in due diligence but sitting on an empty building would cost about $8K/ month which could be put to work elsewhere.