Finding Retail Space in PEI
Are you planning on opening your own store or restaurant but need a retail space to get started? We are here to help you explore available retail properties across Prince Edward Island.
What Makes a Good Retail Space?
The best retail spaces are often located at ground level and have large front windows, making it easy for passersby to see what you are selling. Retail spaces with ground-level access and prominent front windows can provide strong visibility for businesses that depend on walk-in traffic. Accessibility, parking, foot traffic, nearby businesses and signage opportunities can all play an important role in choosing the right location. Visibility, accessibility, parking, foot traffic, and nearby businesses can all play an important role in choosing the right location.
Buying a Retail Property
When purchasing a retail space, you may have the option of buying the entire building. This can give you the helpful option of renting out additional space, which may provide extra income and help improve your cash flow.
Leasing Retail Space
Leasing can offer greater flexibility and lower upfront capital requirements than purchasing, although tenants should carefully review the term, renewal options, permitted use, improvements, maintenance responsibilities and additional occupancy costs.
Commercial Mortgage Considerations
Keep in mind that you will likely need a commercial mortgage if you are purchasing a retail property and do not have the purchase price available in cash. Commercial mortgage requirements can vary, so it is important to speak with a qualified lender before making a final decision.
How Retail Lease Rent Is Often Calculated
Commercial lease rates are often quoted as an annual amount per square foot. For example, multiplying the rentable square footage by the annual rate and dividing by 12 gives an approximate monthly base rent. Depending on the lease, tenants may also pay additional rent or operating costs such as property taxes, common-area expenses, insurance, utilities or maintenance.
