Before you sign the lease, work through these 12 checks.
Three phases: maths at your desk, eyes on the street, then the lease table. Tick as you go — progress stays in this browser — and take your walkaway numbers into negotiation.
Enter the quoted rent. Optional: average order value. We calculate the revenue you need for rent to sit inside the healthy 14% rent-to-revenue ratio, plus the caution (18%) and walkaway (22%) rent levels to hold in negotiation — the same bands Locatalyze reports use.
Enter a monthly rent to see revenue needed, daily transactions (with AOV), and caution / walkaway rent levels for negotiation.
What a strong lease usually includes
5-year term
Long enough to build a customer base — worth committing to if the numbers work.
CPI-capped rent reviews
Stops uncapped increases from pushing you through a workable rent ratio at renewal.
12-month break clause
Your exit if trading assumptions prove wrong. Often worth a small premium.
No uncapped market reviews
Market reviews can jump rent sharply. If they stay in, require a hard cap.
Broad, clear permitted use
Must cover today’s concept and sensible future pivots — food, drink, hours, format.
Limited, defined make-good
Restoration can cost $20k–$80k. Negotiate fair wear and tear and a clear end-state.