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- Big mama’s and papa’s pizzeria
offers carry out, delivery and casual atmosphere; dine-in, not fast food or fancy food
- 1200 to 1400 sq. ft. free standing building or shopping
center
- Busy shopping center with other food anchor tenants like
Starbucks, McDonald's, and etc.
- Close by to other big chain restaurants, and fast foods
outlets
- Good store front high visibility from the street
- Front entry preferred
to be double doors
- High visibility of signs and large windows in front of the
store
- Good parking access required for pizza delivery drivers
& customers for carry out, phone orders and dine-in orders
- High density area with lots of apartment buildings,
commercial, offices, and schools
- Delivery area not to include hill sides and mountains
except if location is really good
- If available space right next to Starbucks or Coffee Bean
is excellent
- Front and back entry is better if available
- Should sit 20 to 50 customers
- Most of our shops/locations are rented or leased by
franchisees rather than being purchased
- Average rent of an pizzeria varies from $1500 to $4000 per
month
What determines a good location?
- Visibility
- Traffic count and flow
- Center anchor stores if in a shopping center
- Residential back up
- Commercial back up
- Other restaurants in the area
- Ease of ingress and egress
- Proximity to street
- Signage availability
- Parking
- Price
- Demographics
- Good sign
visibility
- ”BMPP
loves awnings” it fits to our concept; gives PIZZERIA / CAFÉ
feel and
existence.
A knowledgeable commercial real estate agent should assist in locating an
optimal site.
Know Your ParametersPrior to actually looking for a location and entering
into actual negotiations you need to know your parameters. You should
work with the Big Mama’s & Papa’s Pizzeria Franchising, INC. corporate office in determine the size and square footage you
will need, how much you should expect to pay per square foot if you are leasing
a location, and, if a mall location, how much should the Common Area Charges
(CAM) be. The CAM
charges are typically for insurance, trash removal, etc. and sometimes include
a maintenance fee for the shopping center management. In addition, and in
some cases, a shopping center location will also have a Merchants Association,
which includes all, or most of, the establishments in the center who advertise
as a group to develop business for the center. The lease terms for mall locations, which are discussed in the paragraph below,
are known as Triple Net Leases, which basically means that the tenant pays
every cost of the center over and above the basic per square foot price and it
is the normal method of shopping center leasing. In some cases, a
property will be leased on a "Net" basis, which means that all costs
will be included within the actual rent paid.
Important Lease Considerations
When negotiating a lease, make sure
your lease contains clauses specific to a Pizzeria restaurant. Don't let
the "use clause" be too vague or too limiting. You certainly
don't want another Pizzeria restaurant to open up next door! Mall locations can
have limited menu items always obtain “exclusivity”, i.e., the exclusive within the center to operate a
Pizzeria and make sure you are allowed to sell subs, pastas, wings and
salads; gelato preferred as well if allowed. Most landlords will allow
exclusivities regarding the primary aspects of a business. It is important that a shopping center location have an “anchor tenant” to
generate traffic to the center. It is important to negotiate a
loss-of-anchor clause in the lease, so that if the anchor goes away, you have
the option to leave the site without repercussions. In every case, and before you sign the lease, you are required to send a copy
of the lease to the Big Mama’s & Papa’s Pizzeria Franchising, INC.
corporate office for review and approval. It is important that your attorney go over your proposed lease for your own
protection. Your franchise agreement is for ten years. When leasing a location, you
must secure ten year consistent with the term of the Franchise Agreement.
Additional 2 / 5 years options with the same terms and conditions of the lease
would be your advantage for the sell of the business.
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