Quote:
Originally Posted by Kup Kake
Not a good comparison unless the Panera Bread location was an unoccupied store from 2004 through 2011. Perhaps the reason for so many empty Brownwood stores is because the rents are too high and the monthly "royalty fee" to the developer is too high, also.
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ALL MALLS, all tourist destinations with high traffic have the same kind of Percentage rent lease agreement. It is not just here. It isn't a "royalty fee". Every single business who chooses to rent property is aware of this, no one is holding a gun to their head. This is just another urban legend recirculating again and promoted by those who either dislike the developers because they are so successful, have some stake in competitive areas, are jealous they don't live here, or are just misinformed.
This will help explain how this type of Commercial lease works.
How Percentage Rent Works in a Commercial Real Estate Lease
I am not a real estate agent, never have been and would NEVER be one. I don't know the Morses, but I love this place and get danged tired of the misinformation and the "greedy developer" rhetoric.