Thanks for the post Bogie Shooter.
I can say from personal first hand knowledge in more than one commercial lease signing/renewal here in TV that your posted information is pretty accurate.
Nobody signs a lease without knowing what the rental amount will be for each and every one of the years....usual 5 year lease. And most include an option clause for one or more 5 year renewal options.
Could the rent be increased when exercising a future option? Of course. Would it be so substantial it would drive one out of business? I suppose it could happen, however, very unlikely.
Several years back when comparing the rental costs here in TV to what local rates were in non Villages owned property.....for example in the "Target" shopping center and one of the malls close by....the rates were all in the same ball park. As a matter of fact the rates in the "Target" shopping center were the highest.
All were such that the only real decision to be made was location.
There is no reason for the developer or those who manage their business segments to have to lie about what they do or how they do it or why they do anything.
We all know opinions do vary.
|