Coming out of COVID, leasing a space has become less attractive because the operator bears the most risk. If you are going to lease, you must work with a broker that will help you negotiate terms that will protect you from a business-killing experience like a global pandemic.
The appeal of a management agreement is that it shifts the risk to the landlord. The upside is significantly limited for the operator, but therein lies the tradeoff. In this episode, we're talking about why management agreements are becoming more accessible and how they're structured.