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Lease to income ratio: this is the ratio of base rent above the yearly gross income of the retail outlet. This indicates, aside from the base rent, they also spend for all operating bills: home taxes, insurance coverage and servicing expenses. This suggests aside from the minimal base rent, the operator also pays you a percentage of his revenue when it reaches a specified threshold. It only indicates the tenant will make each and every hard work to pay out you the lease. Spend focus to how the employees behave, together with no matter whether they are attending to other customers or simply stood all-around in the dining area. Surgeon wanted me to go back to treatment, but insurance coverage would not pay out. You also want to make confident the insurance policy also covers rental revenue loss for twelve-24 months in case the home is broken by fire or normal disasters. And so a restaurant with lease to earnings ratio of 8% could be profitable in one particular state and however be dropping income in an additional.