When does the current lease end?
The current lease is valid until 31 May 2018. The mall and Business owner has further agreed to extend the lease period after the initial Lease period with an additional 22 Months thereby determining a Date to the 31 March 2020.
Once an Letter of Intent have been excepted and an Due Diligence have been conclude with an Sales Agreement undersigned, the prospective Purchaser may enter into lease agreement discussions with Mall Management.
Aldes has spoken to the Mall management and have found them very helpful and open. A new lease for a potential purchaser is available.
What is the annual escalation %?
The annual Lease Escalation is 8 Percent of the basic monthly rental; the gross rental excludes operational expense contributions toward marketing and cleaning as examples.
All necessary details shall be discussed, with a full breakdown of expenses as per the Rental invoice with a serious purchaser who shows proof of affordability to purchase the Business with deposits and running capital in mind.
ITC and Credit check on the Potential Purchaser, and interview records shall determent the Mall Managements outcome of approval.
What are the trading hours?
The trading hours of the Business is in line with the Mall recommended hours of trade. Please be advised that these trading hours are only approximate hours and may differ from time to time depending on the seasonal trend (Inclusive of Holidays) and mall management advertising and promotions.
Mondays to Fridays. 08H00 to 22H00
Saturdays. 08H00 to 23H00
Sundays. 08H00 to 18H00
What is the square meters of the business?
The Business measures approximately 516 square meters. This floor space is very large, but the landlord management has indicated that the floor space can be reduced as previously discussed.
Is a copy of the lease available?
The following Licenses are in place as per governmental acts, policies and regulations. Please be advised that Aldes eMalahleni shall be able to assist with all the necessary transfer of licenses and or reapplying for the license as the case may be.
The Lease Agreement (Or amendment to the Initial Period) is on file with Aldes, and future details and a copy of the original shall be obtained from the seller as part of the due diligence.
Do you require a licence?
1. An On consumption Liquor Licenses, this license is transferable.
2. Trade Licenses (Business Licenses) in terms of Regulation 5 of the Licensing of Business Regulation, 1996 made under Section 6 of the Mpumalanga Business Act, 2 of 1996. This license is not transferable and the new owner shall need to reapply for his own licenses.
3. Health Licenses (Certificate of Accessibility) in terms of Section 15(1)(n), where applicable, read with section 15(7)(b), of the Foodstuffs, Cosmetics and Disinfectants Act, 1972 (Act No. 54 of 1972). This license is not transferable and the new owner shall need to reapply for his own licenses.
4. SAMRO Licenses, as per the Southern African Music Rights Organization.
5. SAMPRA License, as per the South African Music Performance Rights Association
What lease deposit and/or other surety is required?
The new owner shall need to accommodate (financially) for the following:
Approximately R 110 000 for first month's rent.
R 250 000 to R 300 000 as Rental Deposit (This is an aspect that shall be discussed with the Property Management)
R 40 000 for the License transfers and all the necessary placement of licenses. Please note that this is aspect that shall take time and is not an all ones off expense.
R 10 000 for the Electricity deposits.
In this instance the current owner has negotiated a None-Franchise joining fee for the Prospective Purchaser. Please be advised that the final decision still lies with the Franchisor that may amount to costs from the new owner.