Leasing Nightmares: Preventing the Dreaded Radius Restriction from Impacting Future Growth

Note:  Blackacre LLP is a boutique fixed fee real estate law firm with a restaurant leasing specialty.  From its experience serving as counsel to numerous restaurant clients, Blackacre’s attorneys know that a good lease is crucial to a restaurant’s success, while a bad lease can doom an otherwise successful restaurant to failure.  In the coming articles, Blackacre’s attorneys will write on how to prevent a restaurant lease from becoming the next “Leasing Nightmare."

While some entrepreneurs establish their first restaurant with bold and grand visions of becoming a ubiquitous and popular nationwide or regional chain, the vast majority of entrepreneurs are simply focused on one thing, the success and viability of their initial restaurant.  As such, when tenants review their leases (often without the assistance of legal counsel in their earliest stages), they usually notice that the lease may contain a radius restriction for establishing business at other locations. 

With…