pe7e Posted October 14, 2007 Report Share Posted October 14, 2007 Anything else I am missing here? Yes, the holy grail of retailing 'Foot Fall' the most important factor in valuing a potential lease, the more qualified, potential customers passing your door during business hours, the higher value the location has. Generally, basements and upperfloor locations are worth less than those at street level. In the gogo bar business I wouldn't have thought branding would affect the lease value by much, especially if the place was in need of refurbishment. Link to comment Share on other sites More sharing options...
Gadfly Posted October 14, 2007 Author Report Share Posted October 14, 2007 Agree that "foot traffic" is very important, but I was thinking of items that "transfer" when you buy a bar. In other words, what are you really buying when you buy a bar? You are buying the leasehold interest (you hope), the fixtures and the brand. But I don't think of "foot traffic" as something you buy. I think you are right about the importance of taking foot traffic into account when valuing the lease. And the nice thing about foot traffic is that it can be measured. I am curious - any bar owners here or people who seriously considered buying a bar? If so, how did you go about determining the price of the bar? How did you check the leasehold interest? If, after reading some of our comments about problems with buying a bar you want to post under another name, I have no problem with that. Link to comment Share on other sites More sharing options...
Gadfly Posted October 14, 2007 Author Report Share Posted October 14, 2007 He represented he owned the bar furnishing and fixtures, but he only rented those things. Wow. It was worst than I thought. Of course, the lease for the space would be key issue, since you can always buy bar stools, tables and inventory (beer, water and few bottles of JD), but there is not much you do if you don't have a place to put that stuff to operate "your" bar. Link to comment Share on other sites More sharing options...
dddave Posted October 14, 2007 Report Share Posted October 14, 2007 I believe the problems with TC were,1) He could not transfer his sublease without the approval of the lease holder, Boss Hog. 2) He represented he owned the bar furnishing and fixtures, but he only rented those things. Bars can go from good to bad very quickly. Take Voodoo for example. One time I went, there were over 100 girls plus 3 khatoeys and the place was hopping with customers. 6 months later there were 20 girls plus 3 khatoeys and you could count the number of customers with one hand. What TC initially tried to do was to RENT the bar to the Danes: them paying the rent to him and he paying Boss Hogg. The sub-lease would have stayed in his name, the purchase price was actually described as "Key Money" At the same time there was an issue between TC and Sunbelt with who he had initially listed. He let somebody else put together the deal claiming his Sunbelt contract had expired, Sunbelt didn't agree and it got messy. I saw TC's copy of his lease and in one paragraph it forbid sub-leasing; in the next paragraph, it spelled out the terms for sub-leasing: clear as crude oil. Once Boss Hogg barged into the deal it became a real mess, everybody accusing everybody else of double-dealing. Narit, the local cop got pretty badly burned in the deal and TC ended up with a warrant out for his arrest. He went home to CA, promising to return to answer the charges but remains there still. Link to comment Share on other sites More sharing options...
dddave Posted October 14, 2007 Report Share Posted October 14, 2007 The VOODOO situation Shyguy describes was the perfect example of the importance of having a Mama-San who knows her business. VOODOO had a good one and the place was easily the best in the Plaza: as Shyguy said, a hundred happy stunners. Naturally, the owner found a reason to fire her and she departed, taking many of the girls with her, Piaw, TC's former M-S took over but simply didn't have the connections and only lasted a couple of months; steadily downhill from there. Link to comment Share on other sites More sharing options...
elef Posted October 14, 2007 Report Share Posted October 14, 2007 AFAIK he went to Cambodia and moved to Pattaya some months later. I don't know if he's still there or in CA. Link to comment Share on other sites More sharing options...
bibblies Posted October 14, 2007 Report Share Posted October 14, 2007 Voodoo was last good in 1998, I think. As a matter of interest, who finds the girls? Is the Mamasan responsible for that? Or do they have separate 'scouts', like football clubs, who go around villages? From speaking to girls, it always seems that a friend of a friend got them into it but Angelwitch, for example, seems to have a group from Roi-Et at the moment. Is that the result of scouting or just luck? Link to comment Share on other sites More sharing options...
passingthru69 Posted October 14, 2007 Report Share Posted October 14, 2007 Another thing that I don't see in this issue is "tea money" how much and how ofen and how many different parties have their hand out? Bet if you asked seller about this they would say. No I have had to pay :evil: Link to comment Share on other sites More sharing options...
Bangkoktraveler Posted October 14, 2007 Report Share Posted October 14, 2007 Angel Witch doesn't seem to have a for sale sign up now. Maybe I was looking at the wrong ones. There are a bunch of signs promoting the bar as far as I could see. Link to comment Share on other sites More sharing options...
chuckwoww Posted October 14, 2007 Report Share Posted October 14, 2007 Angel Witch doesn't seem to have a for sale sign up now. Maybe I was looking at the wrong ones. There are a bunch of signs promoting the bar as far as I could see. That Matt....he's so fickle. Probably had a bad night and decided to join Empower. Link to comment Share on other sites More sharing options...
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