Restaurant & Bar Space for Lease or Sale in Charlotte, NC

Where to Find Restaurant Space in Charlotte and Mecklenburg County

Each area suits a different kind of concept.

Uptown (Center City)

Uptown, Charlotte's central business district, is bordered by Interstate 277 and Interstate 77, and its ZIP codes include 28202. Restaurants here draw on business lunches, hotel guests and event crowds. For street-level space in an office or mixed-use tower, ask early about the exhaust route, loading and after-hours access. See Uptown commercial real estate.

South End and LoSo

Former industrial sites along South Boulevard and the Charlotte Rail Trail have been redeveloped with ground-floor shops, restaurants and breweries, and more breweries are nearby in LoSo. Start here for taprooms, patio-heavy concepts and fast-casual. See South End commercial real estate.

Plaza Midwood and NoDa

Both suit independent, chef-driven and bar concepts in smaller storefronts: Plaza Midwood along the Central Avenue corridor, and NoDa along North Davidson Street, among galleries, music venues and shops. See Plaza Midwood and NoDa commercial real estate.

Dilworth and SouthPark

Dilworth's East Boulevard is lined with restaurants, offices and shops, many in renovated homes, so check whether a converted house can take a commercial hood and grease interceptor. In SouthPark, shopping centers around the Fairview Road and Sharon Road intersection, such as Phillips Place, mix shops and restaurants. See Dilworth and SouthPark commercial real estate.

University City

The main corridors are W.T. Harris Boulevard, University City Boulevard and North Tryon Street, and restaurant users usually weigh how close a site is to UNC Charlotte and the light rail stations. See University City commercial real estate.

Mecklenburg County Towns and South Carolina Suburbs

Outside Charlotte city limits, towns such as Huntersville, Cornelius, Davidson, Matthews and Mint Hill apply their own zoning ordinances. Fort Mill and Indian Land are in South Carolina, where North Carolina's ABC law and Mecklenburg County's health permits don't apply. See Huntersville, Matthews or the Charlotte commercial real estate overview for other areas.

Second-Generation, Shell or Ground-Up: What You're Leasing

Listings describe restaurant space by its condition, but landlords don't all use these terms the same way, so read the lease exhibit that says what will be delivered.

• Second-generation: previously a restaurant, and usually still has some kitchen infrastructure such as a hood, grease interceptor, walk-in cooler and gas service. It saves build-out cost only if what's there fits your menu and still works.
• Vanilla or warm shell: usually delivered with basic HVAC, lighting, restrooms and utilities, but no kitchen.
• Cold dark shell: usually has no HVAC, lighting or finishes, and is often paired with a tenant improvement allowance.
• Ground-up: a new freestanding building, often on a pad site in a shopping center, built for one operator.

What to Inspect Before You Sign

• Type I hood and fire suppression: age, condition and fit with your cooking line
• Grease interceptor: size, location and pumping access
• Walk-in cooler or freezer
• Gas service and electrical capacity for your equipment list
• Restrooms and accessibility
• The exhaust route through the roof or wall, and any landlord limits on it
• Parking, and patio rights if outdoor seating matters to you
• Who owns equipment the last tenant left: the landlord, the prior tenant or the prior tenant's lender

For a smaller concept, café counters, food-hall stalls and shared kitchens can need far less build-out than a full restaurant.

Opening a Bar, Brewery or Late-Night Concept

North Carolina's alcohol (ABC) law treats restaurants and bars differently, and your floor plan matters. For ABC permit purposes, a restaurant's food and non-alcoholic beverage sales must be at least 30% of its total gross receipts from food and drinks sold for on-premises consumption, and it needs a kitchen and an inside dining area with seating for at least 10 people (G.S. 18B-1000). A mixed beverages permit, which allows mixed drinks to be sold for consumption on the premises, can be issued to restaurants, bars and breweries, among others (G.S. 18B-1001).

Zoning is the other half: whether a bar, nightclub or brewery taproom is allowed on a parcel, and under what conditions, depends on its zoning district under Charlotte's Unified Development Ordinance, or the town's ordinance outside city limits. Confirm both before you sign. For a late-night concept, also check the lease for limits on hours, music and patio use.

Permits and Approvals Before You Sign

In Mecklenburg County, North Carolina, plan on the approvals below, and confirm each one with the City, County, town or ABC Commission, since rules change.

• Zoning for your exact use: the City of Charlotte's Unified Development Ordinance inside city limits, or the town's ordinance outside them.
• Health plan review: Mecklenburg County requires plan review and approval before a new or remodeled food establishment is built or opens. Plans go through Mecklenburg County Code Enforcement, and franchised or chain concepts are reviewed by the NCDHHS Plan Review Unit.
• Building permits for the upfit: hood, grease interceptor, plumbing and electrical work.
• Food service permit: the application must be submitted at least 30 days before opening or a change of ownership. Permits do not transfer at the sale of the business, though a transitional permit may be possible.
• ABC permits from the NC ABC Commission if you will serve alcohol. An ABC permit may not be transferred from one person to another or from one location to another (G.S. 18B-903).

Build that timeline into the lease: ask for a permit contingency, and a rent start date tied to opening rather than to signing.

Restaurant Lease Terms to Negotiate

A restaurant build-out is expensive, so the lease has to protect it. Beyond the rent itself, these are the terms I focus on for food and beverage tenants:

• A tenant improvement allowance, and free rent through the permit and build-out period
• Permit and financing contingencies
• NNN pass-throughs for taxes, insurance and common-area maintenance (my commercial lease negotiation guide explains NNN and TICAM)
• Limits on the personal guarantee, or a burn-off after a period of on-time rent
• Assignment and sublease rights, so you can sell the business later
• An exclusive-use clause for your cuisine or concept
• Venting, odor, hours, patio, music and signage rights
• Who maintains and replaces the hood, grease interceptor and rooftop HVAC
• Renewal options long enough to earn back your build-out

Asking rents vary too much by building, condition and lease structure for one number to help, but I can pull current comparable lease rates for your target size and use. I can also explain the lease in Korean; have a commercial real estate attorney review it before you sign.

Restaurants for Sale: Buying the Business or the Building

A restaurant for sale can mean three different deals.

Buying a Going Business

You take over the lease, with the landlord's consent, along with the equipment and often the name. Check the remaining lease term and renewal options before you agree on a price, and plan to re-permit. Mecklenburg County food permits do not transfer at the sale of the business, and ABC permits expire when ownership changes. Under G.S. 18B-903, if the seller's permits are in good standing and the establishment qualifies, a buyer who takes over the premises can keep operating under the previous permits after notifying the NC ABC Commission, but must submit a new permit application within 60 days after the change of ownership or those permits expire. Confirm eligibility with the Commission before closing, and have your attorney and accountant review the business purchase agreement.

Buying the Building

This is an owner-user or investment purchase of a freestanding restaurant building or pad site. See commercial real estate for sale in Charlotte for how I work with owner-users and investors.

Leasing a Second-Generation Space Instead

When a restaurant closes and leaves its kitchen behind, leasing that space can get you open without buying anyone's business. Confirm who owns the equipment before you count on it.

Sources

• North Carolina General Statutes, G.S. 18B-1000: Definitions concerning establishments
• North Carolina General Statutes, G.S. 18B-1001: Kinds of ABC permits; places eligible
• North Carolina General Statutes, G.S. 18B-903: Duration of permit; renewal and transfer
• Mecklenburg County Environmental Health: Plan Review
• South End Charlotte: Fast Facts
• Wikipedia: Uptown Charlotte