I am doing research to back my case in my current salon.  I booth rent for 
$500.00/month, which is somewhat high for my area.  The owner has informed us 
(I am one of 2 booth renters...the other is a busy massage therapist) that our 
rent is going up by @25.00/month, and will increase by that amount every year.  
I think this is pretty steep.  In 4 years I will be paying $600.00/month. and 
so on with no cap.  I don't disagree on increasing rent yearly AS LONG as it is 
reasonable.  This is where it gets even sticker.

Initially I agreed to this rent figure because it included a plumbed pedi 
chair.  The room is very small, and the chair has since been disposed of as it 
began leaking and couldn't be repaired (it was a used unit that they purchased 
before I started there.  They told me they bought the pedi chair in order to 
attract a nail tech, which it did add to the allure.)  They refused to replace 
it as a new unit was too expensive.  I now have a sink in the room in the place 
of the chair.  (yes, I have learned many lessons)  I know that the massage 
therapist pays $25.00 less a month than I do, for more than double the space.

My question is this:  What is the normal standard expectation for basing rent 
and rent increases?

My understanding is there are 2 ways of establishing rent.  1) by square 
footage, and 2) by income tier, with increase being based on a percentage of 
the base. (In our region, stylists commonly pay ~$150-$200/week, and nailtechs 
$100-$125/week to start).  I am trying to learn so if I'm wrong, please let me 
know.  I also know that an incoming stylist that is going to booth rent will 
also be paying the same rent as I am with the same increase yearly.  The other 
2 stylists are commission based.

Does anyone have any input?  Sorry so long.

Thanks!

Debbie in VA  

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