Greene King Pub Partners launches new franchise concept Hive: Brewer and retailer Greene King has launched a new pub franchise concept, Hive, a branded community pub model through its tenanted and leased arm, Pub Partners, Propel has learned. Hive pubs will be operated by franchisees who have “local knowledge and experience of running a pub, bringing their individual know-how to the Hive pub to deliver the best customer experience”. Hive’s first site, the Maldon Grey in Sudbury, opened this month following a £200,000 transformation. Each Hive pub is receiving an internal and external investment up to £300,000 incorporating the “best-in-class systems and processes to enable the delivery of a consistent and superior level of service”. The company said franchisees will ideally have some pub experience either from a retailed managed background or running other tenancy or lease pubs. Ingoing costs are £5,000, with the franchisee receiving a guaranteed annual income as a management fee of £20,000 plus a percentage of weekly sales. They can also earn bonuses based on business performance and standards audits. Greene King Pub Partners sets up the pub and takes liability for the property and pays all running costs including stock and supplies, marketing, training and ongoing support. Greene King Pub Partners has two pub franchise models, Hive, and its current unbranded Pub Franchise agreement. It has ambitions to grow the franchise estate to 100 sites over the next three years. Greene King Pub Partners managing director Wayne Shurvinton said: “We’ve created an exciting partnership where the franchisee can bring their individual know-how of the local community to a branded pub concept and deliver the best local experience. This is a new format where the franchisee gets an invested ready-to-go pub with a lower risk from inception and going forward. It’s a model where we want our franchisees to feel part of something bigger, with the collaborative relationship with our talented team supporting them and backed by the scale of Greene King.” The company said: “Research and insight has ensured every Hive pub has an innovative range of drinks, a food menu with quality pub classics, year-round outdoor spaces, and regular entertainment from live sport to quizzes, music and events. An online platform will also be created where franchisees can connect and share ideas.”

Sponsored message – 400 million pints of Carling brewed using renewable energy: An estimated 400 million pints of Carling have now been made using 100% renewable electricity, according to Molson Coors Beverage Company. The milestone comes as CGA data confirms Carling has been the best-selling lager in the Great British on-trade for more than a decade, with sales two-thirds (67%) higher than the next most popular beer brand. CGA figures also show core lager accounts for 39% of sales in the on-trade. Carling is made using 100% renewable electricity from Tween Bridge wind farm in Yorkshire, thanks to a power purchase agreement with renewable energy provider RWE. Martyn Cozens, UK on-trade director at Molson Coors, said: “Carling is Great Britain’s number-one lager with sales of more than £1bn. Core lager remains the backbone of the drinks offering for pubs and clubs, with Carling now brewed using 100% renewable electricity, our customers know the cornerstone of their range is also boosting their sustainability efforts. Getting the right balance on the bar is crucial, which is why we’ve built a balanced portfolio, from Carling, Coors, Doom Bar and Cold River Cider, to Staropramen, Madri Excepcional and Aspall, to offer a mix of traditional and premium options to satisfy different consumer tastes.” If you have a sponsored story you would like to see featured in this newsletter position, email paul.charity@propelinfo.com

Fifth edition of The New Openings Database to show details of 366 new sites, 19,000-word report included: The fifth edition of The New Openings Database, which is produced in association with StarStock, will show the details of 366 newly announced site openings and upcoming launches for Premium subscribers when it is published on Friday (3 December), at midday. The database shows the details of which company has opened a site or its plans to open one in the future. It will have details on what type of site it is and its location. There will also be a website link to the businesses so you can find out more about them. It is published on a monthly basis. The fifth edition of the database features a number of brands making their UK debut, regional brands in growth, unique cuisine and expanding hotel and leisure concepts. Premium subscribers will also receive a 19,000-word report on the new additions to the database. Premium subscribers also receive access to two other databases. The latest Propel Multi-Site Database, which is produced in association with Virgate, was sent to Premium subscribers on Friday (26 November). The database contained 54 new companies, bringing the total number of businesses listed up to 2,206. The 369 sites run by those 54 new additions means the entire database of sites has reached 61,745 sites. Premium subscribers also received a 3,900-word report on the new businesses added. The go-to database provides company names, the people in charge, how many sites each firm operates, its trading name and its registered name at Companies House if different. In a new feature this year, there is a synopsis of what the business does and significant news associated with it. Premium subscribers also receive the Turnover & Profits Blue Book, which is produced in association with Mapal Group. The Blue Book, which is also updated every month, provides an insight into UK operator turnover and profitability over five years, profit conversion and directors’ earnings. Subscribers also receive access to Propel’s library of lockdown videos and Friday Wrap interviews and now also have access to a curated video library of the sector’s finest leaders and entrepreneurs, offering their insights on running outstanding businesses in the sector. Premium subscribers also receive their morning newsletter 11 hours early, at 7pm the evening before our 6am send-out, regular video content and regular exclusive columns from Propel group editor Mark Wingett. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £895 plus VAT – whether they are an operator or a supplier. The regular single subscription rate of £395 plus VAT for operators and £495 plus VAT for suppliers remains the same. To subscribe, email jo.charity@propelinfo.com

Everyman to feature in Propel video series around challenges of attracting and retaining staff: Propel has created a mini-video series around the challenge of attracting and retaining staff in the sector. In the fourth episode of the series – which is sponsored by Harri, the enterprise employee experience platform built for hospitality – Miranda Jones, people director at Everyman Cinemas, talks to Abi Dunn, from Sixty Eight People, about attracting talent back to the sector through personalisation and truly understanding what things such as “work/life balance” mean, and why it is an exciting time for the industry. The video will be sent at 9am on Monday (29 November).

NTIA – sector remains ‘extremely fragile’ and will not survive further restrictions or a potential lockdown: The sector remains “extremely fragile” and will not survive further trade inhibiting restrictions or a potential lockdown, the Night Time Industries Association (NTIA) has warned. It comes as the government revealed additional measures, including the wearing of masks within shops and on public transport, in England will come into force from Tuesday (30 November) following the reported detection of a new covid variant. Although the measures were not extended to hospitality venues for now, the NTIA has warned Downing Street to avoid such action. NTIA chief executive Michael Kill said: “The sector is still extremely fragile and will not survive further trade inhibiting restrictions or a potential lockdown. The current baseline mitigations within businesses across this industry have been extremely effective. Coupled with the vaccination programme, we must remain confident we are in a stronger position to deal with variants than many other countries across the world.”

Job of the day: COREcruitment is supporting a restaurant business that is looking for a general manager for a Surrey-based venue. A COREcruitment spokesman said: “This business is looking for inspirational leaders, who love being on the floor and being a part of the team and leading from the front, while still being able to be a confident business manager who develops the concepts and drives long-term strategy. The ideal general manager will be passionate about great food, committed to developing your team and eager to exceed guest expectations. The position pays up to £48,000.” Anyone interested can email Kate@corecruitment.com 

Gail’s parent reports full-year turnover down 27% but sees Ebitda and pre-tax profit rise: Bread Holdings, the parent company of Gail's Bakery, has reported turnover fell 27% to £84.5m for the year ending 28 February 2021, compared with £116.4m the previous year as a result of the covid-related restrictions in place through large parts of the period. Turnover at Gail’s was down to £57.1m, compared with £61.0m the year before while wholesale revenue dropped to £39.1m, compared with £68.0m the previous year. Group adjusted Ebitda was up to £14.4m, compared with £13.6m the year before while pre-tax profit increased to £4.4m, compared with £3.5m the previous year. In their report accompanying the accounts, which were signed prior to Bain Capital Credit buying a stake in Bread Holdings in a deal that valued the company at more than £200m in September, the directors stated: “Over the year group turnover reduced by 27%. This drop was very much driven by the covid-19 related restrictions in place through large parts of the year. The wholesale business’ customer base of restaurants, hotels, contract caterers, etc was forced to close for large parts of the year and faced with restrictions (for example the 'rule of six') throughout the year. In addition, many of the Gail’s sites were also closed for part of the year and saw their trade impacted in particular by long periods where ‘eating in’ was not permitted. Overall, and considering the challenges outlined above, the group proved resilient with trading improving progressively throughout the year in part by the wholesale business growing its retail channel (including with several large supermarket chains and the burgeoning consumer delivery operators); and by adaptations in the Gail’s offer further aided by five successful new site openings in the year.” The group had a cash balance of £15.8m and net assets of £17.6m as at 28 February 2021 (2020: £14.8m). The group had a £15.5m loan facility with HSBC as at the period end that is up for renewal by 30 September 2022. This facility has been renewed by the bank historically. The group also has a shareholder loan note of £19.7m that is due for redemption by October 2022. Since the year-end, further Gail’s sites have continued to open, with the latest site – its 77th – launching in Paddington on Friday (26 November).

Flight Club operator sees sales up 20% on 2019 levels with daily and weekly records across all sites: Red Engine, the team behind Flight Club and Electric Shuffle, has seen a “significant and sustained increase in trading” since “Freedom Day”, with sales up 20% on 2019 levels, Propel has learned. Red Engine said it had achieved daily and weekly records across all venues. The company’s new Flight Club openings in Bristol and Leeds and Electric Shuffle in London Bridge have all performed “extremely strongly”, and bookings for December are “very promising”. Looking ahead to 2022, the group have already confirmed sites in Cheltenham and Glasgow, with further opportunities being finalised both nationally and internationally. Red Engine provided the update as it reported an operating loss of £3.7m for the year ending 27 December 2020. The company saw revenue fall to £9.4m compared with £22.4m the year before with its estate of seven venues either closed or under covid-19 restrictions for the majority of 2020, with just 79 trading days out of restrictions. Ebitda before pre-opening costs was minus £900,000, compared with a profit of £4.1m the previous year. Pre-tax losses were £3.7m, down from a £1.4m profit in 2019. Despite this, the team raised considerable funds via a convertible loan note from existing and new shareholders, and increased lending from its banking partner Santander. Chief financial officer Ross Shepley-Smith said: “2020 was of course completely unprecedented in just how much it impacted our industry. We are incredibly proud of the team for seeking out future opportunities, refocusing on infrastructure, technology, and product innovation, so when we were able to reopen, we had the best offering possible. In 2021 we have been thrilled to not only open our doors again, but to launch three new UK sites – in Leeds, Bristol and London Bridge. We also launched our first international site for Electric Shuffle in Dallas in November.”

Paul Campbell joins 200 Degrees as chair to assist with expansion plans: Paul Campbell, the founder and owner of Hill Street Capital, has joined Nottingham-based coffee roasters 200 Degrees as chairman, Propel has learned. Having created, grown and sold several businesses of his own, Campbell now works with entrepreneurs, boards and fellow investors who are looking to expand their businesses. He carries out advisory roles and private investment across the leisure and hospitality sectors, and his other board roles include Hawksmoor, Hickory’s, Tortilla, The Alchemist and Yard Sale Pizza. Campbell said: “200 Degrees has a clear point of difference, a strategic growth strategy and a sound management team. It also aligns with my own values, so it’s a relationship I’m pleased to be a part of. With the various elements of the business performing well, the coffee sector continuing to flourish and being led by a dynamic and entrepreneurial team, there are great prospects for 200 Degrees, and I’m pleased to be able to help guide it on that journey.” Founded in 2012 by Tom Vincent and Rob Darby, 200 Degrees has a 15-strong estate across the Midlands and the north of England, including barista schools within six sites. The business has opened four new sites this year, its most recent being a second York outlet in September, and plans more in 2022. Darby added: “Paul has a wealth of experience in this sector, is like-minded to our approach and has already been on that business growth journey very successfully, so is ideally placed to help us navigate that and thrive as we continue our own expansion. I’m a big believer in surrounding yourself with good people in life and in business, and we are very pleased Paul has chosen to be in the 200 Degrees team.”

Papa John’s launches pizza trailer following Burnley FC partnership, more sporting link-ups could follow: Pizza chain Papa John’s has partnered with Premier League club Burnley FC to serve supporters attending matches at its home ground, Turf Moor, pizza from a trailer. The deal came about through Burnley director Stuart Hunt, whose PJ Restaurants company owns and operates 68 Papa John’s franchises in the US. He said: “As a partner in ALK Capital, I took over as a director of Burnley FC in January, and one of our immediate goals was to improve the whole fan zone experience. For us to introduce Papa John’s to the club was a natural choice as pizza brings people together, and everyone can now enjoy their favourite pizza to make the most of matchdays. We kicked-off the Papa John’s trailer at the end of October when we played Tottenham in the Carabao Cup, and we will now test the catering unit in different locations around the ground to find out what works best for hungry fans.” Amit Pancholi, UK director of business development at Papa John’s UK, added: “As well as providing a new revenue stream that can be re-invested into the club, offering the facility to serve up Papa John’s pizza adds to the fun and overall experience for fans watching the game. As a brand, we are actively developing relationships with leisure venues such as sports stadiums to ensure Papa John’s becomes available in even more locations across the UK.” Papa John’s was founded in the USA in 1984 and has more than 500 stores across the UK among its 5,000-strong global estate.

Slim Chickens plans to double up in Manchester: Boparan Restaurant Group (BRG) is set to add to its Slim Chickens estate, with a second opening in Manchester. The company, which holds the master franchise for the US brand in the UK, is planning to take on the ex-Bella Italia site in Manchester’s Arndale centre. Slim Chickens currently operates 15 sites in the UK, including a site in Manchester’s Trafford Centre, which it opened last year when its converted a Carluccio’s there to the brand. It is understood that Slim Chickens franchisee JRK Restaurants has lined up its third opening for the US brand along the south coast, in Brighton. JRK, which already operates Slim Chickens sites in Southampton and Bournemouth, is planning to open in Brighton’s North Street Quadrant, spread across two existing units, including the former New York Coffee Club site. Earlier this summer, JRK opened its second site, in Bournemouth's BH2 leisure complex on a former Frankie & Benny’s unit. Earlier this summer, Slim Chickens opened in the former MOD Pizza sites in the Metrocentre, Gateshead, and in Nottingham.

Butlin's to be put up for sale as staycations boom: The owner of Butlin's is preparing to put it up for sale amid a boom in British staycations. Sky News reported Bourne Leisure, which also owns Haven and Warner Leisure Hotels, recently picked investment bankers to conduct an auction of Butlin's next year. The move comes less than 12 months since privately-owned Bourne Leisure sold a majority stake to Blackstone, the private equity company, in a deal valuing the group at about £3bn. Butlin's likely valuation in a sale was unclear this weekend, but bankers and private equity investors said there would be “a deluge” of interest in acquiring the brand and its three sites in Skegness, Minehead and Bognor Regis. Bourne Leisure, which is run by chief executive Paul Flaum, is said to have decided that Butlin's is sub-scale and therefore non-core to its growth plans. Rothschild is understood to have been retained by Blackstone and Bourne Leisure to oversee the Butlin's sale. The sector’s other big players are expected to explore offers for Butlin's, although it may end up being sold on a standalone basis to a financial buyer. Blackstone declined to comment.

TeamSport to launch ‘fully immersive’ VR experience in Leicester this week: TeamSport, the indoor go-karting company with 37 venues nationwide, will launch a full-body immersive virtual reality experience in Leicester on Friday (3 December). The company has partnered with Leicester-based VR operator Roamdome for the experience, having invested in technology from Switzerland and transformed the existing TeamSport go-karting venue in New Star Road. In addition to the karting and VR experience, the venue also now offers virtual crazy golf from Putt Club and electronic darts – as well as a bar and a casual dining area. Roamdome founder and chief executive, Guy van der Walt, said: “People will visit again and again to get ‘ported’ into the future of immersive entertainment. Our technology partner, trueVR systems, developed a near-perfect bundle of multisensory, full-body, virtual reality technology, and we are delighted to bring it first to Leicester. I believe Roamdome will become known as the UK’s ultimate immersive experience store, and this is only the beginning.”

Asda opens new food quarter featuring Leon and Bubbleology: Supermarket chain Asda has opened a new food quarter within its store in Milton Keynes, complete with Leon and Bubbleology concessions. This weekend saw the EG Group-backed Asda launch its new “Food Quarter” in its superstore in Bletchley Way. The new food court houses the EG Group-partnered American bakery brand Cinnabon and S'barro, the New York-style pizza chain. It also sees the EG Group-owned Leon make its supermarket debut. It is joined by Bubbleology, the London bubble tea bar operator, which currently operates 17 sites across the UK. Leon managing director Glenn Edwards said: “Our mission at Leon is making it easier for everybody to eat well, and live well. The opening at Asda Milton Keynes celebrates us reaching more people.”

Fire that saw Michelin-starred The Star Inn at Harome ‘reduced to ashes’ being treated as arson: A fire that saw Michelin-starred restaurant The Star Inn at Harome “reduced to ashes” is being treated as arson. The thatched, 14th-century property near Helmsley, North Yorkshire, was devastated by a blaze that started on Wednesday evening (24 November). More than 40 firefighters tackled the blaze and specialist investigators were called in to carry out inquiries on Thursday (25 November). North Yorkshire Police said: “Following an examination of the scene by police crime scene investigators and fire investigation officers, it is now believed the fire was started deliberately.” A post on the restaurant's Twitter account said after the fire: “We won't be open for a while as we are reduced to ashes.” Chef Andrew Pern took on the restaurant, which also has 13 guest bedrooms, in 1996, serving “modern Yorkshire” dishes made from “locally sourced seasonal ingredients”. The restaurant has held a Michelin star for most of Pern’s tenure. It was only the second pub in the UK to be awarded a Michelin star. Pern lost his star in 2011 before working to regain it – eventually succeeding in 2015.

German Doner Kebab to open third Edinburgh restaurant next month: German Doner Kebab, the Hero Brands-backed business, will open its third Edinburgh restaurant next month. The company has confirmed it will open a new restaurant on the ground floor of the St James Quarter development, creating 40 jobs. The opening forms part of plans by German Doner Kebab to launch 23 sites in the final quarter of the year, with 47 opening in total in 2021. Based in Glasgow, the brand has grown at great pace and has more than 90 restaurants worldwide.

Whitbread puts Premier Inn hotel in Glasgow on market for £8.5m as it reconfigures city network: Whitbread has put its Premier Inn hotel at Charing Cross in Glasgow up for sale with a guide price of £8.5m. Christie & Co has been exclusively instructed to market the long leasehold hotel on a going concern basis, free and clear of the current branding. The property is located just off the M8 motorway by Glasgow’s Charing Cross railway station. The opportunity has come to the market as Whitbread is reconfiguring its network of hotels in Glasgow city centre, following the opening of the 249-bedroom Premier Inn and Bar + Block restaurant in St Enoch Square in June. Meanwhile, land has been let in Alnwick to Whitbread as the company looks to create a new 80-bedroom Premier Inn hotel and eatery. The construction of the project, which will have a Thyme restaurant, as well as an additional bar, is expected to complete between the spring and autumn of 2022. Chartered surveyors and estate agent Bradley Hall assisted on the six-figure investment. The company acted on behalf of Northern Commercial Properties (NCP) to let land to Whitbread. The investment was sold by NCP to Value and Indexed Property Income Trust. WSB Property Consultants and DWF acted on behalf of Whitbread. 

Japanese robatayaki restaurant Yatay makes debut: Japanese robatayaki grill restaurant Yatay has opened its debut site, in London’s Wardour Street. The Chinatown London location spans 3,900 square foot across three levels. The ground floor, which seats 35, is centred around Yatay’s charcoal-powered robatayaki grill, offering street food-inspired Japanese dishes, including more than 20 different preparations of chicken yakitori, and sharing cocktails. The first floor seats up to 50 guests in a more traditional dining setting, dubbed the “Izakaya Sake Shop”. Customers are offered a range of sharing plates, including Japanese delicacies from a traditional robata charcoal grill. The menu includes fried gyoza, tempura vegetables and Asian salads paired with sake or Japanese sangria. The lower ground floor houses late-night underground bar, Zoku. Meanwhile, Malaysian-Singaporean restaurant, Rasa Sayang, has unveiled its revamped Macclesfield Street venue. The 90-seat site from Ellen Chew first opened in 2008.

Flow Learning by Mapal scoops learning technology award: Mapal Group has landed an award in recognition of “excellence in the design of learning content for the commercial sector for 2021” at the UK’s digital learning awards. Mapal’s Flow Learning scooped a silver award for its Road to Recovery suite of learning resources at the Learning Techologies Awards. The resources were offered to the wider sector for free to aid its recovery from the effects of covid-19 and were used by more than 100,000 hospitality workers. James McLuckie, chief learning officer at Mapal Group, said: “Over the past two years, we’ve worked hard to revolutionise our suite of learning resources, armed with the insight from user engagement that they are time-poor and primarily accessing learning on the go and during breaks, on a mobile. Our new resources move beyond modules and courses, with a greater focus on bitesize, video, audio and animation to create learning that really engages and drives an impact both culturally and commercially.”

James Clay returns to profit and makes a pair of acquisitions: Craft beer importer James Clay and Sons has reported a return to profit in its latest accounts, recently filed by parent company Broom House Investments. The accounts show a pre-tax profit of £442,609 for the year ended 31 March 2021, up from a £347,503 loss in 2019-20, and while turnover was £17.8m compared with £22.4m the previous year, this was put down to the effects of the covid-19 pandemic. The West Yorkshire-based company also made a couple of acquisitions, including a deal for specialist excise warehousing business Rarter, based at Leeds Bradford airport, to help strengthen its supply chain capabilities and mitigate the challenges posed by Brexit. The acquired business is now operating as a wholly owned subsidiary of Broom House Investments following completion of the deal early in the 2020-21 financial year. The other acquisition was New Wave Beer, a specialist craft beer distributor based in Scotland, which completes the company’s national distribution network. Managing director James Clay said: “These accounts align almost exactly with the period of heavy restrictions and forced closure of the hospitality sector due to covid-19. With almost 70% of our customers impacted by covid restrictions, we are very pleased turnover was largely maintained as consumption shifted to the off-trade. Additionally, the changed market dynamics resulted in sales concentrated across a significantly smaller customer base, which reduced average costs and improved profitability. It was pleasing to see the demand for the highest quality beer is resilient to such extreme market shocks. By removing the impact of big brewery deals, which has the effect of buying business in bars, it is clear consumers are thirsty for the highest quality beer that we have built our company on. To this end, we urge bar owners and operators to have confidence in quality over price to in order to meet their customers’ true demands.”

CitizenM to open fourth London hotel as part of six openings in 2022, fifth site planned in 2023: Amsterdam-based hotel operator CitizenM is to open a fourth site in London. The company will launch CitizenM London Victoria in the first quarter of 2022. The property in Vauxhall Bridge Road will feature 226 bedrooms, living room and canteen. The hotel will join CitizenM’s other sites in the capital – in Bankside, Shoreditch and near the Tower of London. The opening forms part of plans that will see the company launch six hotels in 2022, taking its portfolio to 30 across Europe, Asia and North America. CitizenM is also opening two sites in Miami along with hotels in Chicago, Seattle and Washington DC. A further seven properties are planned in 2023, including a fifth location in London. CitizenM opened its debut hotel at Amsterdam’s Schiphol airport in 2008. 

Catering firm extends contract with Brighton Centre, removes beef from menu as part of sustainability pledge: Specialist catering firm Seasoned has won a new seven-year contract to supply food and drink at the Brighton Centre, a 5,000-capacity conference and exhibition venue, creating more than 40 part-time jobs. The company, which has been the centre’s catering supplier for the last 15 years, has also pledged to deliver a sustainable service using recyclable materials, and will no longer serve beef. Seasoned managing partner – venues, Graham Turner, said: “This seven-year extension allows us to build on the sustainable work we had started. We are working hard to find alternatives to single-use plastics, and beef has also been removed from the menu due to its harmful effects on the environment. We should all do our bit to reduce the impact on the environment, and it is only right that as a leading events and catering firm we take steps to include sustainability as part of our company culture.” Seasoned is part of the Essex-based Crown Partnership – a portfolio of events, hospitality and catering providers committed to environmental sustainability.

Grimsby-based Riverhead Coffee launches third outlet: Grimsby-based Riverhead Coffee has launched a third outlet as work on a dedicated bakery to serve them and other businesses completes. The business, founded five years ago by Nic Till, has opened its latest outlet in a vacant property in Victoria Street. The site adds to the original Riverhead and Cleethorpes venues, with the latter undergoing a refresh this week. Till told Business Live: “Over the next five years we want to increase the brand around the town in different ways. Lots of people just want something quick, so this is a different concept – everything here is ready, so it is a rapid turnaround. We’re now in the process of opening a bakery in Wilton Road, as a business-to-business operation, where we can sell to other venues as well as increase capacity to serve ourselves.”