Story of the Day:
Exclusive – investment group featuring Breal Capital and Calveton in pole position on D&D London: An investment group featuring Breal Capital, which has so far this year acquired Brew by Numbers, Black Sheep Brewery, Brick Brewery and Vinoteca, and Calveton, the backer of Byron, is currently in pole position to acquire D&D London, Propel understands. Propel believes the group, which is working with Simon Wilkinson, ex-chief executive of Byron and La Tasca, on its bid for D&D, is in advanced talks for the business, and that a deal could be concluded next week if those talks progress. Aqua Restaurant Group, the Handa family and JKS Restaurants are all thought to be among the parties to have shown an interest in D&D, which owns and operates circa 40 restaurants across the UK and internationally. D&D co-founder and former chief executive Des Gunewardena, who is thought to still own a circa 14% stake in the company, was also among the interested parties. Final bids for D&D were due last month. The sales process, which goes under the name Project Sandon, is being overseen by advisory firm Interpath. Propel revealed last month that Breal Group had acquired a pair of former We Are Bar sites in London as it looks to build a portfolio of hospitality businesses. The investment firm acquired the ex-Jamie’s Wine Bar in Adam’s Court and The Bolthole in Suffolk Lane, both in the City, out of administration for a total consideration of £100,000. It is now understood to have added a third ex-We Are Bar site to its portfolio, with a deal for the ex-Jamie’s Wine Bar in Ludgate Hill. It is understood that Breal will soon relaunch the Adam’s Court site under the name Andrea Bar. Calveton is backed by Sandeep Vyas and Haseeb Aziz and was previously owned by Style Group Brands, which included the Jacques Vert brand. Breal and Calveton, and Interpath declined to comment.
D&D London features in the Propel Turnover & Profits Blue Book. Its turnover of £70,233,000 for the year ending 30 September 2021 is the 110th highest in the database. Its pre-tax profit of £29,046,000 in the 21st highest in the database. The Blue Book ranks companies by turnover, profit and profit conversion, listing directors’ earnings for the past five years. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers. Email jo.charity@propelinfo.com to upgrade your subscription.
Industry News:
Panel on future of food delivery to be held at final Propel Multi-Club Conference of 2023, three free places per company for operators: A panel on the future of delivery will be held at the final Propel Multi-Club Conference of 2023, which takes place on Thursday, 16 November, at the Millennium Gloucester Hotel in London’s Kensington, and is open for bookings. The all-day conference will focus on “progress in an era of strong headwinds”. The panel will feature
Gabriella Overeem, head of partner management at Uber Eats; Joe Heather, general manager of UK & Ireland at Deliverect; Johnnie Tate, founder of Yard Sale Pizza; and
Mark Murphy, founder of Burgerism; discussing what comes next as the sector continues to seek the best way of integrating a delivery model after the boom during the pandemic. For the full speaker schedule, click
here.
Operators can book up to three free places per company by emailing kai.kirkman@propelinfo.com.
Growing restaurant groups among new editions to The New Openings Database featuring 894 site openings: Premium subscribers will receive the new edition of The New Openings Database tomorrow (Friday, 6 October), at midday. The database features independent Japanese restaurant
Sushi Moka, which has opened its second site, in Wandsworth’s Ram Quarter. US brand
Chipotle has opened new sites in London – at The O2 and Westfield London, in White City – and in Guildford. Meanwhile, street food concept
Mexican Seoul has opened its debut site in Bow Wharf, east London. The database will show the details of 894 site openings, including 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, and there will also be a website link to the businesses. The database is published on a monthly basis and Premium subscribers will also receive a 44,000-word report on the new additions to the database.Premium subscribers also receive access to five other databases: the
Propel Multi-Site Database, produced in association with Virgate; the
Propel Turnover & Profits Blue Book; the
UK Food and Beverage Franchisor Database; the
Who’s Who of UK Food and Beverage; and the
UK Food and Beverage Franchisee Database. Companies can now have an unlimited number of people receive access to Propel Premium for a year for £995 plus VAT – whether they are an operator or a supplier. The single subscription rate is £495 plus VAT for operators and £595 plus VAT for suppliers.
Email jo.charity@propelinfo.com to upgrade your subscription. Premium subscribers are also being given exclusive access to the recording and slides to Propel Multi-Club Conferences. They also receive their morning newsletter 11 hours early, at 7pm the evening before; regular video content and regular exclusive columns from Propel group editor Mark Wingett.
Hospitality Rising hits 250,000 job applications in a year with one in three job seekers now considering a career in sector: The inaugural campaign by sector recruitment initiative Hospitality Rising has generated 250,000 job applications for supporting industry businesses since its launch a year ago. The “Rise Fast, Work Young” movement has now reached more than 50% of people under the age of 30 (its target audience) at least once and has significantly improved the image of the industry with job seekers. One in three job seekers are now considering hospitality as a sector in which to work, compared with just one in five in August 2021, with 75% of 18 to 30-year-olds saying the campaign encourages them to work in hospitality. In addition, more than 90,000 job opportunities have been posted to date, gaining more than 800,000 views. The Hospitality Rising TikTok campaign has been particularly successful. Three bursts on the channel over the 12 months, involving 19 creators and 22 pieces of unique content, have achieved a reach of three million, 60,000 clicks and 16 million impressions. In its entirety, across all social channels, the campaign has generated 64 million impressions. Hospitality Rising was formed as the industry faces a chronic workforce shortage, with figures from CGA by NIQ showing 61% of hospitality businesses are experiencing staffing issues and are being forced to reduce trading hours and days as a result. The collaborative movement was formed by former Pret A Manger and YO! marketing chief Mark McCulloch. So far, the campaign has raised £1m and gained the support of more than 300 operators, suppliers, and all of the major sector trade bodies. McCulloch said: “These incredible results mark a significant step towards addressing the ongoing challenges in the sector’s job market and its image as an appealing sector in which to work. They prove our strategy and creative are the right ones and show the progress we are making. As we head into our second year of activity, we’ve got some exciting plans in the pipeline and are fizzing with ideas to help build on the amazing work that’s already been done and I would urge everyone to come and join us on this journey.”
UKHospitality – sector to benefit in long term from new education plan, but short-term needs remain: Hospitality will benefit in the long term from a new education plan, but the sector’s short-term needs still need attention, UKHospitality has said. Prime minister Rishi Sunak has announced the creation of a new Advanced British Standard that will combine academic and technical education for 16 to 19-year-olds. UKHospitality chief executive Kate Nicholls said: “Putting vocational education on the same footing as academic education is long overdue and sectors like hospitality will stand to benefit when this plan comes to fruition. However, this is a long-term ambition that will take time and there remains the need for short-term action. In particular, reform of the apprenticeship levy to give businesses more control of the funding and flexibility of where it is spent.” Sunak also announced the rest of the HS2 rail project will be stopped and replaced with “Network North”, with £36bn of funding. “It’s very disappointing that a major infrastructure project like HS2 is being scrapped but investment in transport across the north of England is positive,” Nicholls added. “It is important that the country is as interconnected as possible and that infrastructure projects remain under constant review.”
Scampi merger could push up prices for UK pubs and restaurants: A merger of the UK’s two largest scampi suppliers could ultimately push up prices for UK pubs and restaurants, the competition watchdog has said. The Competition and Markets Authority (CMA) has found that Whitby Seafoods’ purchase of Kilhorne Bay Seafoods could result in higher prices and lower quality products. Whitby Seafoods is currently the largest UK supplier of breaded scampi to foodservice customers by some distance, holding a market share close to 90%. Kilhorne Bay Seafoods, while significantly smaller than Whitby Seafoods, is the second largest supplier. Whitby Seafoods agreed to buy Kilhorne Bay Seafoods on 2 May 2023 and voluntarily notified the deal to the CMA, which launched a merger review into the deal in August. An initial investigation found that the loss of competition could result in food sector customers having to pay higher prices, which could lead to higher prices for consumers, as well as reduced product quality. The CMA said it will refer the deal for an in-depth investigation unless Whitby and Kilhorne Bay offer solutions “that fully resolve these concerns”. The companies have five working days to submit proposals. Colin Raftery, senior director of Mergers at the CMA, said: “Scampi is a popular choice when eating out in the UK, with more than 20 million servings sold to restaurant, café, and pubgoers every year. These venues are already facing significant cost pressures, and it’s critical we don’t allow a loss of competition to make things worse.”
Trade bodies back bringing gaming machines into modern age: Trade bodies UKHospitality and the British Beer and Pub Association have jointly supported proposals to allow cashless payments on gaming machines. In a joint response to the Department for Culture, Media and Sport (DCMS), they also highlighted the importance of sensible and proportionate safeguards being included to protect players. “We support the proposals to bring the regulations into the modern age by allowing cashless payments in a proportionate way that includes important safeguards, in particular the exclusion of credit cards,” the statement said. “These changes would be significant for pubs and other leisure operators to future-proof this part of their business and, as a sector, we’re keen to continue working with DCMS on implementing these proposals, and developing proportionate safeguards alongside this.”
Uber Eats launches six-figure fund to support black-owned UK restaurants: Uber Eats has announced its Black Business Fund will return for a third year, with £250,000 of grant funding to be awarded to black-owned restaurants across the UK. To date, businesses have received a total of £300,000 of grants since the award scheme started in 2021, with this year’s funding taking the total amount awarded past £500,000. In collaboration with Enterprise Nation, the Uber Eats Black Business Fund will award cash grants to 25 small black-owned businesses, with at least half going to small businesses outside of London. Black-owned restaurants with fewer than five locations can now apply. Lorraine Copes, founder of Be Inclusive hospitality, said: “I am pleased to see the return of the Black Business Fund for a third year. Uber Eats is continuing to leverage insights to drive action by ongoingly investing in black businesses in hospitality. My hope is that recipients thrive, due to the assistance of the fund, despite the continual barriers faced.”
Job of the day: COREcruitment is working with a restaurant brand in London that is looking for an experienced people/HR manager. A COREcruitment spokesperson said: “As people manager, you will work closely with the operations teams to create, drive, and ensure the effective implementation of people strategy and practices. You will report into the head of people and manage one direct report.” The salary is up to £60,000 per annum and the position is based in London. For more information, email abbie@corecruitment.com.
Company News:
Kerb to collaborate on new ‘plant-forward food hall’ in San Francisco: Street food collective Kerb is to collaborate on Saluhall, a “plant-forward food hall” which is set to launch in San Francisco at the start of next year. Ingka Centres, the company behind Ikea’s new shopping centres, is collaborating with Kerb and Claus Meyer, one of the founders of the new Nordic cuisine, on the new venture. The first Saluhall will launch at Ingka Centres’ upcoming meeting place at 945 Market Street, San Francisco, in the first quarter of 2024. The site will host multiple local vendors across two floors of 23,000 square feet, with a spread of in-house food offers and three bars featuring local craft beer and wine. Saluhall will aim for an 80% plant-based offer coming from a selection of local food and drink producers and traders soon to be announced. It will also feature an all-day Scandinavian themed bakery-based café and bar created by Meyer. Ian Dodds, director of Kerb, said: “We’re really pleased to see this ambitious project come to life. As a firm believer in the value of local, owner-operated food and drink as a vital part of the urban fabric of all cities, we’re intent on showcasing and supporting great vendors and chefs from across the San Francisco Bay area. Saluhall has bold ambitions but it must also bring hope, be fun, unpretentious and ultimately taste great. To launch it in a brilliant, delicious and progressive food city like this, in the heart of downtown, is an exciting challenge for all involved.” At the start of the year, Kerb announced it will open a site in Berlin, due to launch in 2024. It is converting the IMAX cinema at the Sony Centre am Potsdamer Platz in the German capital into a two-storey food and drink venue inspired by the building’s cinematic heritage. The group’s Seven Dials Market site plays host to 25,000 customers a week, provides 300 jobs and generates revenue of £15m a year.
Bloomberg– Stonegate seeks to raise debt as sale falters: Stonegate Group, the UK’s largest pub company, is working on options to raise new debt against 1,000 pubs, according to people familiar with the situation, as plans to sell off the portfolio have so far been unsuccessful. Bloomberg News reports that Stonegate, which is owned by private equity firm TDR Capital, is proposing splitting off the group of about 1,000 outlets into a special-purpose vehicle and using it to raise debt from outside parties. Stonegate, which would manage the vehicle, has appointed EastDil Securities and Barclays to canvass offers, according to the people. Stonegate, which has about 4,500 pubs, needs the cash to pay down existing debt, acquired through years of rapid expansion since it was created in 2010. The move comes as interest rates have been surging, making it tougher and more expensive for many borrowers to raise funds. When Stonegate bought Ei Group, formerly Enterprise Inns, in 2019, it said it planned to eventually sell a package of pubs. Over the summer, ratings firm Moody’s Investors Service revised the outlook on Stonegate to negative as more than £2bn of maturities in July 2025 are fast approaching. Moody’s forecasts the ratio of net debt to profits to be more than eight times at the end of this year. Stonegate’s junk bonds due in 2025 are currently quoted at 94p on the pound, according to pricing compiled by Bloomberg. A representative for Stonegate declined to comment.
Missions Mars confirms next three Rudy’s openings, appoints new head of acquisitions: Mission Mars, the BGF-backed operator of Albert’s Schloss and the Rudy’s Pizza Napoletana brand, has confirmed the next three openings under the latter concept and appointed Adrian Saunders, formerly of Byron and The Restaurant Group (TRG), as its new head of acquisitions. The company has confirmed it will open two more Rudy’s sites in London – in Shoreditch High Street and in Tottenham Court Road. It has also confirmed it plans to open a site in Durham city centre, in Silver Street. The business is also understood to have lined up an opening on the former Carluccio’s site in Spitalfields for the 20-strong Rudy’s brand. It will open its next site in Nottingham’s Victoria Street this autumn. As part of its three-year plan, Mission Mars is looking to open six to eight Rudy’s sites per year. To help with those expansion plans, the business has appointed Saunders as its new head of acquisitions. Saunders joins Mission Mars after more than three and a half years at Aquavista Watersides and Marinas, most recently as its development director. He previously spent two and a half years as property director at Byron, almost four years as head of acquisitions at Wagamama, and more than five years as a senior acquisitions manager at TRG.
Italian restaurant and fast-casual brand set for UK debut: Italian restaurant and fast-casual brand Indigno is set to make its UK debut next month, in London’s Shoreditch. It will be the brand’s first overseas site, having seen strong growth across its three locations in Bologna since the company’s formation in 2019. The brand specialises in the crescentina – fried dough filled with high-quality and fresh Italian ingredients – including the Indegna (artisanal mortadella sausage with handmade parmesan cream) and the 50 Special (grilled porchetta, potato croquette, caramelised onions and melted scamorza), plus plant-based options. Co-founded by Andrea Liotta and Edoardo Malvincini and later joined by Marco Liotta, it has seen its turnover grow 187% between 2021 and 2022. Liotta said: “Launching our first UK venue is a really important milestone in the story of Indegno and something that we have worked incredibly hard to achieve since the opening of our first store on Via del Pratello in Bologna. Indegno was born out of a memorable night out during which our co-founders were caught with a craving for a crescentina – a traditional countryside snack served at village fairs – with nowhere to find one in the city. After our initial brain wave to set up a store we began months of preparation to perfect the recipe in our spare time, and we have continued to refine our operations over the years. We can’t wait to share our Bolognese heritage with the UK and are excited see what the future holds as we expand internationally.”
East Lancashire McDonald’s franchisee falls to loss as costs increase, anticipates softer growth in delivery in 2023: McDonald’s franchisee Nuestra Familia, which operates seven restaurants in east Lancashire, has reported revenue increased 2.3% to £23,747,387 for the year ending 31 December 2022 compared with £23,218,846 the previous year, predominately due to the growth in delivery. The business made a pre-tax loss of £425,090 compared with a profit of £1,137,437 the year before as costs rose, particularly in the second half of 2022. Gross profit margin was down to 63.74% compared with 66.14% in 2021 and was “in line with expectations”. Since the year end, the business has opened a drive-thru in Nelson. In his report accompanying the accounts, owner Victor Arciniega stated: “2023 will continue to be impacted from ever-volatile external environments, with consumer trends likely changing more frequently due to ongoing economic challenges. We will expect strong sales growth as a result of our menu and marketing plans across the year. We anticipate delivery to see softer growth in 2023 as the market continues to normalise after the pandemic and we achieve our new post-covid baseline for the channel. However, we expect to continue to grow market share ahead of our competitors, and boost sales through Deliveroo and the further optimisation of our delivery operations. Despite a like-for-like turnover increase both from store and delivery sales, profitability, although strong in the first half of 2022, has been impacted in the second half of the year by among other things the increase in VAT within the hospitality sector back to the standard rate of 20% from 1 April 2022, a volatile supply chain and rising costs base.” No government grants were received (2021: £15,609). A dividend of £183,000 was paid (2021: £183,000). Arciniega became a McDonald’s franchisee in 2013, having previously been director of training and head of customer innovation.
Greene King forms partnership with The Natasha Allergy Research Foundation: Greene King has said it is strengthening its resolve to help customers with food allergies after becoming the first UK pub company and brewer to form a strategic partnership with The Natasha Allergy Research Foundation. The foundation is focusing on medical research, law and policies, and educating and raising allergy awareness to bring about positive change for people with food allergies. The new partnership sees Greene King pledge a six-figure sum over three-years to the foundation for vital medical research looking at causes and developing ways to prevent and treat allergic disease. The foundation was set up by Tanya and Nadim Ednan-Laperouse following the death of their daughter, Natasha, in 2016. Greene King chief executive Nick Mackenzie said: “This is a really important partnership to be supporting the foundation in what will be life-changing research for millions. It will make a difference for people with, or affected by, food allergies. We serve meals to customers every day in our pubs and have strong procedures and menu information about food allergens in place to help protect them, but this research is crucial to help us reach a time when everyone can eat at home or in a pub without the fear of an allergic reaction.” Tanya Ednan-Laperouse added: “We are delighted Greene King is joining us in the fight to make allergy history by funding game-changing medical research. We want to transform the lives of people and families living with food allergies. Everyone has the right to feel and be safe in their environment, be that home, school, work, or out with friends and family.”
Multi-brand franchisee opens tenth Chaiiwala site: Multi-brand franchisee Aadil Ashgar has opened his tenth Chaiiwala site, at 30 White Hart Street in High Wycombe, Buckinghamshire. It is a 92nd location for the Indian street food brand, which earlier this week announced a new investment partnership that will help its global expansion plans of growing to 500 stores. Ashgar, who also operates three sites for bubble tea brand Cupp and one for pancake concept Fluffy Fluffy, said: “Who would have thought the small-town guys from Reading would hit their tenth Chaiiwala store in less than five years from opening the first store? A proud achievement and feeling to have had the opportunity and privilege to work with such a dynamic and empowering company. We look forward to catering for the people of High Wycombe and converting them into avid chaii drinkers.” His younger brother, Ali, also operates a Cupp in High Wycombe, which recently opened in the adjoining unit to Chaiiwala, at 1 Bull Lane. “Initially, Ali was working with me on all our businesses, and eventually decided he wanted to taste what it means to have your own business and fruits that come with it,” Ashgar added. “We’ve always had this zest for excelling and achieving high, having learnt this trait from our father who in the late 80s and early 90s had his very own kebab trailers and vans to begin with. I remember watching him push and latch his trailer in all kinds of weather, and it’s never gone amiss the struggles our parents faced, just so we could have a better platform to perform on and avail better opportunities.”
The Groucho Club refinances and returns to profit in year of acquisition following £27.6m intercompany loan write off: The Groucho Club in London’s Mayfair has refinanced and returned to profit in the year it was acquired following a £27,641,355 intercompany loan write off. This includes both loan notes and interest due on them, and saw the business turn a £2,056,707 pre-tax loss in 2021 into a profit of £28,717,940 for the year ending 1 January 2023. Turnover rose from £5,438,000 in 2021 to £7,972,000 while Ebitda dropped from £1,780,000 to £1,035,000. Net assets grew from £10,887,000 in 2021 to £11,065,000 and no dividends were paid (2021: nil). It comes after Artfarm, the independent hospitality business run by the former Fortnum & Mason chief executive Ewan Venters, acquired the venue in a deal believed to be valued at circa £40m in August 2022. “With a long-standing dedication to artists and a rich history in the creative industries, The Groucho Club is a natural fit and shares a common long-term vision for growth with the Artfarm group,” director Jeff Connon said in his statement accompanying the accounts. “The directors believe that total non-shareholder gearing is sustainable and have been successful in refinancing the bank debt after the balance sheet date. The directors believe the club is well placed as it emerges from this challenging period due to the unique identity and heritage of the club and its long-term strategy based on core values of art, community and sustainability. The directors aim to deliver growth via a member’s experience based on exceptional service and design, community building, and engagement based on art and carefully curated programs that animate and inspire learning.”
Michelin-starred chef Claude Bosi opens rooftop restaurant and bar at The Peninsula London: Michelin-starred chef Claude Bosi has opened his new rooftop restaurant at The Peninsula London. Brooklands’ design has been inspired by its namesake, Brooklands racetrack in Surrey. The space features Brooklands Bar and The Tasting Room, a cigar lounge and tabac. There is also the Trophy Room, an introduction to the legacy of the racetrack, which leads to the restaurant and terrace. The restaurant’s menu features seasonal dishes such as Great Fen Farm celeriac nosotto with crab and coconut; and Racan guinea fowl with sea beet and Scottish razor clams. Brooklands Bar offers a range of cocktails alongside beer, cider, aperitifs, fine wine and spirits. As an accompaniment, Bosi has created a menu that includes lobster roll; Welsh rarebit and pork rillettes; and whelks with tartar sauce. Bosi is leading the food and beverage offering at The Peninsula London in Hyde Park Corner and continues to head up the two Michelin-starred London restaurant, Claude Bosi at Bibendum.
North east operator makes ‘rapid recovery’ in turnover and profitability, ‘optimistic company will continue to grow level of trade’: North east operator Kymel Trading, which operates Trenchers Fish Restaurant in Whitby, said it has made a “rapid recovery in turnover and profitability” in the year to 31 December 2022 and is “optimistic the company will continue to grow the level of trade”. The business reported turnover of £3,411,649 for the period, up from £2,401,735 in 2021. Its pre-tax profit dropped from £598,893 to £375,652 as costs rose by more than £1.5m. It also received £6,000 in government grants compared with £365,770 in 2021. Director Kyle Mackings, in his statement accompanying the accounts, said: “The company has continued to trade well in the restaurant sector, with a successful summer period in particular, despite the poor weather. The company had cash at bank of more than £750,000 and net assets of £3.3m at the year end, and cash flow from operating activities has been positive during the period and post year end. With the gradual lifting of covid restrictions during the prior year and the continuing popularity of staycations throughout the current year and beyond, the company has been able to make a rapid recovery in turnover and profitability. The directors are now optimistic that without further unexpected events, the company will continue to grow the level of trade during 2023.” No dividends were paid (2021: nil). Post year end, the company has completed the extension of a courtyard at Trenchers and acquired The Castle Inn in Bamburgh. It is also behind The Lord Crewe in Bamburgh as well as Spanish City in Whitley Bay.
Former Chameleon operator opens new modern European restaurant in London’s Queen’s Park: Andrew Dax, who was behind the now-closed Chameleon in London’s Marylebone Road, has opened a new restaurant in the capital. Dax has teamed up with chef Paul Delrez to launch all-day modern European restaurant LULA in Queen's Park. LULA has been running residencies and private events for the past month or so. Delrez is the owner of Brussels bistro La Guinguette en Ville and has just shy of three-quarters of a million followers on Instagram, where he showcases his “hot regressive cuisine”. LULA spans two floors, and upstairs is a private dining space called The Loft. The menu includes scallops with spinach, roasted garlic, lemon butter sauce and chives; and bone marrow steak tartar.
Interesting Hotels reports revenue exceeds pre-covid levels in year of ‘significant’ challenges: Interesting Hotels, which is led by West Midlands businessman Roger Hancox, has reported turnover increased to £18,487,000 for the year ending 31 December 2022 compared with £15,974,000 the year before. Revenue also exceeded the £17,507,000 reported for the year ending 31 December 2019 – the last full year before the covid pandemic. Pre-tax profit was down to £2,109,000 from £3,143,000 the previous year (2019: profit of £500,000). In his report accompanying the accounts, Hancox stated: “The business faced some significant challenges in managing inflationary costs, particularly in the areas of utilities and food/beverage, which despite careful and effective cost control has resulted In an increase in our cost base. In addition to this, the continued impact of staff shortages across the UK required careful operational planning. During the year, we continued our programme of capital investments, which involved minor work at most locations and major work extending and refurbishment of the spa at Heuldon Lakes Hotel. Work also commenced on the rebuilding of Lyle Cottage at Hawkstone Park. We are beginning to see some of the benefits of scale and diversity flowing from the group operating systems. Our search for acquisitions continues, and while there still remains a shortage of suitable properties, we completed the acquisition of Riverside Hotel Kendal, which was identified at the end of 2022.” The business received government grants of £27,000 (2021: £991,000). No dividend was paid (2021: nil).
Freehold investment in Exmouth Arms site on market at £4.75m: The freehold investment of the Exmouth Arms in London’s Clerkenwell has been brought to the market with offers in the region of £4.75m sought, Propel understands. AG&G have been instructed by CBRE Investment Management to market the freehold investment opportunity, with the asking price providing a net initial yield of 4.15% (assuming standard purchaser costs) with a reversionary yield anticipated in the region of 5.04% assuming a Retail Price Index increase to £255,000 per annum in September 2024. The whole building is let to Urban Pubs & Bars 3 (part of Urban Pubs & Bars), expiring in 2054 at a passing rent of £210,000 per annum, subject to annually compounded five yearly rent reviews. Urban Pubs & Bars operates more than 40 pubs across London. In 2021, the group acquired 13 leasehold pubs from Barworks for £16.5m, and the Exmouth Arms formed an integral part of the transaction.
Team behind Sunderland catering company opens new café, deli and kitchen in Houghton-le-Spring: The team behind Sunderland catering company Cheese and Pickle Co has opened a new café, deli and kitchen. The business, owned by the Davis family, has launched the venue at Evolve Business Centre in Houghton-le-Spring. Cheese and Pickle Co has taken over Evolve’s on-site bistro. The kitchen is also used for the catering side of the business. Trevor Davis, co-owner of Cheese and Pickle Co, said: “It’s a really nice spot for us, the centre is modern and suits the needs of our catering business. The response has been great so far and we’re building a strong customer base.” As well as Cheese and Pickle Co, the Davis family also runs three gin bars – Old Tom’s in Durham city centre and Tin of Sardines in Roker and Durham.
Cornish and Welsh holiday park operator sees turnover and profit fall as staycations drop: Holiday park operator Vale Holiday Parks, which operates 12 sites across Wales and Cornwall, has reported turnover fell to £12,186,660 for the year ending 31 January 2023 compared with £13,429,005 the previous year as a result of a drop in staycations. Pre-tax profit was down to £1,012,238 from £5,077,559 the year before as costs rose across the business. A dividend of £300,000 was paid (2022: £300,000). Prior to the covid pandemic, the business turned over £9,620,235, with a pre-tax profit of £1,406,991.
Influencer marketing app Nibble rebrands to Joli: Nibble, the influencer marketing app for hospitality, is marking the start of a new era and next stage of growth by rebranding to Joli. The app connects hospitality brands with vetted influencers based on following, reach, engagement, content style and location. It has welcomed more than 1,800 content creators on to its platform since launching and now plans to bring on new categories of creators all across the UK. Co-founder Michael Radley said: “We’ve come to learn that we are now much more than an app for foodies. We’ve now vetted and qualified more than 16,000 UK content creator profiles suitable for hospitality brands who can now be welcomed on to the app, but we felt we needed a new brand that was aligned with our next stage of growth. We want to be an app for all creators, whether that’s foodies and lifestyle or fitness and fashion. We’re now operating UK wide and can’t wait to see all the authentic and diverse social media content produced via our platform and creator community.”
Lane7 opens largest site yet, in Birmingham: Boutique bowling company Lane7 has opened its largest site yet, in Birmingham. Propel revealed in December 2022 that the Tim Wilks-led business had secured a 28,000 square-foot site in Link Street, part of Hammerson’s Bullring Estate. It has now opened the flagship space, which can accommodate up to 1,000 visitors and features its widest offering yet. This includes bowling, augmented darts, floor shuffle, curling, ping pong, pool and karaoke booths. It also has a rooftop terrace bar serving cocktails and drinks, with panoramic views across Birmingham city centre. Wilks said: “As part of our ambitious national expansion programme, we are targeting the UK’s best cities, and Birmingham certainly fits this brief. The launch of our largest location and biggest investment to date is a pivotal moment for the Lane7 brand. After the success of our initial site in the city, we are delighted to have launched our elevated Lane7 on Bullring and Grand Central’s Link Street, within West Midlands’ best-connected retail and leisure destination.”
