Blank Street Coffee targets regional expansion: Ignacio Llado, UK managing director of US coffee chain Blank Street Coffee, which made its debut in Britain last July, has told Propel that the business is “seeing more and more demand from customers and landlords to open up in new neighbourhoods in London and beyond”. It comes as Propel has learned Blank Street is planning to launch in Manchester next year. The business, which currently has 23 stores in London and hopes to push that number to more than 30 within the next year, is understood to have begun looking for an area manager, a shift leader and barista in Manchester, stating it would be “coming soon” to the city. Llado told Propel: “2024 is going to be an exciting one for Blank Street. We are seeing more and more demand from customers and landlords to open up in new neighbourhoods in London and beyond. We will be looking to expand our footprint in London, alongside exploring other UK cities. London is a huge market, with almost 2,000 coffee shops. More than 75% of these are owned by major chains; some of these have upwards of 400 stores! However, these dominant players have made limited changes in terms of customer experience or innovation over the last few years. At Blank Street, we saw this as an opportunity to redefine what it means to be a coffee chain in today's high street, challenge the status quo, and raise the bar. We want to bring fun and energy to the market, offering both high quality specialty grade coffee and innovative drinks, in beautiful modern spaces.” Last week, the company said it was on track to reach profitability in London next year and was looking to bring its loyalty service to the UK market. On its reception in the UK, Llado said: “It's been amazing. Our customers are loving our product offering too, as we bring something quite different to the high street.” Llado said the main focus since the UK launch has been to “ensure we were never trading off growth for quality and customer experience”. He said: “It’s a challenge that I've been acutely aware of since the start, and something that we take into account at every level. We are thoughtful about the details, and look at every new store as if it is the first – from its interior design to the customer journey. We look at everything with minute care so that we can raise the bar on every new Blank Street store.” Earlier this year, the company, which also operates in New York, Boston and Washington DC, raised $20m (£16.7m) in a fundraising round from US investors.

Next edition of Propel Turnover & Profits Blue Book shows 68% of companies in profit, up from 60% six months ago: The next Propel Turnover & Profits Blue Book, to be sent to Premium subscribers on Friday (10 November), shows 68% of the 789 largest sector companies are now in profit, up from 60% six months ago. The Blue Book shows 536 companies in profit and 253 reporting losses. The Blue Book is updated each month and ranks companies by turnover, profit and profit conversion, listing directors’ earnings for the past five years. For the first time, Propel group editor Mark Wingett has chosen the best videos from the Propel conferences in 2023, picking out a selection of talks and interviews that resonated with delegates from across the breadth of the hospitality sector. The 12 videos will be made available to Propel’s Premium subscribers at 9am on Friday, 24 November. Premium subscribers also receive access to five other databases: the Multi-Site Database, which is produced in association with Virgate; the New Openings Database; 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 kai.kirkman@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 Mark Wingett.

All Our Bars CEO – end of business rates support and other costs mean average prices will have to rise about 40p ‘just to stay still at an overhead level’: Paul Wigham, chief executive of pub and bar group All Our Bars, has told Propel that average prices will have to rise about 40p “just to stay still at an overhead level” with further cost increases set to be inflicted on the industry. Retail, hospitality and leisure companies can currently access a 75% discount on business rates, but the support will come to an end in March, which Wigham said would be “disastrous”. He has worked out that in order to cover the rates cost if fully restored, the business will need to add an average of 16p-17p to the price of each and every drink item sold. But with the National Minimum Wage and National Living Wage increases, product inflation and other costs, Wigham said that figure “could approach 40p”. He said: “We and everyone else in the trade have been in survival mode. The lower rates cost has been part of the survival package and is now built into our overhead matrix after a tumultuous three years. We have ‘gone granular’ on this. We have worked out that in order to cover the rates cost if fully restored, then we will need to add an average of 16p-17p to the price of each and every drink item sold. That is on top of inevitable drink supplier price rises and other likely overhead increases. Using the colloquial public measure of the ‘price of a pint’, that could approach 40p to stay still at an overhead level, disregarding any dirty words like ‘investment’ or ‘profit’. In a period of poor consumer confidence, that will be unsustainable for the customer and consequently, disastrous for many operators. And we think our rates are better than some of the mad amounts paid by the unlucky others! The government is not listening to our trade – it still seem to think how lucky we are to have had any support without understanding our knife-edge trading model. Full restoration of business rates will be disastrous for all bricks and mortar retail and will lead to further derelict town centres. It will do no favours for inflation targets either. Online retailers have to take some of the responsibility for the ‘rates gap’ in UK plc income and the prime minister had a great opportunity to approach the digital tax issue with some major tech bosses this week at Bletchley Park. I bet he didn’t.”

Jeremy King acquires Simpson’s in the Strand: Jeremy King, the co-founder of Corbin & King who confirmed earlier this summer he is to make a return to the capital’s dining scene, is to take on Simpson’s in the Strand, one of London's oldest English restaurants. The restaurant dates to the mid-19th century and was famous for the roasts that were wheeled around on silver platters and carved tableside. King told The Times: “That will be more of a big-theatre brasserie but one that will very much hark on its tradition. I want people to walk in there and say, ‘Oh good, they haven’t changed it’, although it will have changed.” If all goes to plan there will be a big restaurant downstairs, another upstairs, a basement bar and a private dining room. King said: “There is probably no great artistic, literary, musical, political movement that hasn’t started in a restaurant, particularly the kinds of restaurants I like: the grand cafés. They are the catalyst for so much, and that is what excites me.” King is set to invest up to £8m on opening his The Park site, a “21st-century grand café”, in Bayswater, while he is also set to reopen the former Caprice site, under the new name Arlington. Propel revealed last October that a new operator was being sought for Simpson’s in The Strand. The venue near Covent Garden was forced to close in March 2020 owing to covid restrictions. Davis Coffer Lyons was hired to find a chef or brand willing to take over the site. Located adjacent to the Savoy Hotel, the site provides 20,000 square-foot over four floors in a “series of historic rooms with flexible planning to allow a host of hospitality uses”. King will be among the speakers 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”. King will talk to Propel group editor Mark Wingett about making his return to the sector, what he plans to do differently, and where he sees the restaurant market in the capital going. For the full speaker schedule, click here. Operators can book up to three free places per company by emailing kai.kirkman@propelinfo.com.

Mains and combo meals gain greater share of fast-food menus at expense of cold drinks and sides, coffee demand remains strong: Main courses and combo meals are gaining a greater share of fast-food menus at the expense of cold drinks and sides, according to the latest report from Meaningful Vision’s market intelligence platform. Looking at the menus of the UK’s top 70 fast-food chains, the report found mains – including burgers, sandwiches, pizza and chicken – now comprise 48% of the total offerings, reflecting a 3% growth compared with 2022. Leading the charge are pizza delivery and burger restaurants, which allocate 76% and 54% of their menus respectively to main dishes. The significance of hot and cold beverages within menus varies widely between different chains, constituting only 11% of pizza menus, but occupying a 41% share of coffee shop menus. Baked goods also play an important role, making up 33% of coffee shop menus and 35% of bakeries and sandwich chains. The primary trend over the past eight months is the transition from less essential menu items to main courses and combo offerings. Consequently, the share of combo meals in a typical menu has grown from 17% to 20% over the past year. While main courses are on the rise, the prominence of beverages, particularly cold drinks, is declining. On average, the beverage category has decreased from a 25% to a 23% share, mainly due to reduced cold drink offerings, while the significance of coffee remains unchanged. Other categories that have seen reductions in their offerings include snacks, sides and bakery items. As economic challenges influence consumer behaviour, preferences are shifting towards purchasing fewer items while seeking better value for money. Meaningful Vision chief executive Maria Vanifatova said; “Customers are prioritising more essential menu items like main courses while moderating their consumption of cold drinks and snacks, which are easier to drop. The enduring appeal of coffee, particularly during morning hours, is a different story. The habit of choosing coffee over breakfast while en-route to work remains a tradition. As the number of people returning to the office continues to grow, they’re sustaining the demand for morning coffee.”

Services sector exceeds expectations after cost pressures recede: The UK’s services industry, which includes the hospitality sector, performed better than first expected last month, aided by cost inflation dropping to its lowest level since February 2021, a closely watched survey showed. The S&P Global and CIPS final purchasing managers’ index (PMI) for the services industry increased to 49.5 last month from 49.3 in September, topping City analysts’ expectations, reports The Times. It means the index is close to crossing the 50-point threshold that separates growth from contraction. It is also the second month in a row that the services PMI has been revised upwards: the initial “flash” estimate for October came in at 49.2 and September’s flash reading was upgraded from 47.2. A sharp reduction in business expenses boosted services companies and lifted activity and the PMI noted that suppliers had passed on falling raw material costs last month. Weaker cost pressures indicate that UK inflation will continue to recede in the coming months having already dropped to 6.7% from a peak of 11.1%. Although better than first feared, the PMI still suggests that the economy stagnated in October. The composite survey, which gauges activity across the UK private sector, increased to 48.7 in October from 48.5 in September but the index has a tendency to overstate economic downturns. On Friday (3 November), the Bank of England, in a more downbeat set of forecasts, said the UK economy would register zero growth for the next year and that inflation would not fall back to the 2% target until the end of 2025, meaning the country would be in a state of “stagflation”. Interest rates were left at 5.25% last week. Interest rates have been raised from a record low of 0.1% to a 15-year high. The bank is not expected to start lowering rates until the latter half of next year.

Glasgow city centre pubs to stay open until 1am under new 12-month pilot scheme: Glasgow city centre bars will be able to remain open for an extra hour's trading under a 12-month trial. Senior councillors said the trial period to give pubs 1am licences could boost the city centre’s late-night economy while also allowing time to properly assess the impact of the move. On Friday (3 November), the city’s licensing board unveiled its policy statement for the next five years, which includes a 12-month pilot for later pub opening, reports The Herald. The SNP administration had called for the extension during the consultation on the policy, making the case that a further hour’s trading could provide a major lift to Glasgow’s evening economy. It comes weeks after the city's licensing board confirmed that the pilot for city centre nightclubs to remain open until 4am has been made permanent. Council leader Susan Aitken said: “The richness, diversity and vibrancy of Glasgow’s hospitality and night-time offer is internationally recognised but there’s no doubt it’s had a tough time in recent years. The impact of the pandemic has been existential for many in the sector and combined with the impact of the cost-of-living crisis and rampant inflation and the very real consequences of Brexit, and it’s safe to say that hospitality probably hasn’t faced a set of pressures like this in generations. Extending pub hours to 1am can, I hope, give many businesses a shot in the arm and encourage more people to come into the city centre in the knowledge they can in turn extend their evening out. A one-year pilot will allow the city and the trade to decide whether there is the market demand for an extra hour but also if there are any impacts on public health and anti-social behaviour.”

Job of the day: COREcruitment is working with a hotel business that is looking for a managing director. The business has plans for expansion and is looking for a hands-on managing director to support the chief executive and founder and take control of the business growth. A COREcruitment spokesperson said: “The role will focus heavily on people leadership, profitability enhancement, brand development, service and systems improvement and collaboratively supporting the chief executive in major scaling plans. This worldwide business currently operates six hotels and has five venues in various stages of opening within the next two years.” The salary is up to £150,000 and the position is based in Oxfordshire. For more information, email stuart@corecruitment.com. 

PizzaExpress asks for more time for possible bid for Wagamama owner TRG: PizzaExpress is pleading with the City’s takeover referee for more time to submit a rival bid for the owner of Wagamama, as it scrambles to hire advisers. The Sunday Times reported the board of PizzaExpress has begun sounding out investment banks after plans for Goldman Sachs to spearhead its bid for The Restaurant Group (TRG) collapsed, according to City sources. PizzaExpress has until Monday, 20 November to lodge a competing bid after TRG agreed a 65p-a-share deal with US fund Apollo Global Management. But it is understood to have made a formal request to the Takeover Panel for more time. All parties declined to comment. Last month, it was reported that PizzaExpress tabled a secret proposal to reverse into Wagamama’s London-listed parent earlier this year. Sky News reported Wheel Topco, which owns PizzaExpress Group, lodged the idea of a combination with TRG’s board several months ago. As part of the deal, Wheel’s shareholders would have taken a sizeable equity stake in TRG if a transaction had been agreed. TRG, which also owns the Brunning & Price pub chain, confirmed last month that it had received renewed contact from Wheel Topco. Last month, TRG agreed to be bought by Apollo Global Management for just over £500m. PizzaExpress is controlled by a group of debt funds including Bain Capital Credit and Cyrus Capital Partners, which took ownership in 2020. Under the terms of Apollo's 65p-a-share offer, a rival bid would need to be at least 10% richer for irrevocable shareholder undertakings to lapse. Oasis Management, an activist hedge fund that had pressed for boardroom and strategic changes at TRG for months, has said it will vote its near-18% stake in favour of the deal. PizzaExpress features in the Propel Turnover & Profits Blue Book, the next edition of which will be sent to Premium subscribers on Friday (10 November). Its turnover of £322,907,000 for the year to 2 January 2022 is the 29th 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 kai.kirkman@propelinfo.com to upgrade your subscription.

Group behind Turquoise Kitchen secures trio of ex-Prezzo sites, to launch new experiential concept: The group behind the Turkish restaurant concept Turquoise Kitchen and Turkish concept Turkuaz has acquired a trio of former Prezzo sites as it launches a new experiential concept called Turkuaz Social, Propel has learned. The business, which is led by Cevdet Mutlu and will have circa 20 sites trading by end of this year, has secured the ex-Prezzo sites in Buckingham, Chichester and Wimborne. At the same time, the company is opening its first site under the new Turkuaz Social concept on the former Loch Fyne in Winchester next week. It has also secured the former Prezzo in Norwich, which will also reopen under the Turkuaz Social name. The company said the new concept “combines a superb dining experience with entertainment for everyone to enjoy”. It said: “Turkuaz Social will offer customers a trailblazing, modern environment with darts and modern virtual reality games. This will be combined with their exceptionally high-quality food, cocktails and a special selection of craft ale and beer. Turkuaz Social offers something for everyone, and we guarantee to keep all ages occupied. Our evenings are oriented toward adults of all ages.” The company plans to open a further ten sites next year across its different formats, with a site in Cambridge already secured. Turquoise Kitchen is represented by Mark Hiller, of DMR, while Brandon Elmon, of Genius1 Group, acted on the Prezzo disposals. 

Six by Nico plans fourth Glasgow site: The team behind the Six by Nico restaurant business is planning to open its fourth eponymous site in Glasgow, and its first in the city centre. The business, which already operates sites in the city’s Byres Road, Argyle Street and Southside, is planning to open on the former Gandolfi Fish site in Merchant City, in Albion Street. It also operates bakery concept Valaria in Glasgow’s West End, which opened in the spring. Later this month, the company is opening two restaurants on the same day, in Birmingham and Manchester. The Manchester launch is its second in the city. The restaurant, the group’s 15th, will open in the city’s Deansgate area, underneath the Yotel hotel in John Dalton Street, on Thursday, 30 November. The site will accommodate 72 covers and adds to its debut site in the city, which opened in Spring Gardens in the summer of 2019. The business is also opening a site in Birmingham on the same day, in the Chatwin Building in Colmore Row. Having launched in Finnieston in 2017, Six by Nico now has locations in Edinburgh, Manchester, Liverpool, London, Leeds, Cardiff, Belfast, Dublin, and Aberdeen. At the start of the year, the company announced it was set to open four new sites under its core brand, as well as new bar and bakery ventures, and an international launch, on the back of a “robust financial performance”.

Hong Kong group makes UK debut with opening in London’s Fitzrovia: The team behind Moto Yakitori and Sake Bar in Hong Kong has made its UK debut, with an opening in London’s Fitzrovia. It has opened Ramen Moto on the former Bambusa site at 6 Charlotte Street. The concept’s menu centres around a selection of ramen bowls and Japanese small plates. Salvatore Di Natale, of CDG Leisure, acted on the deal.

Starbucks franchisee Cobra Coffee hits 70-store mark with Bournemouth opening: Starbucks franchisee Cobra Coffee has hit the 70-store mark with an opening in Bournemouth. The business, operating since 2013 and owned by Southern Co-op, has opened in the town’s Turbary Retail Park. Gwyn Kennett, managing director of Cobra Coffee, said: “Cobra Coffee has achieved another milestone with our 70th store opening in Bournemouth, in Turbary Retail Park. A fantastic looking store with some great design details. A big shout out to all those who have contributed to our growth and this significant milestone over the last three years or so from our property team. Cobra Coffee has a bright future because of your combined efforts and I really appreciate your part in our journey.” Cobra Coffee acquired Amsric’s Starbucks portfolio in 2021, taking its portfolio at the time to 47. Upon completing the acquisition, it said had ambitious plans for growth over the next three years across several counties in the south east and south west.

Angus Steakhouse owner narrows losses as turnover nears pre-pandemic levels: ATFC, which owns the Angus Steakhouse chain of restaurants in London, narrowed its losses in the year to 31 October 2022 as turnover neared pre-pandemic levels. Its pre-tax loss narrowed from £2,257,000 in 2021 to £358,000, despite a rise in costs. This compares with a pre-tax profit of £751,000 in pre-covid 2019. Turnover grew from £11,281,000 in 2021 to £32,366,000 and is approaching the 2019 level of £34,244,000. Director Phillip Bain said: “2021 and 2022 have been challenging due to the covid-19 pandemic and the subsequent government-ordered lockdowns. However, the directors have positioned the business to cope with the competitive challenges and remain confident of improvements in sales and profits in 2023 and beyond.” No dividends were paid (2021: nil). Government grants of £60,000 were received (2021: £2,453,000). As well as five Angus Steakhouses, ATFC operates four Steak & Company restaurants, two Muriel’s Kitchen sites and the Ochre restaurant within The National Gallery.

Brakspear lines up tenth Honeycombe Houses opening: Pub operator Brakspear, which is led by Tom Davies, has lined up a further opening for its managed division, Honeycombe Houses. Propel understands that Brakspear is currently refurbishing the White Bear in Warlingham, Surrey, which it is transferring across from its tenanted division, with an opening planned for early next month. The Honeycomb Houses division was launched in November 2021, currently includes pubs in the Cotswolds and locations around Brakspear’s Henley heartland. The company is also working on the reopening of The Ghyll Manor, near Horsham, which it acquired in February 2022. Last month, the company appointed Marc Rawling as operations manager for its managed pubs division. Rawling will be overseeing four Honeycomb Houses pubs: The Nag’s Head in Abingdon, The Lion in Bicester, The Chequers in Marlow and The Bull on Bell Street in Henley-on-Thames (Brakspear’s first managed pub, located next to its head office). Rawling joined Brakspear from Fuller’s, where he worked for 19 years, progressing from general manager of The Vintry in the city of London to operations manager. Prior to Fuller’s, Rawling worked at Ask and Pitcher & Piano.

Edwardian Hotels reports strong demand as it returns to profit and exceeds pre-pandemic levels of trade, driven by opening of new London site: Edwardian Hotels has reported strong demand as it returned to profit and exceeded pre-pandemic levels of trade in the year to 31 December 2022, driven by the opening of a new London site. The group, which operates ten hotels in London and Manchester, turned a pre-tax loss of £42,200,000 in 2021 into a profit of £6,510,000, compared with a £1,018,000 profit in pre-covid 2019. Turnover rose from £94,581,000 in 2021 to £236,742,000 (2019: £205,269,000) while adjusted Ebitda was up from £12,239,000 in 2021 to £74,050,000 (2019: £33,095,000). The company said this “strong recovery in operations” compared with 2019 was partly due to increased turnover from the Londoner Hotel – which was under construction then and opened in 2021 – plus a reduction in operating expenses as exceptional legal costs of £15.7m were included in 2019. The new hotel contributed £8.1m to turnover in 2021 and £43.6m in 2022. Company secretary Vijay Wason said: “Despite the impact of the war in Ukraine, the consequent increase in utility costs and the significant increase in interest rates, demand for the group hotels remained strong, particularly from the leisure sector. Market latent demand to get back to travel and experiences drove occupancy and room rate increases to strong levels. The directors remain confident that, over the long term, the general market demand for hotels in the UK, and in particular in London, will continue to recover to previous strength if market forces are not further compromised by external factors. The group’s strategy is to fully assess opportunities to add to its portfolio of assets when such become available at realistic cost.” At the year end, the group had cash balances of £117.8m and undrawn secured facilities of £105.8m. A revaluation held during the year resulted in a net revaluation loss of £4.1m, which is included in the profit and loss. No dividends were paid (2021: nil). It received £231,000 in government grants (2021: £7,032,000).

Italian gelato brand Amorino hits 25-site mark, next to follow at end of November: Italian gelato brand Amorino has hit the 25-site mark with an opening in London’s Embankment, which it will follow with another launch at the end of this month. It has opened at 33 Villiers Street – between Embankment and Charing Cross tube stations – its 22nd London location, with sites also in Cambridge, Cardiff and Leeds. Up next is a further London location, which will open in Greenwich towards the end of November. The Cardiff site, which launched in August for the brand’s Welsh debut, is operated by Domino’s franchisee DP Shayban. Amorino said earlier this year that it is targeting 30 UK sites by the end of 2023 as it grows towards a planned estate of 50 by 2025.

South east London McDonald’s franchisee falls to loss due to rising costs: McDonald’s franchisee Beap Restaurants, which operates nine sites across south east London, has reported turnover increased 4.9% to £33,395,145 for the year ending 31 December 2022 compared with £31,840,956 the previous year due to “improved trading conditions and further expansion of delivery channels”. The business made a pre-tax loss of £130,761 compared with a profit of £2,138,706 the year before. Gross margin fell to 66.39% from 69.91% due to inflationary pressures. In his report accompanying the accounts, franchisee Kapila Perera stated: “The business introduced a series of price increases to help offset the impact of its rising costs base and to improve gross margin. The results for 2023 so far show these measures to be working.” The business finished the year with cash reserves of £1,926,015 compared with £2,668,747 the previous year. It had net current liabilities of £2,000,728 compared with net assets of £374,570 at the end of 2021. A dividend of £1,470,405 was paid (2021: £312,832). Perera has been a McDonald’s franchisee since 2006.

Meal kit platform Dishpatch partners with Rick Stein, crowdfunding campaign passes £1.5m mark: Dishpatch, the finish-at-home meal kit platform, is to start working with chef Rick Stein and has passed the £1.5m mark in its crowdfunding campaign to support growth. The business, which is used by restaurants including Angela Hartnett’s Cafe Murano and Michel Roux Jr, hit its initial £1.4m target ahead of the campaign on Crowdcube launching to the public last week. In an update to investors, Dishpatch stated: “Rick Stein will launch with Dishpatch this week. We're honoured to be working with one of Britain's most loved and well known chefs. This is a partnership that has been many months in the making. We will initially be launching with three seafood focused menus, with more to come in the new year.” Dishpatch is offering 8.85% equity in return for the investment, giving a pre-money valuation of £15,223,140. So far, £1,508,000 has been raised from circa 280 investors. Since launching the business three years ago, Dishpatch has delivered in excess of 230,000 meals, with more than 75% outside of London. With this additional support, Dishpatch said it will be able to expand its offering to its existing customer database and expand to reach a new audience, as well as growing the business throughout the UK, and in turn, internationally. It will also allow significant investment into marketing, new partners and support the expansion of its annual membership programme. Existing investors, including LocalGlobe and Stride, have committed to further investment in Dishpatch as part of this fundraising round. The business generated revenue of £3.8m with Ebitda of minus £3.5m for the 12 months to August 2023. Gross profit increased from minus 11% in August 2022 to plus 24% in August 2023.

Birmingham tandoori chai concept makes Welsh debut, set to double estate this month: Birmingham tandoori chai concept Chaiiology has made its Welsh debut and is set to double its estate this month with two more launches. The franchise concept followed its debut site, in Birmingham’s Ladypool Road, with a second restaurant, in Southall’s The Broadway, last year. It returned to Birmingham with an opening in Soho Road, in the city’s Handsworth district, earlier this year. It has now opened at 189 City Road in Cardiff and is also set to launch sites this month at 102 Mill Road in Cambridge and 308 Farnham Road in Slough. Specialising in pink chai, karak, dhood patti and its “iconic tandoor chai”, Chaiiology also serves a healthy variety of Indian sweet and savoury food items. These include butter chicken roll, chaat, sweet chilli chips and milkcakes. The Cambridge site will be operated by Zarrer Arshad, former owner of Cambridge Gourmet Grill, who told the Cambridge News: “If the restaurant is popular here, we aim to open another Chaiiology in Oxford.”

Mayfair casino returns to profit following ‘adequate recovery’, draws down more than £20m from parent company loan facility: Exclusive Mayfair casino operator Les Ambassadeurs returned to profit following an “adequate recovery” in the year to 31 December 2022 and has drawn down more than £20m from its parent company loan facility. Director Robert Cairns, in his statement accompanying the accounts for the period, said: “The club reopened again in January 2022 with reduced hours and offerings until an adequate amount of overseas clients returned to London. The business expanded its product offerings including an innovative new Good Causes Slots Jackpot Zone, and a return to 100% working hours for the staff in July 2022. In the year ended 31 December 2022, Les Ambassadeurs Club achieved positive trading profits for the time since 2019 as the business began to recover from the 18 months of closure as a result of the global covid-19 pandemic. Turnover of £33,468,000 (2021: £7,066,000) and an operating profit of £1,100,000 (2021: loss of £31,764,000) reflects an adequate recovery when compared with the prior two years and challenging market conditions. The directors consider the position of the company and the group at the end of the year to be in line with expectations. Following the launch of Les Ambassadeurs Online on 11 October 2021, the first full year of trading was better than forecast, with the business delivering a profit. This success was driven by the business focusing specifically on converting its land-based customers to play online.” He added that before 2020, all amounts due to the parent business had been repaid, but the company had drawn down on the loan facility due to the effects of covid, and at year end, owed £20.9m (2021: £19m). It comes as the company made a £1,110,000 pre-tax profit in the year compared with a loss of £31,764,000 in 2021. Ebitda grew from a ;loss of £28,494,000 to a profit of £4,393,000. This compares with turnover of £100,217,000, Ebitda of £9,533,000 and a profit of £5,952,000 in pre-covid 2019. No government grants were received (2021: £4,280,000).

Canadian women-only gym concept set to make UK debut before expanding here through franchising: Canadian women-only gym concept 30 Minute Hit is set to make its UK debut before expanding here through franchising. The concept, which was founded in British Columbia in 2004 by husband-and-wife team Deanna and Jackson Loychuk, is preparing to open its first UK in Belfast, Northern Ireland. It currently has eight locations in Canada and 14 in the US and is also set to open in Saudi Arabia and Dubai soon too. 30 Minute Hit has been designed as an accessible circuit-based fitness workout, with a focus on boxing and kickboxing, for women of all shapes, sizes, ages and abilities. “We are thrilled to introduce our highly successful fitness model to the UK,” Robert Button, director of international franchise development, told whichfranchise. “30 Minute Hit has established a solid and respected brand recognised for its empowering and nurturing atmosphere, making it particularly appealing to women. With one of the lowest start-up costs in the fitness franchise industry, a quick ramp up period and the potential for great financial returns, a 30 Minute Hit franchise is ideal for those looking to run their fitness business in the UK. Our current goal is to have up to three locations in operation by the end of 2024.” Potential partners do not have to have any prior fitness or business experience within the industry.

Kent-based Costa franchisee makes Morocco travel hub debut: Kent-based Costa franchisee Goldex Investments has made its travel hub debut in Morocco. The business last year become the first UK-based Costa franchise to develop the brand overseas with an opening in Marrakesh, which it followed with openings in Casablanca and Bouskoura this year. In July, Propel revealed that Goldex had also agrees leases for Costa sites at three of the busiest train stations in Morocco – Casablanca Voyager, Rabat Agdal and Tanjiers. The first of those has now opened, in Casablanca, with Rabat and Tanjiers to follow later in the year and early in 2024. Goldex chief executive Diljit Brar said: “Goldex Morocco is proud to announce the opening of our first Costa Coffee store on the railway network in Morocco. Welcome to Costa Casablanca Voyager. Next train station store stop is Rabat Agdal in December, followed by Tanjiers in January-February 2024.” Goldex, which was founded in 2005, currently operates 46 Costa sites in the UK. It is also the UK franchisor for Kaspa’s, which it is also in the process of taking to Morocco, with openings in Marrakesh and Casablanca in the pipeline. Goldex’s UK Costa business saw turnover increase from £11,520,781 to £12,174,994 in the year to 31 October 2022. But its pre-tax profit dropped from £2,223,997 to £690,000 as costs rose by just under £1.4m.

German Doner Kebab opens its most northern UK restaurant yet: German Doner Kebab (GDK), owned by Hero Brands, has opened its most northern UK restaurant yet. It has opened in the former store of luxury health and beauty brand Molton Brown, at 18 Union Street in Aberdeen, creating 30 jobs. The UK’s 133rd GDK store, it is operated by franchisees, brothers Dal and Aman Khaira. GDK chief executive Simon Wallis said: “I am thrilled to announce the opening of our newest restaurant in Aberdeen. GDK is revolutionising the kebab across the UK, and I am confident we will continue this trend in our latest location. GDK offers a premium dining experience with game-changing kebabs that are made fresh daily by our hard-working team, powered by our fantastic franchise partners. We pride ourselves in ensuring that kebabs are done right and served in a modern and relaxed environment.” In May, GDK, which is aiming for 400 sites globally by 2030, opened its 150th store worldwide.

Freehold investment of Urban Pubs & Bars’ The Wheatsheaf in Tooting on market at £6.5m: The freehold investment of the property that is home to The Wheatsheaf in Tooting, south London, has been brought to the market with offers in the region of £6.5m sought, Propel understands. The ground, basement and part of the first floor are let to Urban Pubs & Bars, which currently operate 41 pubs, restaurants and bars across the capital. The upper floors comprise seven flats, six of which are let. Offers are being sought for in excess of £6.5m, which reflects a net yield of 5.47%, for the freehold investment opportunity, which is being marketed by Savills. Last month, Propel reported that the freehold investment of the Exmouth Arms in London’s Clerkenwell had been brought to the market with offers in the region of £4.75m sought. AG&G has 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, which is part of Urban Pubs & Bars.

Carlsberg Marston’s Brewing Company to invest more than £10m in sustainable upgrades at Northampton brewery: Carlsberg Marston’s Brewing Company (CMBC) is to invest more than £10m in upgrading equipment at its Northampton Brewery. This will include a second-generation machine for packaging cans in Snap Pack (a plastic-reducing innovation), alongside a new laser can encoder and an improved can filler and seamer. Combined, these new machines will see an estimated reduction of about 10% in water usage. Paul Davies, chief executive of CMBC, said: “We take our responsibility as a brewer very seriously, and ensuring we reduce our impact on the planet is a hugely important part of this. This major investment of more than £10m in Northampton demonstrates our clear commitments to eliminating packaging waste, reducing water waste, and improving efficiency at our breweries. By taking ambitious action now, we can deliver on our sustainability goals.”

Royal Yacht Enterprises sees turnover exceed pre-covid levels but falls to loss: Royal Yacht Enterprises, which operates floating hotel, the Fingal Hotel in Edinburgh, and The Royal Yacht Britannia, has reported turnover increased to £6,601,261 for the year ending 31 December 2022 compared with £3,547,306 the previous year. Revenue also exceeded the £4,714,527 reported for the year ending 31 December 2019 – the last full year before the pandemic. The company made a pre-tax loss of £140,752 compared with a loss of £504,642 the year before as costs increased by almost £1m and the previous year also included a business interruption insurance payout of £3.54m. In their report accompanying the accounts, the directors stated: “Britannia welcomed 239,303 visitors in 2022, which is about 120,000 fewer than in 2019, or 67% of pre-covid levels. On a more positive note, the fourth quarter of 2022 saw visitor numbers rise closer to previous levels, which was encouraging.”