goldenfleece Posted January 1, 2010 Share Posted January 1, 2010 pub companies are selling off their real estate by the truckload...even profitable sites are going to the highest freehold bidders......the pub companies need quick fix cash injections, the long term is not of interest at the present time with the ongoing decline of the british pub......Punch owe 600 million for example, the interest alone on that would be massive...... Link to comment Share on other sites More sharing options...
Stopfordian Posted January 1, 2010 Share Posted January 1, 2010 We were in the process of stripping the place of all F and F before the deadline day...there was a great deal to do.....we were actually only informed of the actual handover day a very short time before, so time was precious to get the business fully wrapped up and boxed. When I went in a couple of months ago there was no packing up,the barstaff were busy writing more blackboards with more offers and deals and am I right that you were trying to get rid of the york on this forum due to you moving away or was it just a ploy to get shut because the business failed? Link to comment Share on other sites More sharing options...
goldenfleece Posted January 1, 2010 Share Posted January 1, 2010 When I went in a couple of months ago there was no packing up,the barstaff were busy writing more blackboards with more offers and deals and am I right that you were trying to get rid of the york on this forum due to you moving away or was it just a ploy to get shut because the business failed? neither.try again. why not read the threads? The PUB CO received out of the blue an offer for the freehold, and made us an offer we could not refuse to acquire back the 10 year lease from us so the freehold sale could complete. Thats it! It was in both our interests to complete the deal. Link to comment Share on other sites More sharing options...
gnikojm'i Posted January 1, 2010 Share Posted January 1, 2010 neither.try again. why not read the threads? The PUB CO received out of the blue an offer for the freehold, and made us an offer we could not refuse to acquire back the 10 year lease from us so the freehold sale could complete. Thats it! It was in both our interests to complete the deal. neither!? i remember reading months ago that you were selling due to moving down south! Link to comment Share on other sites More sharing options...
goldenfleece Posted January 1, 2010 Share Posted January 1, 2010 neither!? i remember reading months ago that you were selling due to moving down south! that was a plan at one time, but based purely on re-location and nothing else. All that has happened is that the building was sold, and we were strongly encouraged to do a deal with the Pub Co re our valuable 10 yr lease as it was wanted with full vacant possession by the student property company who now own it. The business did not fail, it was terminated by us so all parties could benefit from the deal mutually. Money talks. In this day and age, nothing else does. Shame, but that's the way things are. Link to comment Share on other sites More sharing options...
Number Six Posted January 2, 2010 Share Posted January 2, 2010 Perhaps you don't understand what PubCo's are or what they do? They are property rental portoliios that have a sideline in overpriced whoesale beer. That's it. They don't sell performing assets because then there would be no business. So, unless there was something exceptional we can conclude that something wasn't performing. I have no idea if there is a hidden story, but something doesn't add up if the tenant was turning £10k pw at 68% GP. Perhaps I am the sort of person who, despite evidence to the contrary, knows nothing, and has no means of finding anything out? Companies exist, largely, to make money in order to keep their shareholders happy. This tends to make them rather short-termist. If the short term interest of the company are best served by selling an asset, it will be sold. Especially when the company is mired in debt. A pub comapny with a few assets and no debt is better placed to push on than one with lots of assets and lots of debt - especially as I would suggest that the value of those assets (pubs) is falling due to the changing nature of the way people spend their leisure time. I don't think you can make any conclusion from the very limited information you have, much as you seem convinced you can. 68% gross profit for the landlord sounds great, if indeed that is what they were taking, but you don't know what the net profit was. I suspect the pub company took a fair old chunk in rent, the council an similarly sized chunk in rates, the VAT man would have had 15%, the insurance would have accounted for a bit, I guess heating a place the size of The York costs a fair bit, the staff I suppose wanted paying - the costs would be large. I suspect the net profit margin to have been much, much lower. Link to comment Share on other sites More sharing options...
BertieBasset Posted January 2, 2010 Share Posted January 2, 2010 i think the erstwhile landlord of the York commented some time ago that he was on a rent free deal for a period from the PubCo. If it was a profitable enterprise surely they would have been taking rent? Rent wouldn't affect GP, but would affect Net Profit me thinks...Given an assumed rent figure what would the NP have been? that was a plan at one time, but based purely on re-location and nothing else. All that has happened is that the building was sold, and we were strongly encouraged to do a deal with the Pub Co re our valuable 10 yr lease as it was wanted with full vacant possession by the student property company who now own it. The business did not fail, it was terminated by us so all parties could benefit from the deal mutually. Money talks. In this day and age, nothing else does. Shame, but that's the way things are. Link to comment Share on other sites More sharing options...
The Idler Posted January 2, 2010 Share Posted January 2, 2010 If the bottom floor is a restaurant unit, then my guess is some kind of mid-market chain restaurant. Could you fit a Pizza Express in there? Link to comment Share on other sites More sharing options...
goldenfleece Posted January 2, 2010 Share Posted January 2, 2010 If the bottom floor is a restaurant unit, then my guess is some kind of mid-market chain restaurant. Could you fit a Pizza Express in there? Yes...its huge......although I would think a more up-market bespoke food operation would suit Broomhill more than a run of the mill chain. Still, all will be revealed this year at some point..... Link to comment Share on other sites More sharing options...
goldenfleece Posted January 2, 2010 Share Posted January 2, 2010 i think the erstwhile landlord of the York commented some time ago that he was on a rent free deal for a period from the PubCo. If it was a profitable enterprise surely they would have been taking rent? Rent wouldn't affect GP, but would affect Net Profit me thinks...Given an assumed rent figure what would the NP have been? the rent free period was negotiated right from the beginning, and had no relation to turnover/income whatsoever, it was part of the deal. When I make deals, I drive fantastically hard bargains:D Link to comment Share on other sites More sharing options...
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