Pub operator and independent brewer Marston’s is to sell more than 200 pubs to property investor NewRiver Retail in a deal reportedly worth £90 million.
Although no details have as yet been revealed regarding the future use of the 202 properties, it is believed that they will continue to operate as licensed premises, albeit with some changes to attract greater numbers of customers.
According to Marston’s chief executive Ralph Findlay, the £90 million acquired through the sale will be channelled into the construction of pubs which also offer lunchtime and evening meals.
He says; “In 2013 we served 30 million meals, with food now the principal reason for around 80 per cent of customer visits in our destination pubs.
“We aim to use the cash from the pub sales to build new ones.
“Some pubs are not matching what customers are demanding.”
While Marston’s seems to be holding its own at a time when many other pub chains are struggling to attract custom, relatively low profits remain a concern for the group.
Marston’s recently announced that full year pre-tax profits to the 5th of October amounted to only £69.8 million – an improvement compared to the £135.5 million loss posted for the last financial year, indeed, yet not quite matching the success of the pre-recession era.
At present, Marston’s owns and operates around 2,050 pubs and is currently engaged in an expansion programme which has allowed the group to open 22 new premises over the past 12 months, which fit the high turnover pub-restaurant profile.
The company has indicated that the sale of more non-restaurant pubs is likely in the coming months.
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