Your shout

Gastropub blues?
Many operators have followed suit since the first notable gastropub, the Eagle, opened in Farringdon, London, and it's now commonplace in the capital for restaurant-quality food to be served in informal public house surroundings. Today there's a vast array of gastropub operations and, at first glance, they're fabulous. Strong investment generally means that the premises are well presented both externally and internally. The operations are busy, and a relaxed and informal experience is delivered by professionals at value-for-money prices.
So much for the general perception; the operator sees things in a different light altogether.
At Fleurets we have identified a growing trend among London gastropub operators where the operator overcapitalises at the start of his tenure, either as a premium or for fitout/refurbishment. This is often coupled with high wages or running costs. Consequently, there is insufficient return for the operator on the all-important bottom line, in spite of strong turnover and good GPs.
When operators then ask us to help in considering their options, they experience frustration at why, in spite of much acclaim, their most likely outcome on a sale would be that they realise less than their initial investment, resulting in the whole experience being viewed as a financial failure. While it's a clichŽ, the phrase "turnover for vanity, profit for sanity" is appropriate.
I have no doubt that a few of the best gastropubs will remain for many years, but I'm equally convinced that most operators will eventually acknowledge that food delivered in this way isn't really worth all the effort, and the fad will pass.