City Pub Group sells six pubs for £17.1m

22 March 2022 by
City Pub Group sells six pubs for £17.1m

City Pub Group has sold six of its 46 pubs in two separate deals worth approximately £17.1m.

Five of the sites are being acquired by Portobello Star Limited for £16.2m. These include three Brighton pubs: the Walrus, Brighton Beach Club, and the Lion and Lobster.

Portobello Star is also buying the Inn on the Beach in Hayling Island and the Travellers Friend in Woodford Green, Essex.

All are freehold pubs except Brighton Beach Club, which is leasehold, and together the sites have an unaudited aggregate site EBITDA of £0.7m for the year ended 26 December 2021.

The transaction is expected to complete on or around 11 April.

Separately, City Pub Group has sold the London Road Brewhouse, a freehold pub in Southampton, for £0.9m. The sale completed on 18 March.

The proceeds from the sales will be used to invest and expand the company in other regions of the UK.

Clive Watson, chairman of City Pub Company, said: "We have achieved a good price for these assets. The capital realised makes us debt free and in an excellent position to take advantage of the current market dislocation to further premiumise our estate and deliver long-term growth through selected acquisition."

Image: DisobeyArt / Shutterstock

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