Your Shout: Richard Negus, Fleurets

With many high-street pubs in the doldrums because of the economic downturn, and the saturation of towns and cities with pubs and bars, there has never been a better time to convert a pub into a restaurant.

 

The UK eating industry is expected to grow by more than 20% over the next five years, and I believe many more pubs will be converted to restaurants as operators go in search of new premises to meet demand.

 

Opportunities exist to occupy prime accommodation in locations with high footfall and the potential for good lunchtime and early evening trade. Fully fitted units are being sold at a fraction of their original development costs. Restaurateurs may also be able to negotiate lower rents by subletting from the pub retailers.

 

Pub fit-out costs from shell condition are typically in the region of £1m which, with prudent management, can be capitalised on by incoming restaurateurs, saving on conversion costs. Moreover, traditional pubs often have the benefit of domestic accommodation, car parking and external trade areas.

 

Another benefit is that planning and licensing laws are favourable to restaurant use, compared with pubs, and converting a property from a pub to a restaurant does not require planning permission, although ancillary work may require approval.

 

In conclusion, pubs provide excellent facilities for restaurants and food-led businesses, and the entrepreneurial restaurateur should therefore keep a lookout in the licensed trade press and on pub company websites for suitable opportunities.