A large pub chain has confirmed that it is placing 23 locations on sale due to restructuring efforts. Stonegate Group, owner of the Slug & Lettuce and Be at One, has brought in estate agents from Savills to aid in selling the properties. The group will be selling locations in some major cities, including Bromley and Plymouth.
While the sales are ongoing, customers will still be able to drink at the pubs and operating hours shouldn’t be affected until sales are finalised. It is not yet clear if the pubs will all be sold individually or bundled together in a single sale.
Stuart Stares, director at Savills, said: “Pubs are proving to be a resilient and increasingly attractive asset class, driven by the sector’s strong fundamentals – long leases, index-linked rent reviews and resilient trading performance.”
A spokesperson for Stonegate said: “As the UK’s largest pub company, we regularly review our portfolio for divestment opportunities. This package being marketed by Savills is a business-as-usual transaction.”
In June this year, The Telegraph reported that Stonegate had hired consulting firm AlixPartners to aid in restructuring the business. It was reported at the time that the group was looking at cutting 150 head office jobs to lower costs.
A spokesperson said at the time: “This, combined with rising costs, particularly after the recent Budget, means we must reorganise our support functions to reflect the shape of our business today.”
Concerns were raised over the firm’s survival as it examined ways to help sort out its debts. Despite this, it managed to secure a refinancing package.
In 2023, it also refinanced 1,000 pubs with debt firm Apollo to secure more funds.