Craven Arms Shropshire

Shrewsbury Road, Craven, Shropshire SY7 9QJ

  • Craven Arms Shropshire
  • Craven Arms Shropshire - Shrewsbury Road, Craven - Shropshire
  • Craven Arms Shropshire - Shrewsbury Road, Craven - Shropshire
  • Craven Arms Shropshire - Shrewsbury Road, Craven - Shropshire
  • Craven Arms Shropshire - Shrewsbury Road, Craven - Shropshire
  • Craven Arms Shropshire - Shrewsbury Road, Craven - Shropshire

Craven Arms Shropshire

Fantastic Opportunity in a Central Location

The subject of a major refurbishment, the Craven is a large, prominent pub and hotel located in the centre of the market town of Craven, Shropshire. Situated next to the busy A49, the pub is in the centre of Craven and located beside a small island which causes cars slow to down when driving past, making it a perfect location to attract passing trade. The area is supported by affluent demographics of families with grown up children living in suburban housing, alongside recent retirees and a workforce that serves the needs of the town.

The refurbishment will develop a fantastic site with two bars and a restaurant, and add eight brand new en-suite letting rooms to attract both locals and travellers who are visiting the beautiful Shropshire Hills.

Experienced Operator Wanted!

Ideal candidate will have experience in developing and expanding a food offer, and operating letting bedrooms. They will also have the capability to advertise, market, use social media to promote their business.

Pub Features

  • Rolling Tenancy
  • Letting Rooms
  • Car Parking
  • Refurbishment Planned
  • Catering Kitchen
  • Long-Term FRI Lease
  • Outdoor Trade
  • Private Accommodation
  • Smoking Area
  • Weekly Billing
  • Monthly Billing

Trading Area & Facilities

Inside, the pub is currently split into four distinct trading areas. First, there's the main bar and lounge, as well as a games area that includes a pool table, darts and screens Sky Sports. There's also a spacious dining area that serves as an additional income stream.

Outside, there's an enclosed trading area and car park. The refurbishment will develop a fantastic site with two bars and a restaurant, and add eight brand new en-suite letting rooms to attract both locals and travellers who are visiting the beautiful Shropshire Hills. The works will include redecorating and updating of the trading and bar area, as well as turning the current meeting room into part of the restaurant space, along with a full overhaul of the toilet facilities. A new signage and lighting scheme will be installed outside.

Applicants should be aware that all refurbishments are subject to final board approval which will be determined as part of the leasing process.

Where a significant investment is made in a pub by Star Pubs & Bars, an "Investment Exemption" will be required. The exemption means that the option of a Market Rent Option lease won't be available at rent review for a period of up to seven years for this site, as per The Pub Code (2016).

Private Accommodation

The private accommodation at the Craven Arms consists of four bedrooms, lounge, kitchen and bathroom and where required there will be appropriate works carried out in line with the Star Pubs & Bars Ready to Trade Promise.

Premises Licence Details

Please contact the local licencing authority to obtain an up to date Premises Licence.

Premises Licence Opening Hours

Mon Tue Wed Thu Fri Sat Sun
11:00 - 00:30 11:00 - 00:30 11:00 - 00:30 11:00 - 00:30 11:00 - 01:30 11:00 - 01:30 11:00 - 00:30

Financials

Annual Rent £
55,000
Estimated Annual FMOP (Licensee Profit) £
63,919
Representative HEINEKEN UK Brand Discount Per Barrel £
125
Estimated Annual Turnover £
673,608
Estimated Annual Barrelage
341

The above figures are provided as a guide only and will be finalised as part of the commercial agreement (please download the rent model from Trading Information section for full financial details).

Historical volume figures may not include purchases made through 3rd Parties.

** All figures quoted are exclusive of VAT

*** FMOP = Fair Maintainable Operating Profit

Investment

Ingoing Costs
Estimated Licensee Fixtures & Fittings Value £
78,750
Estimated Fixtures & Fittings Valuation Fee £
250
Estimated Stock Valuation £
5,000
Deposit Amount £
13,750
Rent In Advance £
1,058
Training Fee £
1,000
Estimated Designated Premises Supervisor / Manager Fee £
60
Premises Licence Fee £
180
Rates Assessment Fee £
55
Estimated Legal Fees £
650
Estimated Total Ingoing Costs £
100,743
Estimated Minimum Ingoing Costs £
16,351

In order to ensure a successful start-up, all applicants must have a minimum £10,000 un-borrowed funds.

The Estimated Licensee Fixtures & Fittings (F&F) Value assumes that the pub will be let on a Rolling Tenancy or Business Start-Up Agreement, where we own the majority of the F&F. The F&F Value for Full Repairing & Insuring Leases will be significantly more.

The calculation of the Estimated Minimum Ingoing Costs assumes a minimum deposit of 1 month's rent or £3,000 (whichever is greater) and that fixtures and fittings (F&F) are rented. The subsequent deposit build up and F&F rental costs are not included in the rent model or ongoing costs below.

Other SP&B Ongoing Charges
Estimated Annual Buildings Insurance £
2,130
Estimated Annual Maintenance Compliance Charge £
1,261
Estimated Annual Accountancy & Stocktaking Charge (including tills) £
5,950

The above figures are provided as a guide only and will be finalised as part of the commercial agreement (please download the rent model from Trading Information section for full financial details)

* All figures quoted are exclusive of VAT

** Deposit build up will be payable over a maximum of 24 months

*** Fixtures and Fittings annual rental fee should be estimated at 15% of the F&F value. The actual F&F value will be determined on the day of entry

**** Maintenance Compliance Charge relates to the fees for various statutory inspections

***** Estimated Legal Fees is a charge applied to your account by SP&B for creation of your Lease. You are required to engage and pay for your own solicitor - your solicitor's fees are not included in the above estimate

****** The above figures assume that rent is billed weekly in advance and that Star Pubs & Bars retain ownership of large fixtures and fittings. Initial costs for a Fully Repairing and Insuring lease will be higher as rent is invoiced monthly in advance and all fixtures and fittings must be purchased