Robin Mence
Partner at Sidney Phillips
It doesn't matter how good the previous year has been. The start of a new calendar year is always a worrying time as an agent waits nervously to see how the market is going to perform.
This year was no exception with there being some concern in the industry that the rise in interest rates could have a detrimental effect on licensed property prices.
It has, therefore, been very pleasing that there has been a continued high demand for freehold properties with excellent prices being achieved.
I know that the demise of Provence and other buy-to-let licensed property companies has led to talk of an expected decline in freehold values but we have seen no evidence of this. Indeed it would appear that there is still growth in values.
The leasehold market has not been quite as buoyant but we have seen healthy activity in the sale of well presented, well maintained, profitable, reasonably-priced pubs.
On the issue of our nation's licensed premises, I do get irritated when people go on about their apparently superior experiences in restaurants and bars abroad. I'm sure that being in a relaxed holiday mood and a warmer climate has contributed to their assumed heightened enjoyment. However I believe the standard of drinks, food, service, facilities and hygiene in the UK compare favourably with anywhere in the world.
I'm delighted to report that, during my 20 years in the industry, I've noticed that licensed business owners, have
become very aware of the needs of their customers. They've become more sophisticated, more able and more open minded to the needs of customers.
Those that have adopted a more positive approach to their business and a closer attention to detail will most certainly enjoy the long-term benefits.
Our industry has had its fair share of criticism and has
had to shoulder the burden of so much punitive legislation over the last three decades. It is, therefore, a credit to all
concerned that the ongoing improvements in the standards
of our pubs, hotels, restaurants and bars continue to take place.