Charles Wells sells two central London pubs

Charles Wells has sold off two central London pubs for alternative use through Davis Coffer Lyons.

The King of Denmark, in Cloudesley Road, Islington, and Marquis of Anglesey, on Ashmill Street, close to Paddington station, have been sold to Allied Capital for £1.25m. Both of the sites are still trading.

The property investment company will create mixed- use developments at the detached two-storey pubs.

Davis Coffer Lyons has been instructed by Allied Capital to acquire freehold sites for up to £5m. The two pubs are part of a package of 10 put on the market by the Bedford-based pubco last November.

A Charles Wells spokesperson said: "We put a variety of pubs on the market last year and deals are coming to fruition. Some pubs had been closed for a while, and we went through the process of looking for people to make them work, but couldn't.

"Some of the [landlocked] sites were very badly affected by the smoking ban and we are not prepared to put tenants into sites that are not sustainable."

Meanwhile, Charles Wells is looking to more than double its estate in France to reach 10 sites in the next three years.

The group has four pubs in France under the John Bull Pub Company, a separate trading division, with a tenanted pub in Paris and managed sites in Montpellier and Toulouse.

It said it was planning to expand its French portfolio gradually by searching for sites in large cities with big student populations.

Charles Wells marketing manager Kate Hempsall said: "The model seems to work in France and we believe there is scope for around 10 pubs over the next three years.

"Student towns are a big driving force. We are looking to acquire retail outlets and convert them into pubs."