Enterprise Inns is hoping to raise around £13m by placing ten London pubs in an Allsops auction on 17 May.
This will the largest number of pubs placed by the company in a single auction so far. The tenanted operator is offering to sell the freeholds subject to a 35 year lease.
As usual, the company has a break clause at 25 years with the lease not having RPI rent increases although subject to a five-year rent review.
The entire rent roll on the ten pubs is £895,000, suggesting the sale will raise up to £13m if the pub sell with a rental yield of around 6.4% in line with previous auctions.
The pubs at the Allsop auction are:
• Belushi's in Camden Town (which has a current rent of £95,000 per annum)
• The Commander, Bayswater (which has a rent of £105,000 per annum)
• A Bar 2 Far, Tooting (which has a rent of £85,000 per annum)
• The One Tun, Hatton Garden (which has a rent of £85,000 per annum)
• The Rosslyn Arms, Hampstead (which has a rent of £90,000 per annum)
• The Nell of Old Dury, Covent Garden (which has a rent of £100,000 per annum)
• The Grafton Arms, Kentish Town (which has a rent of £85,000 per annum)
• The Blind Beggar, Whitechapel (which has a rent of £95,000 per annum)
• The Old Ship, Hackney (which has a rent of £85,000 per annum)
• The Town of Ramsgate (which has a rent of £70,000 per annum).
Enterprise has sold a total of 36 London pubs at public auctions so far, raising £63.4m in the process.
Chief executive Ted Tuppen has argued that the company is not selling the pubs in the usual sense because it retains an operational interest in them — it retains around 10-15% of the profit generated by each pub.