Pub property agents slam ACV procedures

The Campaign for Real Ale (CAMRA) said last week (6 February) that it has hit its target of getting 300 pubs listed as assets of community value, which allows local communities to make a bid if a pub is put on the market.

'Nightmare'​

Speaking exclusively to the Publican’s Morning Advertiser​, Fleurets director Simon Hall said the process is a “nightmare”, and “doesn’t do anything other than create a delay” in purchasing.

“It costs the pub company money while the property is closed and there is no guarantee the community will be able to buy it,” he said.

“In many cases it compromises the value of a property even if the community doesn’t end up buying it.

“It could well be the worst decision a community makes; they blow money on saving a pub and find it’s continuously bleeding money.”

'Hoops for buyers to jump through'​

Bettesworths MD Matt Bettesworth said the process was long, unwieldy and has “many hoops for the prospective buyers to jump through”.

“This inevitably leads to many well-meaning plans falling by the wayside,” he said. “We currently have one such deal moving slowly forward in south Devon, but it is taking months to progress.”

Financial losses​

Kevin Marsh, director of trading and leisure at Savills, said that market forces should determine what is preserved and what is not and there are more examples of businesses run unsuccessfully by communities than those that are successful.

“To list community assets and prevent redevelopment sounds like a good idea if the owner is a pubco and the perception is that it can afford not to sell. But if privately owned I think it’ll be very tough on a struggling owner to be told by the local community that they want to save the pub and so the financial losses continue, perhaps until bankruptcy,” he said.

“This will be made all the more difficult to swallow if the same community that want the pub preserved are not using the pub regularly enough to make it profitable.”

Support​

However, Guy Simmonds MD Stephen Taylor, said he is a supporter of the ACV principle and grateful pubs can attract more potential buyers, creating competition.