Spirit sells 34 pubs to Punch
Spirit Group has sold 34 "bottom end" pubs to Punch Tavern for £12.75m about £360,000 per pub. The pubs, three in Scotland and 31 in England, will be converted from managed to leased when Punch completes on the deal at the end of January next year. The deal is the biggest acquisition of a group of managed pubs since it acquired 25 from Greene King six months ago. Punch executive chairman Giles Thorley said: "We are very pleased with this addition to our portfolio which demonstrates our flexible attitude toward acquiring leased and managed pubs in packages, as well as individual freehouses." Punch director of property and development Deborah Kemp said: "The sale is an indication that unless managed pubs do a certain turnover they are not economical [for managed groups] to operate." The acquisitions take Punch's estate to 4,418, with the number of pubs acquired since August this year now 125. Thorley has stated he wants to buy around 300 a year. Meanwhile, Spirit Group has bought the Brookdene Arms in Watford from Noble House Leisure for £500,000. The pub will be developed as a Two For One outlet. The purchase follows the appointment of a new director of acquisitions, Marc Ward, to lead the search for new sites. Spirit chief executive Karen Jones said: "These transactions are part of our on-going programme to constantly improve the quality of our estate and enhance our operating programne.
