Greene King partners up with building companies

Greene King Pub Partners, the 1,000-strong tenanted arm of the company, has introduced a new property initiative called "Partnering".

Partnering involves working with construction companies to agree fixed rates and schedules for building work including refurbishment and extensions, from anything to cellars, kitchens or disabled toilets.

The aim of the scheme is to run capital developments in a way that will maximise the value for money and quality of the finished work.

The scheme, for which Greene King now has partnership deals with 22 contractors, will see all the parties involved including the tenant taking ownership of the building work. Building costs and timings can be agreed up front with the company and its licensees and the intention is that the scheme will mean less building delays and costs.

Keith Moran, development controller for Pub Partners, who introduced the scheme said: "What we get from partnering is beneficial to all the development team including our partner lessees and tenants.

"Contractors and consultants see a continuity of work and understand the importance of the relationship with our lessees and tenants. We have a set of agreed rates for works that enables us to manage and predict costs for the whole of the financial year.

"By building relationships with a core set of consultants and contractors, we'll drive towards eliminating the historical problems everyone faces with developments, like time delays and control on costs."

The company has decided to extend the scheme to its whole estate following the successful trial of its £5m investment programme in 31 former Old English Inns, which were converted to lease over the last year.

Pub Partners has now decided to use it as a way of working on all major jobs and minor works on properties that cost over £30,000.

The company will be continuously monitoring the scheme.