Enterprise tenancy offers more scope

Enterprise Inns has made major changes to its basic tenancy agreement to meet growing licensee demands for a more "flexible and negotiable" trading deal.

The company says its Retail Partnership Tenancy will be more competitive and will offer a range of benefits designed to suit hosts who choose not to take a long-term lease commitment.

Among the benefits on offer will be tailor-made ingoings package, an opportunity to rent fixtures and fittings, barrelage discounts from £50 on top of further volume-based incentives and greater assistance with repairs obligations.

Tenancies will run from between one and five years with licensees able to give six months notice at any time during the course of an agreement.

Head of Enterprise retail services Russell Wood said details of each tenancy agreement would vary depending on the outlet and take account of a licensee's business plan.

"The main thrust of the changes we have made centres on greater flexibility to allow a tenancy agreement suited to the licensee and pub in question.

"It will allow greater variety when we are discussing terms with people entering a pub on a new agreement.

"We have listened carefully to the feedback we have been getting and this package recognises that some licensees may be better suited to a simple tenancy agreement than a long lease," he said.

Wood said the tenancy deal would be particularly suited to newcomers wanting a cheaper and value entry level into the trade.

But he said existing licensees would be free to take on tenancy terms once existing agreements had expired.