Pub prices keep on falling, poll reveals

A total of 81% of those questioned said freehold prices fell in the past six months, with the remaining 19% reporting static prices. Market interest in freehold pubs has also dropped, according to 44% of those questioned, while 6% saw an increase, and the remaining half said it was “broadly the same”.

Three-quarters of respon-dents believed that values of leasehold premiums had fallen in the past six months, and the remaining quarter reported static prices. That said, 20% claimed that interest in leasehold pubs had risen, while 27% said it had remained flat.

The poll also revealed that 38% of AVLP members think that multiple operators are more active in the disposal market. According to 27% of those asked, multiple operators were more active in terms of acquisitions in the past six months than the previous six months; 20% said it had remained the same.

Only 13% of those polled said that funding for licensed property was more accessible than six months ago, and one in four said that it has remained “broadly the same”.

AVLP secretary Bob Whittle said: “On all deals that are being done, purchasers and vendors are certainly being realistic about this market because, after all, in order for property sales to be achieved there have to be willing and able buyers and willing sellers.

“There are some great opportunities available in the market, and in many cases both vendors and purchasers are finding middle ground and plenty of deals are getting done, although the majority of buyers are self-funded (ie, bank funding is not required).

“The market can be driven only by the sensible and sustainable matching of buyers and sellers.

“There are thousands of keen buyers around who are willing, but are unable because the banks are not willing or able lenders."