76-78 Honor Oak Park (ex Old Bank)
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P1971
Posts: 816
Joined: Feb 2009
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27-03-2013 11:26 PM
If I had a spare 50k in my pocket I would try out my idea, but I would not take a chance on borrowing it. Just my opinion.
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Anotherjohn
Posts: 380
Joined: May 2005
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28-03-2013 02:14 PM
It is a lovely unit and it sits in one of the 2 best positions in Honor Oak Park - the shop on the opposite corner being the other - but it ain't no £35k per annum! The catchment is good and its improving but the landlord is being very bold in holding out for top, top dollar.
The most recent assessment of its worth, for Business Rating purposes done in 2010, came in at just over £18k, which should represent something like the annual rental value, so it is way out.
The landlord will probably want a deposit or a guarantor and to have the rent paid quarterly in advance (£7,125) and the council will want the business rates to be paid in monthly payments over 10 months (£800pm) but then there'd be the small matter of the tenant being responsible for keeping the inside and the outside of the building in substantial repair (how would you fancy paying out for any major repairs to that beautiful stonework?).
At least, if someone does go for it, we can be quite confident that they'll be a tenant of substance who will presumably have a proven track record of taking good money - hopefully from serving good food at decent prices - elsewhere.
Fingers crossed!
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kemamira
Posts: 50
Joined: Jul 2008
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28-03-2013 03:26 PM
Good points Anotherjohn.
Here are some more figures to help everyone form an opinion:
The Old Bank is 1,796 sqft and at £34,500pa rental the cost is £19.20/sqft with £7,900pa business rates on top.
Tapatisserie is 1,158 sqft and at £23,500pa the rental is £20.29/sqft with £3,300pa business rates on top.
So, not much in it per sq/ft if you are looking to open a restaurant in Honor Oak Park except that you have to pay £150,000 for Tapatisserie as a going concern and all fixtures and fittings etc.
Tapatisserie quote their turnover as £5,500/£6,000pw which is £286,000/312,000pa and split 50/50 drink/food. Imagine how much more that would increase if they improved the quality and selection of their tapas (imho).
I would imagine the landlords with space to let would be advised to keep rent high and hold out by the estate agents (for that is how they make their money is it not) especially as Sainsbury's is coming to town and everyone is hoping that they will sprinkle some magic in our area. It may take another year or so but I think HOP will be a smarter better place.
Just my tuppence
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Anotherjohn
Posts: 380
Joined: May 2005
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29-03-2013 10:59 AM
That has opened my mind - thank you Kemamira.
Presumably, The Old Bank's extra 640 sq ft would offer significantly more covers than Tapatisserie whose annual turnover is around £300k in an 'unfinished' location in the jaws of the worst economic downturn that any of us will have ever experienced - probably. And even with the relatively high cost per sq ft one would assume that this level of turnover is capable of producing decent profitablity for a shrewd owner/operator of this type of business.
With all of that in mind - and with the fact that there are some encouraging things happening locally and for the wider economy - the additional overheads for this far superior premises, compared with Tapatisserie, are starting to look like they represent good value and offer an opportunity for a very good future prospect in this instance.
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alisa
Posts: 84
Joined: Mar 2008
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29-03-2013 12:05 PM
Interesting to see some numbers - well done kemamira!
I hope someone will come along in the next year and turn it around as it is quite an eyesore and lets HOP down being in such a prominent position. It is a shame that the current set of tenants didn't do something to the outside, which they did say they would when I first met them, but came back with 'rates are costing us too much' via twitter when pushed later.
Having been inside for one of their 'secret' dinners, I have to say it needs an awful lot of work. I doubt £50k would do it Pauline (P1971) even with your skills :-)
If anything, the most recent incumbents have made it worse. You would need to gut the place and it doesn't have an obvious kitchen - the current tenants seem to have made do with a cupboard; nor are the toilets ideal - by the time you've found them, you might as well have popped home for a wee.
In short, it needs someone with deep pockets. Which in turn means it may not be the fun, funky neighbourhood place many of us would like to see.
Funnily enough, I think a bank would be ideal.
http://www.se23.blogspot.com/
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Tersie
Posts: 272
Joined: Feb 2007
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29-03-2013 02:20 PM
The fact of the matter is the rent is too high given what structural work the site would need for a long term investor. If you take a look at the Sainsbury's site they are gutting it right down to the cellar and rebuilding it. These combined issues have without doubt put off every prospective tenant so far. It was a complete wreck when the current tenants took it over. They spent money installing a kitchen and ducting to make it usable for their tenancy, they certainly have not made it worse! Squatters were in situ and nicked piping and trashed it. We all live in hope that someone suitable will take it over but sadly I think it could be empty for sometime. As Sainsbury's are going in the landlord will no doubt hang out for the biggest buck possible.
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P1971
Posts: 816
Joined: Feb 2009
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29-03-2013 10:49 PM
All I can say is Thank gosh I have a great landlord after reading all this.
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daveherne
Posts: 212
Joined: Jul 2012
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15-06-2013 08:29 AM
[Moved from "Planning: 63 Honor Oak Park (ex White Wood Shop)" -admin]
agreed. Let's talk about the other things that could be improved. SR is a decent local business, full stop.
and what about the old bank!? I am really fed up of walking past it every night, it is looking very neglected...
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Tersie
Posts: 272
Joined: Feb 2007
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15-06-2013 09:53 AM
A new tenant as not been found yet for the Old Bank sadly. I know it is actually available for hire for private events. The old tenant still has a rolling contract. Although they have stopped their events there they are open to holding others.
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daveherne
Posts: 212
Joined: Jul 2012
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dad_jokes
Posts: 14
Joined: Jan 2013
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01-11-2013 09:36 PM
Whoever wrote that Acorn ad needs to go back to school
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shzl400
Posts: 729
Joined: Oct 2007
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01-11-2013 10:34 PM
Aargh! A lucky dip from the estate agents' bag of stock phrases put together with no brain or local knowledge in between.
For a relatively short paragraph, it contains such outstanding statements as: "would work for both (sic) restaurants, coffee shops and delicatessens", and "The property is known as ‘The Old Bank’ as it has previously been used as a bank in the past." (No, you're kidding. Really, I would never have guessed.) but the one that really made me chortle was they mention both the proximity of Honor Oak Tando[o]ri and Sainsburys as benefits.
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BarCar
Posts: 294
Joined: Nov 2007
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04-11-2013 12:03 PM
We had occasion to visit Gracelands Cafe in Kensal Rise on Sunday. A bitter-sweet reminder of what could be in a similarly-sized space like The Old Bank. It was absolutely packed.
Any chance of HopScotch moving a few doors up?
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kemamira
Posts: 50
Joined: Jul 2008
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04-11-2013 12:23 PM
How long has this place been empty? Three years or more?
How greedy is the landlord to have kept this lovely site unused for so long because he wants an inflated rent? How much rent has he lost out on in these three years by keeping the place empty? A significant sum I would imagine.
It makes me so angry that his greed has held back a lovely community restaurant from developing on that site. What makes it worse is that he's allowed it to be transformed into a run-down crumby looking eyesore for that past year too. You could say the same for the Honor Oak pub.
What the hell is going on nowadays? Is there absolutely no responsibility to be taken by landlords? Are they so selfish that they don't think that they have any responsibility to a local community?
I'm angry
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Tinkerbell
Posts: 361
Joined: Dec 2007
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04-11-2013 12:50 PM
If the landlord waits long enough, he'll finally wear down planners and get his wish for a rubbishy pizza delivery/other chain outlet granted, no doubt.
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lacb
Posts: 627
Joined: Mar 2005
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04-11-2013 12:52 PM
Is there absolutely no responsibility to be taken by landlords? Are they so selfish that they don't think that they have any responsibility to a local community?
To answer: it seems not and yes.
If one is based in West Hampstead, have a large property portfolio spread over London and own properties outright then I would say it is very easy indeed to have not a jot of interest in what a community may think.
Anyone with constructive ideas on how to address this?
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Tenbybelle
Posts: 25
Joined: Jul 2013
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04-11-2013 03:26 PM
Playing devils advocate - they are probably just waiting to get one or two other anchor tenants on the parade with strong covenants and then probably/hopefully sell it on.
Fingers crossed they may have more of a sense of what the local community wants until then I suspext nothing will change.
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BarCar
Posts: 294
Joined: Nov 2007
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04-11-2013 06:39 PM
If ever there was a venue appropriate for an "anchor tenant" it's the Old Bank.
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Tenbybelle
Posts: 25
Joined: Jul 2013
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04-11-2013 06:42 PM
Sadly - I suspect their idea of anchor tenant and ours may differ.
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BarCar
Posts: 294
Joined: Nov 2007
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04-11-2013 06:54 PM
This post was last modified: 04-11-2013 07:10 PM by BarCar.
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