Hilton Smythe are pleased to have been given the opportunity to manage the sale of Pencraig Diner which is a well-established Café / Diner with a renowned reputation amongst residents. This is a superb opportunity to take on a high turnover local business in an area teeming with potential customers.
Pencraig Diner is a family business that was founded by the current owners Aunt and Uncle approximately 14 years ago on the site of a substantial former service station. The vendor has been running the business for the last year or so, having had the business passed down through the family.
The business has been a real labour of love for him and he has enjoyed running it and it has flourished under his ownership.
Renovations to the property are now in place.
This great little Café cum Diner is now being sold, albeit reluctantly and with heavy heart only due to the travelling involved, the vendor lives 55 miles away from the premises and this is impacting on the time he gets to spend with his young family.
He is keen to see his beloved business pass to an ambitious and entrepreneurial new owner who can take it to the next level.
Pencraig Diner is a traditional café serving a range of food that is freshly prepared on premises using local ingredients wherever possible. The menu includes staples such as;
- All day Breakfasts
- Light meals
- Daily specials
- Jacket Potatoes
- Hot and Cold Sandwiches
- Hot and cold drinks.
The business enjoys impressive reviews and great visibility on the internet.
Scope to Improve
- Advertising and marketing campaign
- Maximise the use of social media particularly Facebook, Twitter and Instagram
- Website, ideally with an online ordering facility
- Extend the opening hours
- Explore online delivery options from the likes of Just Eat and Hungry House.
- Increase the exterior signage, perhaps with the use of strategically placed A boards
- Introduce a customer loyalty card/ scheme
- Consider selling Pizzas etc in the evenings
- Relaunch the business as a Truckstop! There is a real opportunity here to provide overnight parking for hgv vehicles. There is enough space on the attached forecourt to provide parking for approximately 10 HGVs and trailers. The vendor proposes charging £15 per lorry for overnight parking which would include shower facilities and a breakfast. This would have a significant impact on the annual turnover and would not affect the daytime trading of the business.
Reasons to Buy
- A well-established business with an enviable reputation and many regular customers
- Perfect trading position on the busy A40 dual carriageway into Wales
- Low running costs with inexpensive rent and no business
- A real opportunity to increase turnover and profits significantly, especially if the Truckstop was established
- Possibility of owners or managers living accommodation
- Current owner happy to offer a handover to ensure the continued success
- Ideal owner managed or partnership business
- Priced to sell
Hilton Smythe highly advised early viewing to avoid disappointment.
Opportunities like this don’t come along very often!Location
Pencraig Diner is located on the A40 in Pencraig.
Pencraig is a hamlet close to Monmouth which is the historic county town of Monmouthshire in Wales. Pencraig is in Herefordshire in England and literally on the border between England and Wales and thus benefits from high levels of passing trade from drivers entering Wales.
Pencraig is approximately 30 miles northeast of Cardiff and 112 miles west of London.
Pencraig is located beside the A49 dual carriageway road that links the M4 motorway at Newport is South Wales with the M50 motorway at Ross-On-Wye, this connects in turn with the M5 motorway south of Worcester in the West Midlands
Pencraig is close to Goodrich Castle which is now in the care of British Heritage and the business caters to many visitors who are on the way the visit this lovely and well-preserved castle.
Pencraig Diner is ideally located in a prominent position on the extremely busy A40 and occupies a generous plot which is on the site of a former petrol filling station. The business is well presented and maintained with clear visible signage and distinctive livery. There is generous, free parking immediately outside the premises.
The business cannot fail to be noticed by drivers using this busy dual carriageway in and out of Wales.Premises
Pencraig Diners occupies a generous (88.35 sq..) detached property that is in an unopposed position and briefly comprises;Diner
Triple aspect with windows to front, sides and rear creating a light and and inviting interior, high ceilings which enhances the feeling of space even further, generous seating area with nice quality tables and chairs currently providing approximately 44 covers but space for more, tongue and groove wood panelling to dado height.
Feature spot lighting, glass fronted drinks chiller, wall mounted menu boards, glass topped ice cream freezer, breakfast bar with four high stools, bespoke counter fronting an open plan kitchen.Open Plan Kitchen
Comprehensively equipped catering kitchen, full extraction system with stainless steel canopy, 2 industrial microwaves, stainless steel urn, stainless steel sink and drainer, separate hand wash basin.
Griddle, upright freezer, heated cabinet with glass sliding doors, 2 under counter fridges, Foster 3 compartment stainless steel fridge (needs reinstatement) 4 slot toaster, 6 slot toaster, 2 pot Bain Marie.WCs
There are separate ladies and gentlemen’s Rest Rooms each with close coupled toilet and hand wash basin.
To the front of the premises is a generous parking area which was formerly a petrol station forecourt and can accommodate a significant number of cars or approximately ten HGVs with attached trailer.
To the rear is a secure seating area which is a real sun trap in the Summer months and ideal for Al Fresco dining.
There is the possibility of renting the first-floor flat which occupies the first floor of the premises. This would incur addition lease costs if required by a new owner and is subject to negotiation with the landlord.Tenure
We are advised that Pencraig Diner is being sold as a leasehold business opportunity.
The existing lease is arranged on a monthly rolling basis, but we are advised that the landlord would be happy to negotiate a mutually acceptable lease with a new owner.
The current rent is £12,000 per annum which is reasonable given the size and location of the premises.
We are advised that the business benefits from being exempt from business rates.Hours
Monday to Friday 05.00 – 15.00
Saturday 06.00 – 14.00
The business is run and managed by our client with the help of casual staff as required.Financial Profile
Pencraig Diner generates an advised current annual turnover of £78,000 but it needs to be appreciated that the business is currently being run at a pace to suit due to the vendor living some distance away.
An experienced operator should expect to see turnover and profits increase quite quickly especially if the business was promoted as a truck stop.