tag:blogger.com,1999:blog-5445569787371915337.post6167209628741182137..comments2024-03-29T03:17:49.172-07:00Comments on Shut up about Barclay Perkins: Where was a brewery’s money?Ron Pattinsonhttp://www.blogger.com/profile/03095189986589865751noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-5445569787371915337.post-73884649430090472462015-10-31T03:52:38.061-07:002015-10-31T03:52:38.061-07:00The breweries mostly acquired their premises when ...The breweries mostly acquired their premises when land ,materials and labour were cheap. By the time I began drinking (the 60s) the breweries seem have been happy with the returns on these costs, long written off.In many cases pubs had been built for under £1000 and the breweries were making annual profits of many times this.One landlord in a Bateman's pub told me his rent was £60 a year.<br /> Then the property market began to change and breweries realised that based on the revised value of their assets their returns were poor.That's when the bean counters got to work and we all know what happened since.<br /> Another factor is that until a few years ago pub premises were valued on the basis of annual turnover ie as businesses rather than as bricks and mortar. To pay much more than one and a half times the annual turnover meant that the pub takings couldn't make much profit.We are seeing closure of many pubs at the moment , many of them because of impossible overheads and the premises were worth more as bricks and mortar than as pubs.Anonymousnoreply@blogger.com