Heineken to invest £42m into Star Pubs and Bars estate
The revamps will reflect two ‘long-term’ trends that have been ‘accelerated’ by the pandemic – ‘premiumisation’ and outdoor socialising.
Heineken has announced it will invest £42m into the upgrade of its Star Pubs and Bars estate.
The group said 660 venues will benefit from the investment, creating over 700 jobs in the process.
The investment follows its £62m expenditure on pandemic rent reductions and plays a “key part” in its ongoing drive to help its pubs “build back” business after the lockdowns and restrictions.
Heineken said 137 sites out of the 660 will undergo a refurbishment costing over £125k. This takes the group’s total investment in pub improvements to £115m since Covid, and to £300m since 2014.
According to the group, with more people working from home, its spend will focus on suburban pubs and those on high streets near residential neighbourhoods.
The revamps will reflect two “long-term” trends that have been “accelerated” by the pandemic – customers increasing demand for “premiumisation” and outdoor socialising.
Schemes will be individually designed to suit each pub and its location.
Lawson Mountstevens, managing director, Star Pubs and Bars, said: “People have stayed closer to home over the last two years due to the pandemic and have turned to their local for the kind of experience they’d previously have travelled to a city centre, restaurant or bar to find.
“They don’t want to turn back time: they expect better quality including food and specialty drinks – such as cocktails – that are harder to recreate at home.”
He added: “It’s the same with gardens. Sitting outside at the pub has become a new occasion and, if the outside space is good enough, customers will wrap up to enjoy it even in the winter months. Outdoor facilities also remain important for those who are still cautious about going out as the UK learns to live with Covid.
“The cost-of-living squeeze is magnifying these trends. People are looking for a really great experience when they go out. These are challenging times. However, we are confident that well-invested pubs that adapt to market changes will have a bright, long-term future.”
