Freehold restaurants for sale have associated high costs, which are prohibitive for many restaurant owners and operators. Whilst commercial mortgages are available, these typically require significant deposits and a comprehensive business plan to convince a lender to loan you the money. Additionally, the costs of repair, insurance and property costs can amount to considerable amounts.
Whichever form of property ownership is appropriate for you and your business, the Restaurant Property team is on hand to help you secure the right premises.
What is a Freehold Restaurant?
A freeholder is an individual / business who has complete ownership of a property, the building and the land. Therefore, a freehold restaurant is a restaurant which is owned, run and operated by the freeholder themselves.
Searching for Freehold Restaurants for Sale
The use class A3 - Restaurants and Cafes have been replaced by the new Use Class E - Commercial, Business and Service following legislative changes in September 2020. When searching for freehold restaurants for sale, it is important to understand the effect these changes have had on the relevant planning.
A3 - Restaurants and Cafes
Before being replaced in September, 2020, when searching for restaurants for sale the A3 - Restaurants and Cafe use class was very important. This A3 use class included restaurants, snack bars and cafes; premises where food and drink was purchased to be consumed on site.
Use Class E - Commercial, Business and Service
Following the changes brought about by the Town and Country Planning (Use Classes) (Amendment) (England) Regulations 2020, the new Use Class E - Commercial, Business and Service means that planning permission was no longer required for premises to change usage between:
- Professional Services
- Restaurants and Cafes
- Clinics and Health Centres
- Creches and Day Nurseries
Importantly, when searching for restaurants for sale, these changes to the Use Classes open up new possibilities and avenues for available properties. Under the new class E, the following uses are grouped into one:
- E (a) Display or retail sale of goods, other than hot food
- E (b) Sale of food and drink for consumption (mostly) on the premises
- E (c) Provision of:
- (i) Financial Services;
- (ii) Professional Services (other than health or medical services), or;
- (iii) Other appropriate services in a commercial, business or service locality
- E (d) Indoor sport, recreation or fitness (not involving motorised vehicles or firearms)
- E (e) Provision of medical of health services (except the use of premises attached to the residence of the consultant or practitioner)
- E (f) Creche, day nursery or day centre (not including a residential use)
- E (g) Uses which can be carried out in a residential area without detriment to its amenity:
- (i) Offices to carry out any operational or administrative functions,
- (ii) Research and development of products or processes
- (iii) Industrial processes
These new use classes were introduced to help streamline the property search and planning process. This changed how you can search for freehold restaurants for sale due to the wider availability of properties suitable for restaurant usage. For up to date advice on how to find a suitable restaurant property for your business, either register your property search requirements with us or contact our team.