
Andy and Pauline Jordan will now have to wait until the new year to find out how much their rent will increase
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Pinewood Bar and Cafe rent hike postponed until new year
By Jonathan LowOctober 02, 2012
Parish councillors have decided to postpone a plan to increase the rent of a popular cafe from £2,000 to £22,000.
At a meeting last night, Wokingham Without Parish Council decided to put its decision on how much rent Andy and Pauline Jordan will have to pay for the Pinewood Bar and Cafe at the Pinewood Centre in Old Wokingham Road, Crowthorne, on hold until January.
The parish council had written to the couple to tell them of the 1,000 per cent increase, but has now decided to have more discussions before making a decision.
Andy turned up to the meeting and had handed in a petition with 800 names of support on it earlier in the day.
The couple have stated it is likely the cafe would have to close if the figure did go up by that much.
Afterwards, Andy said: "We haven't had any time to do anything so far, so it gives us some breathing space.
“We’re there to stay though and don’t want to move.
Cafe faces closure after 1,000 per cent rent increase
Councillor Gerry Brown added afterwards: “It (the cafe) is an integral part of the site and an important part of the whole atmosphere there,” he said.
“It’s a question of affordability.
“We want to be supportive of the café and find a realistic solution to the problem.
“It’s a challenge and I'm prepared to meet it head on.”




Most recent user comments 15 of 19
05/10/2012 at 10:34 Offensive or Inappropriate?
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04/10/2012 at 22:58 Offensive or Inappropriate?
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04/10/2012 at 15:00 Offensive or Inappropriate?
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If you divide £22,000 in to monthly payments: it equates to roughly the amount you would pay for a mortgage on a £400,000 property. So the council are asking The Pinewood Café to buy a busy pub in Devon or a Care home in Wales. Could I suggest the Councillor’s look at this website: www.WelcomeToThe RealWorld.com
Angus Balfour
04/10/2012 at 14:58 Offensive or Inappropriate?
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04/10/2012 at 14:05 Offensive or Inappropriate?
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Granted some of these closures are from large companies fallen on hard times eg. Game, Woolies, Habitat, Thorntons etc. The question is why, sometimes years later, are they still empty? The big boys won't move in because times are hard and they may be putting their cash behind their online services.
The small entrepeneurs can't move in as the unrealistic rents/rates make the business completely unviable from day one. So the properties are left to decay along with the high street. Councils still don't seem to have come to terms with the fact that they are part of the problem.
My brother in law runs a once profitable cafe, on a once prosperous (some may say "posh") high street in the north of England. Apart from a couple of banks the shops are/were almost exclusively private ventures. Due to the economic turnaround the "For Rent" signs started going up - and they stayed up.
Currently he's breaking even and just about making it through the recession. He too has been fighting a 1000% rate increase. He will have no choice but to close immediately should the increase go through. After all he has a finite number of covers; once every table is full it's full. It is unlikely anyone will be able to make a profit on his site with this new rent, due to the size of the premises. So it will add to the ever growing collection of "For Rent" boards. How long do you think someone would stay in business if they passed on a 1000% increase - "Can I have a Cappucino?"..."That'll be £22 please."
Perhaps one day Councils will factor in a business's turnover into any and all rent/rate increases. Although I doubt it - private sector pragmatism vs public sector dogmatism.
Better the council take £5000 than nothing at all...
04/10/2012 at 14:04 Offensive or Inappropriate?
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04/10/2012 at 08:43 Offensive or Inappropriate?
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They knew the council would put up rent, but they didn't know how much, and it wasn't agreed in advance of the investment they made. That was probably naiive, and the council are preying on that. But credit to the council for now, they have had a think and realised it may have been a mistake. If they decide to put the rent up to £22k after they've thought about it more, they'll lose a tennant, and potentially open themselve up to legal action to reclaim some of the money this couple invested in the property on the council's behalf, depending on what agreements were made initially.
So I say put the rent up - the couple were expecting that, but still keep in mind that this couple have saved the council money, much more than £20k per year in rental difference, in property investment. At least let the couple make some of this back.
You wouldn't see a dragon investing money in a business if there was no return on that investment, and, in fact, that investment was lost entirely to the council benefit.
03/10/2012 at 17:15 Offensive or Inappropriate?
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03/10/2012 at 15:25 Offensive or Inappropriate?
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03/10/2012 at 11:43 Offensive or Inappropriate?
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03/10/2012 at 11:40 Offensive or Inappropriate?
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03/10/2012 at 08:51 Offensive or Inappropriate?
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Yes I get it is a business, but isn't this the cause of all the financial problems we're in anyway? The Greedy few, in this case the council taking the little man for a ride. No wonder no one is starting small businesses when all this guff gets thrown at them.
Case in point, we tried to start a small cage at a club I am involved with, unfortunately the tax, business rates etc were so prohibitive towards making a small profit with which to put into the club that it made the whole venture unsustainable.
I see why so many people get frustrated!
03/10/2012 at 08:50 Offensive or Inappropriate?
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Ok Beef, what would you think a realistic rent is for a café based on this site? This is what the council needs to determine based on other similar businesses in the area. If £22k sound too much, how about £20k? or £18k? Either way, it’s a huge percentage increase on £2k! I wouldn’t have thought it is going to be £3k or £4k or even £5k, would you? I personally would guess at nearer £15k, but it needs to be based on turnover, profit business potential, etc. The landlord needs to determine the value of a café business on this particular site and not compare it to the rent the model railway club pays!!!
There seems to be a huge emotional outpouring for Andy and Pauline, like they are being thrown out on the streets, penniless, victims of a bully state! This is all very heart-warming, but I do not personally know them, and from a purely impartial, practical, honest point of view, they have been paying a completely unrealistic rent. I know it was a low-start deal, but this deal is designed to give a business a chance to get established so they can pay the ‘real’ rent when it kicks in. I would have thought they understood this before they signed up. It is extremely naive to sign a commercial tenancy agreement then allegedly invest £75k of your own money in a business without knowing what the rent increase will be. Sorry, but this is no way to operate. Andy and Pauline must be decent people and no doubt make a good cuppa. They are clearly very popular, but their business sense is questionable and may be their undoing…
03/10/2012 at 08:15 Offensive or Inappropriate?
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02/10/2012 at 18:52 Offensive or Inappropriate?
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