London Cocktail Club builds property pipeline ahead of significant expansion

Owner Nightcap confirmed the group is currently in negotiations on several new leases inside and outside of London, against an ambition to grow the business from the current 10 sites it has to approximately 40 over the next five years.

LCC was acquired by Nightcap, a newly-formed company led by ex-Dragon’s Den investor Sarah Willingham, back in December​​. 

Regarding LCC's plans for expansion, Willingham said: “In line with our expectations, the damage done to the property and hospitality sectors by the pandemic is giving us access to new sites in prime locations with lower rents, increased incentives and lower capital costs per site than previously experienced. 

"Given this, we are confident in our ability to provide even better returns on our capital employed than historically.” 

LCC plans to reopen five of its 10 sites when restrictions on outdoor hospitality settings are due to lift on 12 April, with the other five set to reopen on 17 May when indoor trading in hospitality venues is scheduled to recommence.

Nightcap has confirmed that it successfully listed on AIM in January.

Back in December the business said the float formed part of its vision to become the UK’s leading bar operating group through the acquisition, investment and expansion of drinks-led hospitality concepts.

In an update, Nightcap said the opportunities it is seeing in the hospitality sector, in terms of available sites and potential business acquisitions, are even stronger than the Board had anticipated at the time of the company’s admission to AIM.

“Our mission and the reason for establishing Nightcap has not changed," said Willingham.

"We want to grow LCC especially beyond London, and we need to find more great businesses with strong and motivated leadership teams, which perhaps now lack the capital to expand and release their growth potential.” 

“We are really excited and confident about the future and cannot wait to get our existing sites back open and trading, and feel sure that guests will embrace the opportunity to once more enjoy the LCC experience. 

"With an experienced, driven team and 10 venues ready and waiting to once again serve the ‘Millennial pound’, we look forward to delivering on our commitment to capitalise on this opportunity, which is enormous.”