CATERING REPORT - Residents - Tunbridge Wells … · · 2017-02-16CATERING REPORT K. TUNBRIDGE WELLS CIVIC CENTRE FOODSERVICE FEASIBILITY STUDY Draft Issue 03 1st December 2016

CATERING REPORTK

TUNBRIDGE WELLS CIVIC CENTRE FOODSERVICE FEASIBILITY STUDY

Draft Issue 03 1st December 2016

TUNBRIDGE WELLS CIVIC CENTRE

Twcc - Foodservice Feasibility Study - Draft Issue 03 PAGE 2

CONTENTS

1.0 INTRODUCTION ..................................................................................................................................................... 3 2.0 EXECUTIVE SUMMARY .......................................................................................................................................... 4 3.0 BACKGROUND AND CONTEXT ........................................................................................................................... 10 4.0 LOCAL FOODSERVICE MARKET ......................................................................................................................... 14 5.0 THEATRE CATERING........................................................................................................................................... 17 6.0 CIVIC BUILDING .................................................................................................................................................. 28 7.0 CALVERLEY GROUNDS ...................................................................................................................................... 30 8.0 MANAGEMENT OPTIONS ................................................................................................................................... 31 APPENDICES ................................................................................................................................................................... 36 APPENDIX A PLANNED BAR & CATERING PROVISION ............................................................................................ 37 APPENDIX B SUMMARY OF LOCAL FOODSERVICE PROVISION .............................................................................. 38 APPENDIX C CATERING PROVISION IN COMPARABLE THEATRES.......................................................................... 42



1.0 INTRODUCTION

1.1 TERMS OF REFERENCE

This report has been prepared in accordance with our consultancy proposal (Revision C) prepared for Chris Dumas and Mark Anderson of GVA Acuity and based on the information set out in the TWBC Catering Brief Rev 2 (Oct 2016) issued by GVA. 1.2 KEY OBJECTIVES

A new Tunbridge Wells Civic Centre is being planned that will be located on Mount Pleasant Avenue at the entrance to Calverley Grounds. This will essentially comprise: a new theatre, civic building containing council and tenant office accommodation, and the development of Calverley Grounds amenities. The proposals currently being developed include for a new cafe/restaurant in the Civic building and a new bar/café destination in the theatre building. It is envisaged that both would have full public access and overlook Calverley Grounds. Tricon has been engaged to assist and advise the Council in the development of a food & beverage strategy for the proposed development, cognisant of the local environment, prospective operators, users, competition and financial viability.



2.0 EXECUTIVE SUMMARY

This section has been prepared to provide a summary of our key findings, conclusions and recommendations resulting from this study and set out in detail in the main body of this report. INTRODUCTION

The new Tunbridge Wells Civic Centre will essentially comprise: a new theatre, civic building, containing council and tenant office accommodation, and the development of the Calverley Grounds amenities, which will include a new children’s’ playground. Our study appraises the optimum strategy for future foodservice provision. We have considered the key objectives for providing foodservice and identified the key factors that are likely to influence future foodservice demand and provision. We have then appraised potential foodservice concepts and management options against these objectives.

KEY OBJECTIVES

Key objectives were identified as: ● Provide additional source of revenue contribution to the theatre

● Optimise level of risk and capital expenditure

● Provide an enhanced level of foodservice for theatre audiences and support utilisation

● Provide a convenient catering service for park visitors, local office workers and the general public.

● If open outside performances, give “life” to the theatre during the day and on “dark days”.

● Support catering services within the park – regular, seasonal and events.

● Provide appropriate flexibility to meet changing future requirements and trends

KEY INFLUENCING FACTORS

Key factors and considerations that will have an influence on the foodservice strategy are: ● Foodservice within the theatre should not detract from bar and ice cream sales, which will provide the highest

sales level of profit contribution.

● The proposed performance programme, with significantly more musicals and plays and higher ticket prices, will also drive a change in the general profile and demographics of the audience, compared to current.

● Space availability will restrict scale of any foodservice operation and the proportion of the audience that can be realistically served prior to a performance.

● It will be difficult to open theatre catering to the general public in the evenings as foyer areas will be used by the audience and there will be security/access implications.

● There is a high level of external foodservice provision within a 5 minute walk of the new Civic Centre. There are over ten popular “branded” restaurants and bars available for pre-theatre dining, many offering competitive early evening meal packages. However, the availability of quality, daytime cafes and coffee shops in the immediate vicinity is low.

● The spaces available for foodservice (Theatre and Civic Building) are in attractive locations but passing footfall is relatively low and visibility/accessibility restricted.

● TWBC requires catering to be self-sufficient financially and not to be a drain on the Council’s resources (cost and manpower).

● A low quality and unsuccessful foodservice operation is likely to detract from the overall perception of both the theatre and the overall development.



FOODSERVICE CONCEPTS

We have considered four broad alternative foodservice options, which are designed provide an increasing differential in terms of menu offer, style of service and spend. In practice, there will be numerous variations in terms of how each concept can be applied, operated and marketed. We have considered the following conceptual options: A Coffee Bar

Counter service offering “barista style coffee and speciality hot and cold drinks, cakes, pastries and limited range of pre-packaged sandwiches, salads, snacks and confectionery. We have assumed that the core performance provision in the theatre in all cases will comprise: full bar service, Ice cream, confectionery and a coffee bar similar in style and offer to Concept A. Experience in other theatres has shown that for some categories of performance, for example drama, the demand for coffee can now outstrip that for bar sales and there is a requirement to incorporate a quality, barista style coffee operation. B Cafe/Deli

Primarily counter service with some food delivered to the table. Menu includes enhanced fresh food offer, including pre-made sandwiches and made-to-order sandwiches, soup, hot snacks/bowl food, plated salads and “homemade” cakes. C Cafe Bar

Generally food ordered at counter but delivered to the table. Limited menu, contemporary and informal in style, comprising: light snacks, sharing platters, tapas, hot sandwiches, plated salads and desserts. The food offer generally changes from daytime to evening reflecting different customer requirements and propensity to spend. D Restaurant

Food ordered at and delivered to the table. The style of cuisine and menu range can vary enormously but will comprise: choice of appetisers, main courses and desserts. Dishes may be individually priced with a wider choice or a set two or three course menu may be offered with a limited choice of 4-5 dishes per course. The latter is most common in theatre restaurants. MANAGEMENT OPTIONS

The management options considered, as follows: In-house management

Under this option the Council (or an appointed theatre management company) would directly manage and operate foodservice in the theatre. Contracted management

The Council would appoint a specialist foodservice management company to operate the foodservices on a fixed term contract, typically including a fixed base rental plus and variable concession linked to sales. Commercial operator

A specialist foodservice operator, either an independent or a group, would operate within their specialist sector with a branded or unbranded facility. Contract terms would normally be on a lease rental basis for a fixed, extended period of tenure.



STRATEGIC OPTIONS

We have identified four broad, alternative strategic options and appraised each against the previously identified key objectives. The options are defined below and the respective key benefits and limitations of each against a number of key criteria are set out in the table following: Option A

● Theatre provides a bar and restricted catering services for performances only – operated in-house.

● Civic Building ground floor space designated for foodservice use and leased to a commercial operator.

● The Civic Building space could be reduced and a smaller space let as a cafe or takeaway style of concept, rather than the full space being allocated for foodservice. As currently allocated the size of the Civic Building space is more suited to a full restaurant than a cafe or coffee bar.

Option B

● Theatre provides an enhanced cafe bar style service for performances only – operated in-house.

● Civic Building ground floor space designated for non-foodservice use or foodservice use (leased to a commercial operator).

● As with Option A, the Civic Building space could be reduced and a smaller area let as a cafe or takeaway style of concept, rather than the full space being allocated for foodservice.

Option C

● Theatre provides an all day cafe/deli and evening cafe bar service – operated in-house.

● Civic Building ground floor space designated for non-foodservice use.

● All foodservice activity is focussed on the Theatre.

Option D

● Theatre provides an all day cafe/deli and evening cafe bar service.

● Civic Building ground floor space designated for foodservice use.

● Council appoints specialist caterer to operate all bar and foodservice in both buildings on a contracted management basis.

Key Assumptions

These options are, however, underpinned by a number of assumptions that apply to all four scenarios: ● The theatre bar and catering services will in all cases be managed by a single operator; whether the in-house

team, a theatre management company or a third party contract caterer. To split the services would be both financially and operationally unviable.

● The theatre and its foodservice and bar operations will be managed in-house, by the Council. The appointment of a third party theatre management company will have potential implications including; control over services, level of financial return and risk and provision of park/event foodservice. The actual impact will be dependent on the nature of the contractual agreement in place.

● The cafe operation in the Park Cafe will cease on termination of existing agreement in December 2017.

● Park catering, including refreshment kiosk for playground and temporary seasonal “pop up” and mobile services will be operated by the theatre catering department (or whichever party is delivering the theatre food and beverage operation).

● Catering for park events will continue to be organised and let by the Council using third party caterers as required.



Appraisal of Strategic Options

KEY OBJECTIVES

ABILITY FOR CONCEPTS TO SATISFY KEY OBJECTIVES

A B C D

Potential Financial Return

● Medium level of financial return as theatre services are restricted and limited to performances only.

● Additional potential return from evening foodservice in theatre.

● Potential for maximum return due to all day cafe service in the theatre.

● Profits shared with third party operator will mean reduced return unless sales increase significantly

● Operator will also take share of profits from core bar and catering sales.

Capital Investment (by Council)

● No additional support space or kitchen required in theatre to support foodservice over and above “base” scheme.

● Additional support space and kitchen required in theatre to support foodservice over and above “base” scheme.



● Council also responsible for fit-out of Civic Building foodservice space.

● Cost can be mitigated from investment by caterer but this will reduce concession return from revenue.

Financial Risk

● Financial risk to Council low due to: ● Fixed rent on

Civic Space ● Limited service in

theatre -comparable with existing

● Financial risk of theatre foodservice operation sits with the theatre.

● Setting up new team to manage theatre foodservice operation is a risk but this is partly mitigated by limited scale and nature of operation.

● Financial risk of theatre foodservice operation sits with the theatre.

● Setting up new team to manage commercial day time operation is a significant task with a high risk.

● Lower financial risk as third party specialist is responsible for managing operation.

● However, council essentially bears risk of underperformance by caterer.

Direct Control over foodservice (by Council)

● Council has direct control over theatre performance bar and catering operation only.

● Other foodservice provision is dependent on third party operator in leased Civic Building space.

● Council has direct control over theatre performance foodservice and bar operation.

● Council has direct control over theatre performance and public daytime foodservice and bar operations.

● In theory, Council has control over all foodservice and bar operations.

● In practice, this will be limited by the nature of a commercial contract and may result in a conflict of objectives.



KEY OBJECTIVES

ABILITY FOR CONCEPTS TO SATISFY KEY OBJECTIVES

A B C D

Operational Flexibility

● Very limited capability to support catering within the theatre for events.

● All food will need to be bought in pre-prepared.

● No flexibility to change foodservice strategy once built.

● Flexibility to extend scope and style of foodservice in future; i.e. weekends and weekdays.

● Able to support catering for events and private parties.

● Flexibility to change scope and style of foodservice in future.


● Flexibility to extend scope and style of foodservice in future; i.e. weekends and weekdays.


● Civic Building foodservice can better support work activities and events in building.

● Contract caterer can better support temporary catering for events in the park.

Service Level - Theatre Audience

● Audience essentially confined to using external commercial foodservice outlets as presently.

● Appropriateness of Civic Building foodservice will be dependent on third party caterer and nature of concept.

● Enhanced service for theatre audiences



Service Level – General Public

● As above ● If let for non-foodservice then no daytime foodservice provision but reduced impact on theatre foodservice.

● If let as restaurant then limited daytime provision and some, but low, impact on theatre foodservice.

● If let as Cafe, the daytime foodservice provision and limited impact on theatre foodservice.

● If let for foodservice may have detrimental impact on theatre if it decides to extended foodservice to daytime in future.

● All day cafe and refreshment service for general public.

● All day cafe and refreshment service for general public.



CONCLUSION AND RECOMMENDATION

From our discussions with the Council team, we understand that the overriding objective is to give the theatre the best chance of success both operationally and financially. In this context, we have considered the various options to determine the optimum solution when considering the foodservice provision. In the table below we have summarised the impact of each strategic option against the key criteria, grading each impact from High to Low. Appraisal of Strategic Options – Summary

Based on this appraisal and taking into account the Council’s stated overriding objective of giving the Theatre the best chance of operational and financial success, Option C will be the optimum solution. In summary, this would mean the Theatre providing the necessary infrastructure (space, mechanical and electrical services and catering equipment) to enable the delivery of an all day cafe-deli and evening cafe bar service, should this be deemed commercially viable, with the Civic Building space being let or used for non-foodservice activity (so as not to compete with the Theatre). However this conclusion has a number of caveats: ● The Theatre should be cautious about trying to deliver too extensive an all-day offer initially. It is arguably

better to focus on the Theatre audiences first and optimise the services to this market before committing to opening up to the wider public. There is a strong risk of loss of reputation if the Theatre opens an all day cafe service, only to then decide to close it down if it isn’t commercially viable.

● If the Civic Building space is let for retail or other non-foodservice use and the Theatre ultimately decides not to open the cafe all day, there will be no foodservice provision for the wider public in the new development. Therefore, the Council should retain the flexibility to convert some or all of the space in the Civic Building for foodservice use; even it is not designated as such initially.

● The interior design and fit out of the cafe/bar areas in the Theatre will need to carefully consider the different requirements of the day time and theatre audience markets. For example, furniture that is appropriate for a day time cafe deli may need to be cleared to enable the cafe area to be used as a bar supporting theatre performances.

KEY CRITERIA ABILITY FOR CONCEPTS TO SATISFY KEY OBJECTIVES

A B C D

Potential Financial Return MEDIUM MEDIUM-HIGH HIGH MEDIUM

Capital Investment (by Council) LOW MEDIUM HIGH MEDIUM HIGH HIGH

Financial Risk LOW MEDIUM MEDIUM-HIGH MEDIUM-HIGH

Direct Control over foodservice (by Council) LOW HIGH HIGH MEDIUM

Flexibility LOW HIGH HIGH HIGH

Effective use of Theatre space LOW LOW HIGH HIGH

Service Level - Theatre Audience ? (dependent on Civic space tenant) HIGH HIGH HIGH

Service Level – General Public ? (dependent on Civic space tenant) MEDIUM HIGH HIGH

Park Catering By theatre By theatre By theatre By Third Party Operator



3.0 BACKGROUND AND CONTEXT

3.1 GENERAL

This section provides relevant background and information on the planned Civic Centre development and the proposed foodservice provision. A map showing relevant facilities and planned developments is included over page for ease of reference. 3.2 THEATRE

3.1.1 General

We have set out below our understanding of the audience numbers, demographics and future performance programming, which is based on the Bonnar Keenlyside report “New Theatre for Tunbridge Wells, Feasibility Study and Options Analysis” dated march 2016. ● The new theatre will be located at the entrance to Calverley Grounds on the site of the existing car park.

● The auditorium will seat a minimum of 1200 persons.

● Seating will be split as follows:

● Stalls 600 (reduced by 100-150 when orchestra pit in use)

● Circle 300

● Upper circle 150

● Projected annual audience numbers are 250,000 to 300,000.

● At least 50% of audiences will come from the Tunbridge Wells area with the remainder from other areas within the region and within relatively short travelling distance by road or public transport.

● Enhanced programme to include:

● Increased number of longer runs – 80% of performances.

● Reduced number of one night performances – 20%. Compared to 80% currently.

● On the basis of a typical programmes for a 1200 seat theatre, circa 45% of performances will be musicals, with 15% drama and 15% pantomime

● Increase in number of matinee performances.

● General increase in ticket prices. The average ticket price achieved in comparable theatres in 2014 for musicals was £38.59 and for drama was £24.74. AHT currently achieves circa. £20.

● Higher theatre staffing numbers, typically 70+ FTE’s, due to more intensive programming, longer runs and higher audience numbers.

● A decision has yet to be made as to whether the council will continue to manage the theatre “in-house” or if a third party, commercial theatre operator will be appointed.

3.3 Planned Bar & Catering Provision

A summary of the planned catering and bar spatial provision is set out in Appendix A. There are two alternative proposals, the base scheme and the enhanced scheme. Both schemes include the same foyer bar service and associated BOH support. The enhanced scheme provides increased space for catering as follows: Base Scheme

The base scheme includes for a small kitchen (30 m2) and cold room (12 m2) in the basement only to support any foodservice operation. This would essentially only support a coffee bar style of operation with limited food, all bought in pre-packaged. Additionally, it would provide no support for other foodservice events or special parties held on-site. Food for such events would need to be provided by an external event/party caterer.



Map showing relevant facilities and developments



Enhanced scheme

The enhanced scheme allows additional space for a kitchen (60m2) on the first floor plus additional dining space (73 m2) in the first floor foyer. The latter would support restaurant dining for around 45 covers. The planned dining area is situated on the first floor with views over the park and with a small, external terrace. It can be accessed directly via an external staircase positioned adjacent to the park entrance or internally via lifts from the ground floor foyer. The current proposed layout is not ideal with the visitor toilets positioned between the foyer and the kitchen that are, also, accessed via the dining area. However, we understand from our discussions with the architect that there is some flexibility to rearrange the areas and adjacencies in order to improve operational logistics and customer flows. The enhanced scheme also includes a proposed external terraced area on the third floor. The potential use of this area is highly weather dependent and, consequently, we see this potentially being used as an event space or as a “pop-up” bar, particularly, when special summer events are held in the park. 3.4 CIVIC BUILDING

The Civic Building will be located immediately opposite the theatre and will comprise five floors. This will comprise Council offices and tenant offices, with general accommodation as follows.

LEVEL

5th Floor Tenant Office and external terrace

4th Floor Tenant Office and small external terrace

3rd Floor Council Office and external terraces

2nd Floor Tenant Office Loading Bay

Car Parking

1st Floor Council Meeting Rooms Car Parking

Council Chamber

Mezzanine Car Parking

Ground Floor Main Entrance & Reception Car Parking

Cafe

The Council offices will essentially accommodate senior officers and administration support services. All public services will be located within the new Cultural & Learning Hub, which will bring together the Tunbridge Wells museum, art gallery, library, adult education centre, tourist information centre and Gateway into one shared, modernised and inspiring new building. Proposed Cafe

A total space of up to 236 m2 is currently unallocated on the ground floor of the building for other potential use, including foodservice. This space is positioned adjacent to the main building reception, the park entrance and directly opposite the theatre. The final use of this space and the available space has yet to be determined.

3.5 CALVERLEY GROUNDS

This popular and historic park has attractive lawns and ornamental gardens, including an Italianate garden and the following amenities: ● Tennis court, netball and basketball courts

● Croquet lawns

● Cafe

● Toilets (located near the Mount Pleasant Avenue entrance)



Park Cafe

The Park Cafe is located in a stand alone, wooden building and is leased by the Council to a private individual who leases the café in both Calverley Grounds and Dunorlon Park. The current lease is for 10 years and ends on 31st December 2017. The rent is based on a minimum figure of £4,500 per year or 13% of gross turnover. Currently turnover is approx. £70k per year yielding approx. £9,000 in rent. We understand that the operator has stated that without the income derived from the annual ice rink the Cafe would probably not be viable. The cafe is functional in design and provides a relatively basic menu offer, comprising all day breakfasts, sandwiches, hot & cold snacks, beverages and ice cream, which is appropriate for park visitors looking for a convenient and inexpensive refreshment or meal. Comments on Trip Advisor are generally positive and the main benefits quoted are: ● Location and setting

● Convenience

● Very reasonable prices

● All day breakfasts

● Ice creams

● Friendly staff.

Calverley Adventure Grounds

The Friends of Calverley Grounds are planning a unique and natural play space within park. This will replace the bowling green that has not been used since 2005. The design for the Calverley Adventure Grounds, which will be sited on the former bowling green, is by Jennette Emery-Wallis who designed the Princess Diana Memorial Playground in Kensington Gardens and the Tumbling Bay Playground in the Olympic Park. The scheme has been designed to cater for all abilities, up to the age of 12. The Friends of Calverley Grounds website quotes the benefits of building a play area the park as follows: ● It will redefine Calverley Grounds as a

year-round destination for families;

● The area will attract increased footfall with its central location benefitting businesses throughout the town;

● The Play area will be marketable as an attraction, encouraging tourists to visit the town;

● This project sets a precedent for how the community and local businesses can work together to transform our town;

● Children will be heavily involved in fundraising, inspiring a sense of social responsibility;

● The design promotes imaginative play, exploration and considered risk-taking. There is much research showing the physical and psychological benefits of similar schemes;

● The project celebrates the heritage of Royal Tunbridge Wells; interpretation boards will explain the design and how it shows the development of the town in microcosm, broadening its appeal

This is a new facility that is likely to provide a demand and a need for some form of foodservice. The Council wants to explore potential options for the provision of foodservice to support users of this new facility.



4.0 LOCAL FOODSERVICE MARKET

4.1 GENERAL

In this section we have provided a summary of local food service outlets within a 5 minute walk from the location of the new theatre together with our key comments, perceptions and conclusions. Whilst we have given due consideration to our conclusions, these are through necessity based on a limited “snapshot” of the area and the local foodservice market. Our research visit was undertaken on Friday 11th November, which was a dry but cold day and the evening performance at the Assembly Hall Theatre was Maximum Rhythm n’ Blues featuring the original Manfred Mann band. 4.2 FOODSERVICE PROVISION

Our research has identified some 40+ foodservice outlets within a 5 minute walk of the new theatre. A detailed listing is included as Appendix B and is summarised below.

CATEGORY NUMBER INDICATIVE OUTLETS

Coffee Bar 5 Coffee Nero, Starbucks, Costa Coffee, Fine Grind (Independent)

Hot Takeaway 1 Kebab Express

Bakery/Sandwich Shop 1 Greggs

Retail Cafe/Takeaway 1 Prêt a Manger

Cafe 8 Park Cafe, Pleasant Cafe, Souper Juicer, Juliet’s, Java Bean Cafe. Patisserie Valerie

Pub 6 The Barn, The Opera House, The Black Pig. TW Bar & Grill, Bedford

Wine/Cocktail Bar 2 Chapel Place,

Self Service Restaurant 1 Zest (Hoopers)

Restaurant (Independent) 3 Kai’s Kitchen (Thai), Raj Pavilion (Indian). La Folia (Italian)

Casual Restaurant (Branded) 10 Carluccios, Wagamama, Strada, Cote Brassiere, Prezzo, Cau, Jamie’s Italian

Brasserie 1 Hotel du Vin,

Fine Dining Restaurant 5 L’Amore, The Warren, The Barn

● The location for the new theatre essentially sits between two distinct areas, one to the north towards the

Assembly Hall Theatre and the Royal Victoria Shopping Centre and one to the south incorporating the High Street and towards The Pantiles. The latter was considered too far away to attract many for pre-performance food and drinks and we have, therefore, excluded it from our study.

● The High Street is largely comprised of smaller upmarket and independent retail shops. The foodservice provision largely reflects the demographics of the retail customer with a number of branded casual restaurants but, also, some smaller independent foodservice outlets comprising; a number of cafes, espresso bar, Italian delicatessen, cocktail bar and wine bar.

● Mount Pleasant Road heading north presents a mixed retail offer. There are a number of larger upmarket branded stores, principally on the east side but there is a mix of retail and service outlets on the west side going up from the station. At the top of lower Mount Pleasant Road, where it crosses Crescent Road, is a planned mixed use and cinema development currently under construction. There are a number of branded casual restaurants located here including: Carluccio's, Wagamama, Strada and Cote Brasserie

● Further north along Mount Pleasant Road is the main shopping precinct, the Royal Victoria Shopping Centre. There are a variety of foodservice outlets in this area many targeted at the daytime shopper and local office/shop workers. Outlets attracting evening use include; casual restaurants - Prezzo, Cau, Bill’s and The Opera House, a Weatherspoons pub within what appears to be the largely original theatre building.



4.3 PRE-THEATRE DINING

● There are a large number of casual restaurants situated along Mount Pleasant Road within easy walking distance of the Assembly Halls Theatre, the adjacent car park and the route from the station and the station and Calverley Grounds car parks.

● Many of these offer special inclusive meal deals at a reduced price for early evening diners, before 6.30 or 7.00 pm. For example, Cote Brassiere £10.95 for two courses, The Barn Restaurant £9.95 for two courses, Cau and the Barn Restaurant two courses for £9.75.

● It was evident that many of these restaurants were being used by theatre goers but most had spare capacity on the day of our visit. The busiest and most popular with theatre visitors were perceived to be Cote Brassiere and Strada. Wagamama was very busy but with a predominantly younger, non-theatre clientele (from teenagers to under 30’s). Carluccio’s was also relatively busy but few early evening diners were perceived to be visiting the theatre.

● The new location for the theatre will also bring the foodservice outlets to the south closer and in easy walking distance, whilst the majority of outlets used by the Assembly Hall Theatre audiences will also remain accessible. This will include the following outlets that trade in the evening; The Black Pig, The Bedford, Jamie’s Italian, Pizza Express, Zizi’s, L’Amore, Tunbridge Wells Bar & Grill and The Warren Restaurant.

● At present, there is limited alternative availability in the evening for theatre visitors that require a less formal meal, snack or, simply, a coffee. However, this may be due to a lack of demand.

● The few fine dining restaurants were not busy in the early evening. The exception was the Hotel du Vin but this is a unique venue and we perceived the majority of diners to be hotel guests.

● The future use of restaurants for pre-theatre dining will be influenced by mode of transport, i.e. rail or road and parking location. Car parks will be located; beneath the new Civic Building (250 spaces), Crescent Road (1085 spaces) and Torrington Road (Railway Station) (410 spaces).

● Overall, the new theatre location will result in an increase in the number of accessible foodservice outlets for pre-theatre dining but is most likely to benefit those within the immediate vicinity of the theatre.

4.4 DAYTIME FOODSERVICE

● The majority of the casual restaurants were relatively quiet at lunchtime on the day of our visit, with most having only 20-30 diners at any one time over the lunchtime period. Notable exceptions were Cote Brasserie and Prezzo, which were very popular with shoppers and local office workers, although both Cau and ASK close by were quiet by comparison.

● There are a number of branded coffee bars, cafes and sandwich outlets close to the Royal Victoria Shopping Centre that were popular, including: Prêt a Manger, Greggs, Caffe Nero, Costa, Starbucks and Patisserie Valerie.

● Souper Juicer is a very popular independent cafe with an interesting and attractive menu offer including: soups, bowl stews, hot sandwiches, vegetarian meals, salads, homemade cakes and freshly squeezed juices.

● There are also a number of popular, quality independent cafes located in the High Street, aimed at shoppers and local workers. Most notable were Juliet’s and the Java Bean Cafe.

● Zest, Hoppers department store self-service restaurant, was popular with shoppers, with a predominantly older and female clientele.

● With the notable exception of Carluccios, there are no quality coffee bar or cafe outlets in the immediate vicinity of the new theatre location. The only two cafe outlets were The Park Cafe and the Pleasant Cafe both of which provide a relatively basic menu offer at a low and competitive price.

● It was also interesting to note that there are very few food take away outlets within the total area surveyed, away from the Royal Victoria Shopping Centre. Although there is a Sainsbury’s store opposite the railway station. The reason for this is unclear but may be due to a low number of office workers in the area.

● The three public houses in the vicinity of Calverley Park were also considered relatively quiet and particularly for a Friday lunchtime. The most popular was The Bedford, which is a traditional Greene King pub.



● The Opera House, a large Weatherspoon’s pub, located at near the Royal Victoria shopping Centre, was busy throughout the day and early evening. However, this is a popular, price competitive brand set in a unique setting with a good location.

4.5 POTENTIAL FOODSERVICE MARKET

In the table below, we have identified the individual target groups and our assessment of the key demand factors that are likely to influence the decision to use foodservice facilities in the Civic Centre. TARGET GROUPS KEY DEMAND FACTORS:

MENU OFFER AMENITIES

Theatre Audience – evening Barista Coffee & Tea Bar drinks & wine Grazing snack food – high quality Quality main meals Cakes & desserts Set meals/packages

Warm and discerning ‘atmosphere’ Intimacy Alcohol appropriate Authenticity Pre-booking service Distinct offering from external competition

Civic Building/Office Workers Barista Coffee & Tea Breakfast pastries and hot rolls Cold beverages Sandwiches & snacks Hot “snack” meals

Accessibility & convenience Good value for money Take away service Space to read, work, relax and meet with others

Park Users Coffee & Tea Cold beverages Breakfast Sandwiches & savoury snacks Cakes & ‘treats’ Ice Cream

Informality & unthreatening Accessibility & convenience Good value for money Speed of service Support facilities – toilets Family friendly Dog friendly

Shoppers & Weekday Destination Users

Barista Coffee & Tea Cold beverages Beer & wine Breakfast Sandwiches & savoury snacks Hot “snack” meals Cakes & ‘treats’ Afternoon Tea

Accessibility & convenience Good value for money Space to read, work, relax and meet with others Views over Calverley Grounds Child friendly Support facilities – toilets/baby changing Close to car park & station

Weekend Destination users As above plus: Bar drinks More substantial meals Kids foods

As above plus: Warm and fun ‘atmosphere’ Family friendly Unique venue Distinct offering from external competition

Meeting and event users Hot & cold beverages Alcohol Canapé receptions Finger & fork buffets

Welcoming and warm ‘Atmosphere’ Support facilities – AV, toilets, coats, etc Unique venue Views over Calverley Grounds Car parking Close to car park & station



5.0 THEATRE CATERING

5.1 GENERAL

In this section we have considered the key objectives and reasons for providing catering in the theatre, identified factors that are likely to influence future foodservice demand and provision and appraised concept options that could be considered.

5.2 WHY PROVIDE CATERING?

We have indentified the following potential objectives and reasons for providing a catering service in the theatre:

● Additional service and enhanced experience for theatre audience.

● Convenient service for theatre visitors coming straight from work or with limited time/opportunity to eat.

● Potentially supports increased ticket sales.

● If open outside performances, it gives life to the theatre during the day and on “dark days”.

● On-site food provision for theatre staff, crew and artists.

● Provide additional source of revenue contribution to the theatre.

5.3 TRENDS IN COMPARABLE VENUES

As part of this report, Tricon has conducted research into the foodservice provision within comparable UK theatres. We have identified eight theatres in of similar capacity to the new theatre in Tunbridge Wells, including the benchmark theatres quoted in the Bonnar Keenlyside report. We have also consulted with caterers with experience working with theatres. Our research looked into the menu offerings, opening times, indicative tariffs, and key USPs of foodservice operations in theatres, all of which we have categorized in a table in Appendix C.

We have summarised below the key findings from our research:

● The majority of the theatres in our study (5 out of 7) operate an all day cafe style service, including alcoholicbeverages. Two theatres, the White Rock, Hastings and Milton Keynes do not open their foodservice outletsuntil 1.5 to 2 hours prior to a performance.

● Opening hours vary, with most theatres working around performance hours and closing service after eveningshow intervals.

● All but one of the theatres provides an evening restaurant or bistro style menu offer, including hot main meals.This can vary between a set price restaurant menu to a more simple, individually priced “bistro” menu. Wheretheatres offer an all day cafe style menu this is generally replaced by the enhanced evening menu prior to theperformance.

● A number of theatres offer sharing platters, which can be pre-ordered. As can sandwiches and other lightsnacks in some instances, for example: Theatre Royal, Norwich and Everyman, Cheltenham. At Yvonne Arnaud,Guildford, this service is provided to members within a members’ club.

● General pricing policy was at a comparable and consistent level across most theatres on a “like for like” basis.

● The general USPs for foodservice operations in theatres appear to be an emphasis on locally sourcedingredients, a barista coffee service, free WiFi, childrens’ menus and theatre show packaged deals. A numberbenefited from a riverside location and/or an external terrace.

● Our discussions with foodservice operators supported our general experience that theatre foodserviceoperations are difficult to operate viably, unless the venue was a main attraction in the town or there is adeficit of local, commercial alternatives.



● Financial success is invariably dependent on maximising revenue generated from performances. New ideasand promotions are good a driving sales over an initial period but need to be constantly renewed to maintainconsumer interest and demand.

5.4 KEY INFLUENCING FACTORS

Potential considerations and influencing factors to providing a catering service are:

● Catering should not detract from bar and ice cream sales, which are expected by the majority of the audienceand provide the highest level of profit contribution to the theatre.

● Potential average spend per seat on bar services is likely to decease due to change in performance profile andmove away from comedy and popular concerts, as set out in Section 2.2,

● The proposed performance programme, with significantly more musicals and plays and higher ticket prices,will also drive a change in the general profile and demographics of the audience, compared to current.

● Space availability will restrict scale of any foodservice operation and the proportion of the audience that canbe realistically serviced will be relatively low.

● It will be difficult to open theatre catering to the general public in the evenings as foyer areas will be used bythe audience pre-theatre and at intervals. There will also be security considerations in how to restrict potentialaccess for non-ticket holders to the auditorium.

● The new theatre location will result in an increase in the number of accessible foodservice outlets for pre-theatre dining but is most likely to benefit those within the immediate vicinity of the theatre.

● Based on general experience within the sector the potential profit contribution from foodservice is likely to berelatively low.

● TWBC requires catering to be self-sufficient financially and not to be a drain on the Council’s resources.

● Dependent on how the catering is managed, this could entail an increased financial risk to the theatre andinvolve increased senior management time and resources.

● A low quality and unsuccessful foodservice operation is likely to detract from the overall perception of thetheatre.

5.5 FOODSERVICE OPTION APPRAISAL

5.5.1 Concept Options

In appraising the potential opportunity for foodservice in the theatre we have considered four broad alternative foodservice options, which are designed provide an increasing differential in terms of menu offer, style of service and spend. In practice, there will be numerous variations in terms of how each concept can be applied, operated and marketed. We have considered the following conceptual options:

A Coffee Bar

Counter service offering “barista style coffee and speciality hot and cold drinks, cakes, pastries and limited range of pre-packaged sandwiches, salads, snacks and confectionery.

B Cafe/Deli

Primarily counter service with some food delivered to the table. Menu includes enhanced fresh food offer, including pre-made sandwiches and made-to-order sandwiches, soup, hot snacks/bowl food, plated salads and “homemade” cakes. C Cafe Bar

Generally food ordered at counter but delivered to the table. Limited menu, contemporary and informal in style, comprising: light snacks, sharing platters, tapas, hot sandwiches, plated salads and desserts. The food offer generally changes from daytime to evening reflecting different customer requirements and propensity to spend.



D Restaurant

Food ordered at and delivered to the table. The style of cuisine and menu range can vary enormously but will comprise: choice of appetisers, main courses and desserts. Dishes may be individually priced with a wider choice or a set two or three course menu may be offered with a limited choice of 4-5 dishes per course. The latter is most common in theatre restaurants. We have further assumed that the core provision will in all cases comprise: ● Full bar service

● Ice cream and confectionery

● Coffee Bar (Option A) above

Experience in other theatres has shown that for some categories of performance, for example drama, the demand for coffee can now outstrip that for bar sales and there is a requirement to incorporate a quality, barista style coffee operation. Option A Coffee Bar

Reference concepts

Style of service Counter service

Indicative menu items / range

● Cappuccino, latte, espresso coffees, hot chocolate and speciality teas

● Biscotti, pastries and cakes

● Pre-packaged sandwiches & salads

● Pre-packaged cold desserts

● Bottled cold drinks, juices and smoothies

● Bottle beer and house wines (optional and dependent on licensing)

Option 2 Cafe Deli

Reference concepts

Style of service Mix of counter service and table service


● Soups

● Bowl stews and meals

● Salads



● Filled breads

● Toasted sandwiches

● Freshly squeezed juices

● Homemade cakes


● Bottled cold drinks

● Bottle beer and house wines (optional and dependent on licensing)

Option 3 Cafe Bar

Reference concepts

Style of service Counter service drinks, table service of hot food (ordered at counter).

Full table service also usually provided


Evening

● Nibbles (sugar glazed pecans, olives, black olive truffle crisps, etc.)

● Sharing boards (cheeses, charcuterie, smoked fish, baked breads, olives, etc.)

● Tapas

● Deli-style sandwiches – hot & cold

● Salads

● Puddings

● Full range of beverages – alcoholic & non-alcoholic


Daytime

● Soup

● Sharing boards (cheeses, charcuterie, smoked fish, baked breads, olives, etc.)

● Deli-style sandwiches – hot & cold

● Seasonal stews

● Salads

● Puddings





Option 4 Full Service Restaurant

Reference concepts

Style of service Full table service. Customers shown to tables and order from waiters

Generally pre-booked tables Indicative menu items / range

Evening

● Generally 2 or 3 course set menu with choice of:

● 3-4 Starters

● 3-4 Main Courses

● 3-4 Desserts



Daytime

Individually priced menu.



5.6 OPTION APPRAISAL

Appraisal of Concept Options for Theatre Catering

CONCEPT KEY BENEFITS KEY LIMITATIONS

Coffee Bar ● Provides basic but high quality refreshment service for visitors.

● Easy to operate with relatively low staffing requirements and skill levels.

● Low space and equipment requirements. ● No comparable facilities open locally in the

evenings.

● Limited food offer with low levels of potential demand. ● Cannot support foodservice for events or parties in the

building.

Cafe/Deli ● Provides enhanced, more substantial food offer. ● General concept (including healthy eating,

sustainability, use of local produce) “fits” with audience demographics and culture of the theatre.

● Does not require a highly skilled kitchen team. ● No comparable facilities open locally in the

evenings. ● Can support foodservice for events or parties in

the building.

● Food offer may be perceived as too basic for visitors looking for pre-theatre meal.

● No pre-booking may deter visitors from “risking” waiting to dine at theatre.

● Visitors requiring a “snack style” of meal may prefer to dine at home if living locally.

● Potential for higher wastage and food costs if not part of all day service.

● Higher space and equipment requirements.

Cafe Bar ● Higher quality, more discerning menu offer. ● Flexible menu offer, including dishes for sharing,

with price points that will appeal to a wide proportion of audience.

● Can accommodate full bar and food service within single concept.

● Provides an enhanced experience for theatre visitors.

● Provides differential with casual restaurant and bar concepts currently available locally.

● No pre-booking may deter visitors from dining at the theatre.

● Service more difficult to manage at peak service times.

● Requires a larger and more skilled kitchen and front of house team to delivery high quality service with higher labour cost.

● Higher space and capital requirement - full kitchen required, with direct access to dining area.

Fill Service Restaurant

● Requires lower dining numbers to break-even due to higher average spend.

● Pre-booking service provides assurance to theatre visitors and promotes use.

● Dining numbers known in advance so reduced wastage and improved cost efficiencies.

● Appeals to visitors who do not wish to walk to local restaurant, particularly in inclement weather and winter months.

● Provides an enhanced experience for theatre visitors.

● Requires a competent head chef and kitchen team to delivery high quality service with highest labour cost.

● Availability of local restaurants offering early evening price promotions is likely to restrict achievement of required average spend.

● Alternative foodservice offer will be required for visitors who require a hot drink or snack only.

● Highest space and capital requirement:

Full kitchen, with direct access to dining room.

Dedicated dining area with minimum of 50 seats.



Appraisal of Concept Options for Daytime Users

CONCEPT KEY BENEFITS KEY LIMITATIONS

Coffee Bar ● Provides refreshment service for park visitorsand day time users of the theatre.

● Easy to operate with relatively low staffingrequirements and skill levels.

● No directly comparable facilities in theimmediate vicinity

● Low levels of potential demand.● Unlikely to meet needs of staff, crew and artists or

local office workers.● Cannot support foodservice for events or parties in

the theatre or civic building.

Cafe/Deli ● As above● Provides enhanced, more substantial food offer.● Menu offer appropriate for office workers and

theatre staff, crew and artists.● General concept “fits” with culture of the theatre.● Does not require a highly skilled kitchen team.● No comparable facilities in the immediate vicinity● Can support foodservice for events or parties in

the theatre and civic building.

● Low number of local office workers may limitdemand.

● Competition from Sainsbury’s.● May be too far from High Street to attract significant

shoppers market.

Cafe Bar ● Unique concept to area and provides alternativeto traditional pubs or casual restaurants.

● Location and view over park.● Proximity to car park.● Potential demand during summer weekends.● Compatible with events held in the park.● Can support foodservice for events or parties in


● Requires more skilled kitchen team● Relatively high fixed labour/overhead cost.● Limited weekday lunchtime demand.● Food tariffs likely to be too high for office workers

and theatre staff.● Low demand for alcoholic drinks during weekdays.● General perception may deter casual users requiring

coffee or snack.

Restaurant ● Location and view over park.● Proximity to car park.● Can support foodservice for events or parties in


● Competes directly with local casual restaurants.● Limited weekday lunchtime demand.● Low demand outside of lunch period.● Not compatible with office or theatre staff

requirements. ● Requires higher skilled kitchen team● Increased fixed labour/overhead cost.

Conclusion

Based on our appraisal, we conclude the following:

● The only concept that will potentially attract sufficient demand from the target markets during the weekdaydaytime is a cafe deli style of operation.

● Market requirements are likely to change at the weekend to a more bar lead concept and a more substantialmeal offer with a fun and family orientated atmosphere.

● A full service restaurant or a cafe bar concept is most commensurate with theatre audience needs.

● The restaurant will require a higher skilled kitchen team but will potentially provide for a higher spend perhead.

● However, a restaurant will compete directly with the local casual restaurant market, many of which offercompetitive early evening meal packages that may limited the theatre’s potential spend per head and the



profitability. This will increases the financial risk to the theatre of operating a substantial foodservice operation.

● A cafe bar style concept is more informal in style, is commensurate with a bar operation and is unique in thearea. It will also support a relatively high average spend.

● If a pre-bookable meal service is not available, then we believe that the potential use of the theatre for a pre-performance meal by visitors will be deterred by the potential risk of not being able to get a seat, served intime or finding an appropriate choice of meal on arrival and, for this reason, we believe the majority of visitorsmay elect to make alternative meal arrangements before arriving at the theatre.

● Overall, we conclude that the most appropriate foodservice provision to match potential demand from targetuser groups is a flexible style of operation that is able to vary the menu offer, style of service and generalperception as follows:

● Daytime weekdays - Cafe/Deli

● Evenings pre-performance – Cafe Bar

● Weekends – Cafe Bar

● There is no reason why this cannot be achieved operationally through careful and innovative planning of theservice counters and equipment.

● The most challenging aspect will be the interior design of the foodservice area, which will need to provide anappropriate bar and dining environment in the evening but with a warmer and more relaxing cafe styleenvironment during the day, with soft seating and other furnishing appropriate for informal working and socialinteraction.

CUSTOMER GROUP ABILITY FOR CONCEPTS TO SATISFY KEY DEMAND FACTORS

COFFEE BAR DELI CAFÉ CAFÉ-BAR TABLE SERVICE RESTAURANT

Theatre - evening LOW MEDIUM HIGH HIGH

Civic Building/Office Workers MEDIUM HIGH LOW LOW

Weekday Shopper/ Destination User LOW HIGH LOW LOW

Park Visitor HIGH MEDIUM LOW LOW

Weekend foodservice destination LOW MEDIUM HIGH LOW

Financial risk LOW MEDIUM HIGH HIGH

Space Requirement LOW MEDIUM HIGH HIGH

Capital Cost LOW MEDIUM HIGH HIGH

5.7 FINANCIAL APPRAISAL

In the following tables we have shown indicative, comparable sales and profitability for each of the following strategic options.

OPTION 1 OPTION 2 OPTION 3

Evening Service Only Full Service Restaurant Cafe Bar Cafe Deli



Daytime & Evening Service

Daytime Cafe Bar Cafe Bar Cafe Bar

Evening Full Service Restaurant Cafe Bar Cafe Deli

These are estimates are based on the following assumptions:

● Sales and cost directly associate with the foodservice operation

● Projected levels of average daily customer numbers

● Projected average spends on food and beverages, based on assumed menus and tariffs

● Theatre sales based on 276 performances per year, equivalent to 46 weeks

● Daytime trading assumed to be 7 days per week – from 9.00 am to 4.00 pm

● Benchmark food cost/gross profit as % of sales

● Estimated labour costs based on projected staffing establishment, hours and benchmark market wage rates

● Allowance for two weeks holiday/absence cover per employee (assume 2 weeks holiday will be taken insummer)

● Benchmark direct overheads costs as % of sales

The following have not been including within our financial forecasts:

● Core bar, beverage, ice cream and confectionery operation sales and costs

● An allowance for decrease in bar revenue due to foodservice operation beverage sales

● Central management and support costs

● Additional central management and administration costs due to foodservice operation

● Capital depreciation

● Utility costs

● Premises costs

● Mobilisation and associated development costs







6.0 CIVIC BUILDING

6.1 GENERAL

In this section we have considered the objectives and options for the planned cafe in the Civic Building and the likely impact on any foodservice operation in the Theatre.

6.2 PLANNED CAFE PROVISION

A total space of 236 m2 has been allocated for cafe use on the ground floor of the building. This is a substantial space and could potentially support a cafe or restaurant operation of some 90-100 seats, with potential for some additional outside seating. It has a prominent and attractive location adjacent to the park entrance and opposite the theatre. Consequently, we believe this would be very attractive to a commercial foodservice operator.

6.2 FOODSERVICE FOR COUNCIL EMPLOYEES

There are a number of reasons why an organisation may wish to provide catering for its employees, which include:

● Provides a welfare benefit for employees

● Adds a competitive edge as an employer and assists in recruitment

● Supports healthy eating

● Encourages employees to take a break

● Promotes team building and social interaction

● Supports informal meetings

However, the provision of an in-house catering service will inevitably require a financial subsidy from the client either in the form of a direct subsidy (to cover direct operating costs) or a hidden subsidy (utility, equipment, maintenance and general space costs). With only 200 employees on-site any form of employee foodservice provision will most likely require a sizable subsidy from the Council.

We understand that the Council does not currently provide foodservice for its employees and does not wish to subsidise any future provision. Therefore any foodservice operation on the ground floor of the building will need to operate on a commercial basis and attract external business and revenue to be financially viable.

6.3 POTENTIAL FOODSERVICE CONCEPTS

We have considered the alternative foodservice concepts that could be considered for the Civic Building and appraised their potential appeal to Council employees (and tenant employees) and the likely impact on any foodservice operation in the Theatre. In practice, the Council may have limited direct control over the foodservice operator and service provided dependent on how the space is let. This is discussed further in the following section. For our appraisal, we have used the same broad concepts used in the previous section, which apply equally here.

CONCEPT OPTION APPROPRIATENESS FOR COUNCIL EMPLOYEES

POTENTIAL IMPACT ON THEATRE FOODSERVICE DEMAND

DAYTIME EVENING

Coffee Bar MEDIUM HIGH LOW

Cafe/Deli HIGH HIGH MEDIUM

Cafe Bar LOW MEDIUM HIGH

Casual Restaurant LOW LOW MEDIUM

We conclude that any concept that is appropriate for Council and Tenant employees will impact on the demand for foodservice in the theatre during the day as both will be effectively competing for a similar market.



A casual restaurant will have a low impact during the day as this will provide a different offer to the theatre and demand within this sector is generally low during the day and, particularly outside of lunchtime. It could provide some competition in the evening but one can reasonably argue that this would represent a relatively small increase in capacity within an already established sector, albeit local to the theatre. A cafe bar or wine bar operation would offer more direct competition and would potentially have a greater impact on foodservice demand within the theatre.

6.4 ALTERNATIVE STRATEGIC OPTIONS

Alternative options that could be considered for this space are: 1. Council specify use as Casual Restaurant only 2. Cafe Deli with evening only restaurant or cafe bar in the Theatre 3. No foodservice provided in the theatre and Civic Building foodservice outlet effectively becomes the

theatre cafe/restaurant. It can also support foodservice within both the theatre and the council offices as necessary and appropriate. Under this option, the catering services would be managed under contract by the Council, which would give it greater flexibility and direct control over the services provided than a commercial lease – refer to Section 8.0.

4. Space let for retail use only.



7.0 CALVERLEY GROUNDS

7.1 GENERAL

In this section we have considered the objectives, requirements and options for foodservice within the park itself. 7.2 PARK CAFE

If a cafe service is provided from the Theatre and/or the Civic Building Cafe then we would recommend that the service from the Park Cafe is discontinued. Mobile and “pop-up” catering units can be used during summer months and at weekends when an appropriate demand exists. 7.3 CALVERLEY ADVENTURE GROUNDS

We note that the design for the Calverley Adventure Grounds is by Jennette Emery-Wallis who designed the Princess Diana Memorial Playground in Kensington Gardens. The latter has a very popular and successful foodservice kiosk adjacent to the entrance of the play ground. However, we assume that the usage of the Calverley Adventure Grounds will be significantly lower and not support such a large foodservice facility on a daily basis. Consequently, any foodservice facility will need to have a limited and focused offer and be simple and cost-effective to operate. It will also need to be flexible in terms of opening times and staffing in accordance with both seasonal demand and prevailing weather. A small foodservice kiosk would seem to be the best option with some covered and wind proof seating for parents. The food & beverage services would essentially comprise: snacks, cakes, confectionary, ice cream and hot and cold beverages. 7.4 SPECIAL EVENTS

Catering for special events would essentially continue to be managed as currently with third party specialist mobile and event caterers engaged as required. However, the foodservice provision for these events will need to be considered within the context of the additional bar and catering facilities available in the theatre and the Civic Building cafe. 7.5 PUBLIC TOILETS

The Calverley Grounds facility should, as a minimum, include a unisex disabled toilet, with baby changing facilities. However, in addition to this there is strong consideration for co-locating the main public toilets within the park as well given that this is one aspect of the development that is provided for the use of the general public. In theory, locating (and overtly advertising) the public toilets in close proximity to the food and beverage unit in either the theatre or civic building would generate additional footfall that might in turn generate additional revenue through impulse purchases of drinks or snacks. In our view, locating the public toilets in the Theatre building is unlikely to be a good fit with theatre patrons given that likely users will be families, joggers or similar casual visitors to the park. Any possible minor revenue benefit is likely to be more than offset by the negative impact of non-patrons entering the building. There is arguably greater merit from an infrastructure perspective in locating toilets as part of the civic building, providing they are discreetly positioned. Again, however, we don’t envisage any particular benefits to the F&B operations from this as any cafe or restaurant would require its own toilet provision anyway.



8.0 MANAGEMENT OPTIONS

8.1 GENERAL

In this section we have identified and appraised the various approaches to the management of the individual and overall catering services that can be considered by the Council. 8.2 OPTIONS

There are basically four core options that can be considered, as follows: ● In-house - Under this option the Council would directly manage and operate the foodservice facilities through a

new in-house catering department that would need to be created and developed.

● Franchise - The Council procures the operating rights to an established and successful “branded” concept. This provides ready access to a fully developed concept, marketing and operating procedures and systems together with on-going specialist external support. This would typically involve an initial one-off fee plus an annual variable fee linked to turnover. This option could be either in-house, as above, or operated under contracted management as detailed below.

● Contracted management - The Council would appoint a specialist foodservice management company to operate the foodservices on its behalf. Typically this organisation would have experience of operating within client premises and would usually operate multiple units and dependent on the company could provide some “branded” concepts. The company would be appointed on a fixed term contract, typically including a fixed base rental plus and variable concession linked to sales. The company could invest in the fit-out of the facilities, dependent on the length of contract but this would be reflected in a reduced rental.

● Commercial operator - A specialist foodservice operator, either an independent or a group, would operate within their specialist sector with a branded or unbranded facility. Contract terms would normally be on a lease rental basis for a fixed, extended period of tenure.

Potential Applicability of Management Options

IN-HOUSE FRANCHISE CONTRACT COMMERCIAL

Theatre Bars √ x √ x

Theatre Ice Cream √ x x x

Theatre Catering √ √ √ x

Civic Cafe x x √ √

Park catering √ x √ x

● It is common practice for a theatre to retain ice cream and confectionery sales in-house even if other catering and bar services are contracted out.

● Our experience is that a catering contractor is unlikely to want to operate the theatre catering service independent of the bar service.

The table over page summarises the key benefits and limitations of the respective approaches.



Appraisal of Management Options

MANAGEMENT STRATEGY

KEY BENEFITS KEY LIMITATIONS

Manage ‘In-House’

● Potential for increased financial return to the Council as no fees payable or profit sought by third party and all profits can be invested as chosen

● Direct management control by Council - services can easily be altered or amended at any time

● Ability to multi-task between catering and other roles in the organisation

● No potential for conflict of objectives between Theatre and caterer.

● Increase in Council administration and senior management time and costs.

● Increased financial risk to Theatre if budget targets are not achieved.

● The Council will need to fully finance capital investment

● Council responsible for all related legislative requirements.

● Council would need to set up new catering team and operation from “scratch”.

● Council may require specialist external support to set up catering operation.

Franchise ● No potential for conflict of objectives between Council and caterer

● Access to developed brands, concepts, procedures and systems

● Access to specialist management expertise and support resources

● Reduced development costs ● May increase sales dependent on brand

value

● Lower financial return due to franchise fee ● Brand policies likely to restrict operational

flexibility ● Financial risk still lies with the Council ● The Council will need to finance capital investment ● Ability to secure appropriate franchise

Contracted Management

● Access to specialist management expertise and support resources

● Operational problems are delegated to a third party

● Reduced level of administration and management involvement

● Reduced financial risk ● Potential access to capital investment by the

caterer, if required

● Will require separate facilities unless caterer takes responsibility for bar operation.

● Latter will result in reduction in revenue to the Theatre due to the need to share profit from bars with caterer.

● Potential for conflict of objectives and interests. ● Lack of direct control over operational standards

and quality of the services by Theatre management

● Council’s potential exposure to risk reputation through poor performance of an autonomous third party

● Need for increased monitoring of caterer’s performance by Theatre management

Commercial Operator

As above for contracted management, plus: ● Higher commercial acumen and ability to

market services to general public than contract caterer

● Access to established ‘High Street’ brands ● Potential to engage with existing local

operator ● Full financial risk lies with operator ● Capital fit out by operator ● Requires limited time commitment from

Council senior management.

As above for contracted management, plus: ● No direct control by Council ● Council has limited recourse if operation fails to

meet required standards ● Extended lease period ● Brand polices will reduce operational flexibility ● May focus on individual commercial opportunities

and priorities rather than Council objectives and requirements.

● Ability to secure right operator



8.3 SINGLE OR MULTIPLE OPERATION

A key consideration is whether all the catering and bar services should all be managed by a single operator or if it is more advantageous to involve two or more parties to manage different elements of the services. The main reasons for considering the introduction of multiple providers are: ● If one operator cannot provide the full range of expertise or resources necessary to manage the full range of

services successfully.

● To introduce an element of competition, which promotes a more commercial approach and assists in maintaining and improving in the overall standard and quality of the services provided.

In our experience, having a single operator generally will provide for: ● Simpler lines of communication between the caterer and the Council, which provides for easier management

co-ordination, administration and overall monitoring of the services.

● Optimises requirement for catering support facilities and reduces space and capital requirements, through not having to duplicate facilities.

8.3.1 Theatre

Our experience is that contract caterers are reluctant to take on theatre catering due to generally low profit margins and the high associated risk. In the majority of instances the caterer will want to include the bar operation as part of the contract. In this case it is normal that the ice cream and confectionary operation stays with the theatre. The exceptions are large city centre theatres that are a main attraction, such as the Theatre Royal, Bath or where there is a lack of alternative local commercial competition, for example the Malvern Theatre at Great Malvern. In a few instances, theatres have standalone restaurant facilities that can be viably operated separately by a caterer, for example the cafe bar/restaurant at the Birmingham Repertory Theatre. From a financial perspective, the appointment of a caterer to operate both the foodservice and bars will reduce the revenue received by the theatre from the bar operation, compared to direct operation by the theatre, due to the need to share profit from this service. Consequently, this can result in a lower return to the theatre if the relative profitability from foodservice is low.

From an operational perspective, the decision to appoint a third party caterer will largely be dependent on the ability of the theatre to successfully manage the catering services within the venue, which will in turn be influenced by the scope and complexity of the foodservice concept and services required and the inherent financial risk.

8.3.2 Civic Building

We would not recommend that the Council considers operating the cafe operation “in-house” as this will require experience of managing and operating a commercial, high street foodservice operation. Options for the management of this facility will be dependent on the strategy preferred by the Council, as previously outlined, namely: 1. Council specify use as Casual Restaurant only 2. Cafe Deli with evening only restaurant or cafe bar in the Theatre 3. No foodservice provided in the theatre and Civic Building foodservice outlet effectively becomes the

theatre cafe/restaurant. 4. Space let for retail use only.



Under options 1 and 2, the best option from both an operational and financial perspective is to let the space to a commercial caterer as this will maximise the financial return to the Council and minimise the financial risk of underperformance. However, as highlighted above, this will limit the Council’s direct control and influence over the operation and its recourse if standards fall short of expectations or the operator is seen to be competing unreasonably with the theatre’s foodservice operation.

Under option 3, the catering services could be managed under a concession type of contract by the Council, which would give it greater flexibility and direct control over the services and a shorter contract duration than with a commercial lease. Under this arrangement the caterer could support foodservice within both the theatre and the council offices as necessary and appropriate.

One potential limitation of this approach is the ability to attract a contract caterer that, also, has the necessary commercial experience to operate the cafe/restaurant. There are examples of caterers that can do this, (e.g. Benugo that provide catering at many of the larger museums and visitor attractions but also operates commercial units on the high street and in railway stations), but these are few. Failure to maximise external revenue would reduce the revenue to the Council, compared to a commercial lease, and could increase the Council’s exposure to financial risk. However, the nature of the contract would allow for termination for non-performance and allow for the appointment of an alternative caterer.

8.3.3 Calverley Grounds

Children’s Playground, pop-up, kiosks and mobiles

The simplest, most flexible and financially beneficial approach would be for these catering services to be operated by the theatre’s in-house team. The required services would essentially comprise: snacks, cakes, confectionary, ice cream and hot and cold beverages, which are relatively simple to operate with limited financial risk. These services are an extension of those provided within the theatre. Staff engaged to provide the evening services in the theatre can be utilised during the daytime to operate the services within the park. Thus creating additional employment opportunities. An alternative option is to place these services with a third party operator if engaged for the Civic Building. This would service to increase the potential turnover from this contract and make it more attractive to a potential operator. We would not recommend engaging an additional caterer to provide these services. Special events

Catering for special events would essentially continue to be managed as currently with third party specialist mobile and event caterers engaged as required. However, the foodservice provision for these events will need to be considered within the context of the additional bar and catering facilities available in the theatre and the Civic Building cafe and the capability of the in house team or an appointed third party caterer to provide a proportion of the required services. Potential Management Options

FACILITY/SERVICE A B C D

Theatre Bars

In House

In House

Operator A Concession


Theatre Ice Cream In House In House

Theatre Catering



Civic Cafe Operator A

Concession or Commercial Lease Operator A

Concession

Operator B Commercial Lease

Park catering In House Operator A Concession





APPENDICES



APPENDIX A PLANNED BAR & CATERING PROVISION

Base Scheme

LEVEL M2

Basement 1 Kitchen 30.03

Cold Store 12.31

Ground Goods In

Ice Cream Store 10.23

Staff Changing 30.56

First Floor Stalls Foyer 289.00

Stalls Bar 45.81 Counter Length = 20 m, Service Points = 12-14

Bar Store 1 6.70

Bar Store 2 19.71

Second Floor Circle Foyer 194.72

Circle Bar 25.52 Counter Length = 9 m, Service Points = 6-7

Green Room 60.34

Third Floor Upper Circle Foyer 162.61


Enhanced Scheme

LEVEL M2

Basement 1 (Kitchen) -

Cold Store 12.31

Ground Goods In

Ice Cream Store 10.23

Staff Changing 30.56

First Floor Stalls Foyer 362.00

Stalls Bar 45.81 Counter Length = 20 m, Service Points = 12-14

Bar Store 1 6.70

Bar Store 2 19.71

Kitchen 60.37

Second Floor Circle Foyer 194.72


Green Room 60.34

Third Floor Upper Circle Foyer 162.61


Terrace 126.92 External



APPENDIX B SUMMARY OF LOCAL FOODSERVICE PROVISION

North of Mount Pleasant Avenue

See map over page for locations

REF FOODSERVICE OUTLET CATEGORY COMMENT

01 Park Cafe Cafe Downmarket

02 Carluccio’s Casual Restaurant Italian deli/cafe

03 Pleasant Cafe Cafe Downmarket

04 Kebab Express QSR Kebab & Grills

05 The Barn Public House Pub food

Upmarket restaurant Pre-theatre meal - 2 course @ £9.95

06 Wagamama Casual Restaurant Asian cuisine

07 Strada Casual Restaurant Italian cuisine

08 Cote Brasserie Casual Restaurant French cuisine and grills

09 Cau Casual Restaurant Argentinean cuisine and grills

10 Prezzo Casual Restaurant Italian cuisine

11 The Opera House Public House Weatherspoons – original auditorium interior

12 Patisserie Valerie Cafe

13 Ask Casual Restaurant Italian cuisine

14 Souper Juicer Cafe Contemporary menu – bowl stews, fresh juices, salads, hot sandwiches, vegetarian food

15 La Folia Restaurant Italian cuisine

16 Starbucks Coffee Shop

17 Costa Coffee Shop

18 Prêt a Manger Retail Cafe

19 Caffe Nero Coffee Shop

20 Greggs Bakery/Sandwich Shop

21 Bills Casual Restaurant American cuisine

22 Rustica Cafe Independent, contemporary cafe and coffee bar

23 Hotel du Vin Boutique Hotel Bar & Brasserie





APPENDIX B SUMMARY OF LOCAL FOODSERVICE PROVISION

South of Mount Pleasant Avenue

See map over page for locations

REF FOODSERVICE OUTLET CATEGORY COMMENT

24 Kai’s Kitchen Cafe Thai Cuisine

25 Zest Self Service Restaurant Hoppers Department Store

26 The Black Pig Public House Gastro pub/restaurant

27 Raj Pavilion Restaurant Indian Cuisine

28 The Bedford Public House Traditional Greene King Pub

29 Caffe Nero Coffee Bar

30 Jamie’s Italian Casual Restaurant Italian Cuisine

31 Juliet’s Cafe Independent, contemporary cafe and coffee bar

32 Soprano Wine/Tapas Bar

33 Java Bean Cafe Cafe Independent, contemporary cafe deli and coffee bar

34 Tunbridge Wells Bar & Grill Bar/Restaurant

35 Zizzi’s Casual Restaurant Italian Cuisine

36 Pizza Express Casual Restaurant Italian Cuisine

37 Chapel Place Cocktail Bar

38 Arte Bianova Cafe/Deli Italian delicatessen

39 L’Amore Upmarket Restaurant

40 Fine Ground Coffee Shop Independent espresso bar

41 Cassidy Public House Sports bar

42 Casa Da Claudia Cafe Coffee/sandwich bar

43 Zee Bar Nightspot

44 The Warren Upmarket Restaurant





APPENDIX C CATERING PROVISION IN COMPARABLE THEATRES

Theatre Capacity Foodservice Outlets Opening Times Indicative Menu Offer Indicative Tariffs Quoted USPs

Marlowe, Canterbury

1200 The Green Room Mon- Sat: 9.00am-8.00pm Sun: performance days only

Day time Menu: Sandwiches, soups, salads, homemade cakes

Pre-show set menu: 4 choice of starters, mains, desserts

Sandwiches: £4.50-£4.95 Soup: £3.95 Salads £7.95 2 courses: £16.50 3 courses: £19.50

Informal Atmosphere Barista Coffee Locally Sourced Free WiFi Terrace

Milton Keys 1400 Marlborough Gate

Open 6.00pm Bistro Menu: Soup/Flatbread Sharing Platters (2) Mains (8) Desserts (4)

Soup/Flatbread: £4.95 Sharing Platters: £14.95 Mains: £7.95 - £11.95 Desserts: £4.25

Ambassador Lounge

Wines & alcoholic beverages only £15 / £45 package deals

Theatre Royal, Norwich

1294 Kemp's Restaurant Mon-Sat: 9:30am – late Sun: 2 hours before the performance Dinner menu from 5pm before the performance

Lunch: Sandwiches, wraps, burgers, pasta Dinner: A-la-carte menu (Choice of 5 starters, mains and desserts)

Starters: £3.50 -£9.00 Main: £11.00-£15.00 Desserts:£5.25 - £7.00

Locally sourced food Theatre tour menus Full service restaurant and buffet Children facilities

Adnams Circle Bar & Buffet

Mon- Sat: 12.30pm before 2.30pm the performance 5.30pm before 7.30pm the performance

Jacket potatoes, rice, soup, sandwiches, cakes, potato wedges, salad Alcoholic and non-alcoholic beverages




White Rock, Hastings

1470 Bistro Café 2hours before the performance

Starters: Flat breads Main: Fish & chips, burgers, salads Desserts: Fruit crumble, ice cream

Starters: £6.55 Main: £8.00-£10.00 Desserts:£4.95

Children's Menu

Everyman, Cheltenham

694 Café Everyman (Cafe Bar)

09.30 am until 5.00 pm Serving food until 02.30 pm

Breakfast: Hot bap, eggs, toastie Lunch: Sandwiches, toasties, soup light snacks: Jacket potatoes Barista coffee & cakes Wines. Beers & alcoholic drinks

Breakfast: £2.95-£3.50 Lunch: £2.95-£7.00 Light snacks: £4.00-£5.75

05.30 pm before the performance

Evening menu of hot dishes and sharing boards Meal deal: Choice of 3 mains and 3 desserts

2 courses for £11.00

Yvonne Arnaud, Guildford

600 Riverview Restaurant

Open prior to matinee and evening performances Afternoon Tea

A-la-carte menu (Choice of 4 starters, 5 mains and 4 desserts) Set menu

Starters: £4.95-£6.00 Main: £14.50-£17.00 Dessert: £6.00 £21.95 for 2 courses £24.95 for 3 courses

Locally sourced Seasonal menus Riverside setting Garden terrace Toy box for children Package deals Members club Riverbank Café and

Brasserie Mon-Sat: from 10.00 am Hot food until 30 minutes prior to the evening performance.

Brunch 10.00 am to 3.00 pm Toasties, paninis, salads, baked potatoes, main meals, light snacks, quiches, children’s’ meals

Toasties: £2.00 - £2.50 Panini: £6.00 - £7.00 Mains: £8.95- £12.00 Salads: £7.00 to £8.50 Light Snacks: £4.00-£8.95 Childrens’ Meals £5.00 Afternoon Tea: £4.50 -£10.00

Vanbrugh Club (Members Club)

Order food before 8.00 pm day prior

Light bites Sandwiches Seasonal platters

Light bites: £3.75- £4.75 Sandwiches:£5.25 - £6.50 Platters: £6.00-£14.00




Waterside Theatre, Aylesbury

1200 Waterside Cafe 10.00am – 2.00pm Opens until 7pm on performance days

Breakfast: Wraps, sandwiches, bespoke breakfast Lunch: soup, jacket potatoes, sandwiches, salads, Afternoon tea, Cakes, pastries, Kids menu

Breakfast: £2.95 -£3.95 Salads: £4.50 - £6.45 Sandwiches £4.95 - £5.45 Cream tea: £5.45 Kids lunch box: £3.95

Locally sourced All day breakfast Free Wi-Fi Children’s’ Lunch BOX

Documents

CATERING REPORT - Residents - Tunbridge Wells … · · 2017-02-16CATERING REPORT K. TUNBRIDGE WELLS CIVIC CENTRE FOODSERVICE FEASIBILITY STUDY Draft Issue 03 1st December 2016