Scottish & Newcastle (S&N) has put its portfolio of 1,450 pubs, restaurants and lodges up for sale, including its Chef & Brewer and Premier Lodge chains.
The move comes after a four-month period of negotiation to sell half of S&N's property assets to Nomura in an innovative sale-and-manage-back deal (Caterer, 17 April).
S&N, the UK's biggest brewer, has decided to move out of property to release cash for its international brewing empire, and has announced its intention to acquire cider-maker HP Bulmer and Portuguese brewer Central de Cervejas.
S&N's retail division is likely to command a price of £2.3b, although it could be lower, reflecting the supply contract that S&N is hoping to gain as part of the deal.
The company says that its property empire will be sold through an auction, with completion by the year's end. Interested parties are thought to include leisure entrepreneur Hugh Osmond and the Laurel Pub Company.
The estate has average sales per unit of £14,000 per week, with a significant bias toward food-led and suburban locations, notably with the Chef & Brewer chain.
Premier Lodge is the third-largest budget hotel brand in the UK, with 8,200 rooms. In the year to April 2002, the retail division made an operating profit of £272m.