Retail and Hospitality at Stations

[AndyTS]

How does it work?

Who receives the rent, the TOC?

If it is profitable why isn't the TOC converting more redundant spaces on platforms?

I am curious, as many medium size stations are poor once you are through the ticket barriers.

 

[Deafdoggie]

How does it work?

Who receives the rent, the TOC?

If it is profitable why isn't the TOC converting more redundant spaces on platforms?

I am curious, as many medium size stations are poor once you are through the ticket barriers.

Normally rent goes to the station operator. Rents are high, so you have to charge high prices to recoup the cost, but in turn this leads to less customers.
We were looking at station premises, the footfall is reasonable and we could just about make ends meet our initial projection. We spent a while considering it, then the rail strikes started and footfall dropped off so we didn't do it and went with town centre location instead.
That's the other issue, of course, you're reliant on things outside you're control. The premises remain empty.

 

[Bishopstone]

On the railway side of the ticket barrier, you’re thinning your potential customer base from ‘everyone in town’ to ‘rail users only’, which in practical terms restricts you to ‘food on the go’ operations.

On the public side of the barrier, many stations suffer from not being located in the traditional shopping areas of towns (which are themselves in decline), and the Victorian premises are not what retailers are looking for - the fit-outs would be complicated. I can think of a few stations where professional service firms (local accountants and surveyors etc) are tenants, in office use, but I’m guessing the passing rents are very low because poor quality office space is in over-supply.

Then there’s very niche retailers like the coin and medal emporium at Bromley North, who must rely on a combination of low rents and equally niche customers who know where they are, because there’s little passing trade.

The way to make money from property at larger railway stations is to knock down what’s there and build residential towers, which would be well-connected by public transport. But mention of re-development and ‘greedy developers’ sends people apoplectic.

 

[The exile]

The way to make money from property at larger railway stations is to knock down what’s there and build residential towers, which would be well-connected by public transport.

… but whose residents would soon be complaining about train-noise, announcements, bright lights etc etc etc!

 

[Thirteen]

I assume it's similar to an airport in terms of rent, it's much more expensive to dine at an airport compared to elsewhere. I watched a video from Wendover Productions about how Heathrow makes its money and a fair chunk is from retail and hospitality.