Why it works: Papa John’s creates win-win for landlords

Pancholi: we aim to create a win-win with landlords

As a brand, Papa John’s goal is continued expansion.   

Amit Pancholi UK director of business development, Papa John’s UK explains: “We look to be where our customers are, so as well as growing our presence in towns across the UK, we are also adding new ‘non-traditional’ locations for our stores such as holiday parks, leisure venues and stadiums. Some of our customers get their first taste of our great, freshly baked Papa John’s pizza, made with the finest ingredients, while they are on holiday or during a day out. They may not have a Papa John’s near them, and we want to be able to ensure they can enjoy the experience of sharing their favourite pizza with friends and family on holiday or at an event, and in their hometown too.

“Finding the right store location and area is essential. Because the majority of our business is pizza delivery, it is important that our traditional stores have good parking for our drivers and also any customers visiting the store. We are looking for units between 1000-1200 square feet and locations or parades at the edge of towns work well for us.  However, there is significant competition for such prime units.  

“We will consider any property types that are suitable for us to implement an efficient store layout and have the operational advantages of good car parking. The types of property we pursue often have a retail use and this requires us to submit planning applications to change the permitted use to Sui Generis (Hot Food Takeaway). We work closely with planning authorities to ensure we provide all the necessary information.

“We want to ensure planners and the community are comfortable with our offering before we proceed. We bring employment to the area which usually means the creation of 15-30 new jobs. Papa John’s has a programme of community engagement including support for local football teams and we encourage our franchisees to get involved in local charitable projects too. We want to become integral to the communities we serve, always aiming to give back where we can.

“As a brand, we also provide national community contributions too. For example, in 2020/21 we partnered with Pennies to give customers the option of donating a few pence to charity when they pay for their pizza online, contributing over £300k since launch to support Save the Children, Crisis, Macmillan Cancer Support, Bumblebee Conservation Trust and The Trussell Trust amongst several other well deserving causes.   

In addition, the We are Limitlesscampaign, launched by the Papa John’s aimed to shine a light on how each para-athlete ambassador has overcome challenges they’ve faced, raising almost £250k for ParalympicsGB.”

Why it works

“We aim to create a win-win with landlords.  Papa John’s GB Ltd’s name goes on each contract lease. We typically sign a 15-year lease with a tenant break option after 10 years, guaranteeing income and providing certainty for property owners during that time.

“This company covenant strength provides strong investment value for landlords and confidence in their tenant.  Landlords also have a direct route of communication with our Estate team offering real peace of mind throughout the term of Papa John’s occupation. Additionally, Landlords benefit from Papa John’s being a leading international brand – our new store shop fitting specification is of a high standard and is something to be proud of.

“We work with a range of landlords including large, well known property owners but we are also flexible and happy to work with single site landlords. If the location is right for us, we can offer a secure income which benefits all concerned.”

Non-traditional premises 

“We are expanding in the holiday resort sector. We already partner with some leading ‘staycation’ brands and are looking to grow this area of our business. It means holiday makers can add to the fun and share the treat of Papa John’s pizza with family and friends ensuring their break is even more special.   

“Stadiums will be huge for us in the future. We already partner with MK Dons and Burnley Football Club.  We aim to add more stores in these sorts of non-traditional venues in the coming years. Pizza brings people together and adding a hot quality food offering in the form of Papa John’s known for its “BETTER INGREDIENTS. BETTER PIZZA.” concept where only the freshest, finest ingredients are used for a better flavour, means everyone can enjoy their favourite pizza to make the most of matchdays. Venues can also add a valuable new revenue stream.

“Options for resort operators, stadiums and other leisure venues are flexible and can mean a full store or mobile unit depending on requirements.”

Innovation

“Innovate to win is one of our core values!   Looking for innovative ways to serve our valued customers better drives us to look for new opportunities. For example, we are currently exploring the dark kitchen model. It means orders will still be received by a main store but serviced from an unbranded location enabling us to deliver quality hot food faster to our customers on the other side of town. We are open to discussion with landlords interested in pursuing this model.”

For landlords interested in working with Papa John’s please see: www.papajohns.co.uk