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Victoria BC Recession Proof Business For Sale Owner is Retiring

By Fred Carver Real Estate Consulant

Industry Observer with Retired BC Realtor

May 05, 2009 04:02 PM

Victoria BC Business For Sale

Long Running Night Club Cabaret

With a Mall Retail Liquor Store

$$$$

Location

Located in the Municipality of Esquimalt. The Night club has been in the existing location since 1958. This Club first started out as a banquet hall and obtaining a Liquor License in 1974. It is located in the highest residential area in the Municipality of Esquimalt in Victoria BC. It is centrally located next to the Esquimalt business district of Head St.

The Economy

Esquimalt is the Largest Military Base on the West Coast of Canada. The Base currently employs about 6000 plus service and support personnel. The Carlton has benefitted from the steady income of service personnel frequenting the business.

The Population

Esquimalt’s population is about 20,000. Esquimalt has the most potential for future development due to its location to Victoria, surrounded by expensive waterfront, the recent plans for Dept of National Defence to liquidate Macaulay lands which could expand Esquimalt’s population about 6000 to 26000.

Competition

The Club has no competition in the Municipality of Esquimalt for a Cabaret. The Tudor House Pub located at Esquimalt and Admirals Rd. caters to sports clientele. The Cambie or Halfway/Esquimalt Inn cater to after work Blue Collar Pub. The Gorge Point Pub has a higher end pub that primarily operates as a food primary for lunches and dinners. The Municipality of Esquimalt will not allow any more Liquor Primary Licenses in the Municipality.

Past Profits

In 1988 the business produced net profits of $350,000. per year including management salary.

Future Potential

When the current owner first purchased the Cabaret in 1988, he worked the business every night and was able to produce monthly net profit of $35,000. With consistent promotions and hands on approach the business should produce similar profits.

Industry Trends

Night Clubs, dancing and a place for younger clientele to meet will never go out of style. Darker night club environment are very desirable and this Cabaret is the only one to offer this format in Esquimalt. Singles by nature like to socialize and meet other singles.

Assets

Currently the business has around $160,000 in assets and producing a net of about $100,000 per year. The Owner have not worked the business for around 3 years and reduced the nightly operation from 6 nights to 3.

Rock And Roll in Victoria

Floor Plan

The Cabaret is 3000 Square Feet of space. It consists of one full function bar with two stations. One is a service station and the other is a server station.

Inventory

Liquor Inventory:$12,000.

The Cabaret Club owns all of its equipment with the exception of one teddy bear dispenser and some ornamental items. It is fully equipped with audio visual equipment.

The Hospitality Market

Sweet Water/The Deep recently sold for $250,000. The night club had no goodwill. Wastelands Cabaret sold in 2000 for around $450,000. The Boom Boom Room just sold for $300,000. The price was reduced due to the Landlord would not renew the lease as a Cabaret.

Staff

The business is fully staffed with regular and part-time employees.

Note: This Business is being Sold in Conjunction with another Business, a retail Liquor store located nearby in a Strip Mall between a Large Grocery Store and major Bank, both Business are included in the Purchase Price of $1,600,000, which should see a investment payback of 4 years with the Current net income for both at $400,000 Per Annum. Long Term Leases are Available in Both locations.

Contact Fred Carver with Re/Max Camosun in Victoria BC to find out more and to purchase this excellent Business Venture opportunity in Victoria BC. This maybe a great Family Business with Mum and Dad managing the Retail Liquor outlet and Son or Daughter Managing the Cabaret.

Web Site: Night Club and Liquor Store For Sale In Victoria

Original Source Victoria Real Estate Blog