50+ Bars in CP are on the verge of shutting down

50+ Bars in CP are on the verge of shutting down 25

Connaught Place or more commonly referred to as CP is going through a major setback. It is bad news for all the party animals as CP is the backbone of clubbing and partying.
More than a dozen restaurants, bars, and cafes have left Connaught Place and sources say that 50 more are on the verge of shutting down because of high rents, new guidelines of reduced operating hours, and ban on serving alcohol. Most of the restaurants have not been able to pay their rents in the past three months and all negotiations with landlords have come to a dead end. Several restaurants have remained closed since March, despite government guidelines to open, as the situation is not suitable for business right now. To tackle this situation, restaurateurs are now suggesting that outdoor dining should be allowed in CP again as it could enhance capacity while ensuring social distancing.
Kuldeep Singh Chauhan, a real estate agent in Connaught Place, who works with restaurant owners, say negotiations between the landlord and the businessmen, who want to rent to be waived off and shift to revenue-sharing model, have reached a dead end. “As many as 20 restro-bar owners have already conveyed to their landlords that they are shutting. They have approached me to help them in finding buyers for their set-up such as kitchen and furniture,” says Chauhan.
“A majority of landlords have served legal notices for failing to pay rent for the past three months. Restaurants are paying anything between ₹6 lakh to ₹20 lakh a month in CP depending on the size of the property,” says Dinesh Arora, president, Delhi Restaurants & Clubs Association, who also owns Unplugged Courtyard, a popular restro-bar in Connaught Place. “Half of the restro-bars in CP will shut in the next couple of months.”
Experts feel that the coronavirus pandemic is going to bring about a ‘churn’ in CP. “Many of the fashion stores will move out; and CP would see food & beverage ventures in a new format such as high-end liquor stores. Besides, there could be many electronic stores, a segment that is currently doing very well. A high-street like CP will recover soon as it is possible to control the store environment there,” says Anuj Puri, chairman, Anarock, a retail and real estate services company