Scarborough Beach Bar has been thrown a lifeline, with insolvency specialist WA Insolvency Solutions selling the company to hospitality operator the ARK Group, which currently operates venues including The Generous Squire and Market Grounds.
Scarborough Beach Bar has been thrown a lifeline, with WA Insolvency Solutions selling the company to hospitality operator the ARK Group, which currently operates venues including The Generous Squire and Market Grounds.
The Beach Bar went into administration in July, and has continued to operate during an expression of interest process, which received 39 submissions.
At the time, administrator Jimmy Trpcevski blamed foreshore redevelopment delays for the bar’s dire financial position, saying the establishment had missed the vital summer season.
“It’s business as usual, and the bar will continue to trade,” Mr Trpcevski said.
“And not only has the Ark Group employed the approximately 20 full-time and casual staff, the sale also provides a better return to the secured creditor, ANZ Bank, and employee entitlements.”
ARK Group operations manager Adam Kapinkoff told Business News the group was looking forward to giving customers of the Beach Bar a special experience.
“We’re just continuing to trade at the moment, take a look at the space, and take a look at the offering of the staff … we’ll be looking to evolve the space over the next two to three months,” he said.
Mr Kapinkoff said he was confident the business would be prepared for a busy summer season.
“Financially, the venue and operation is pretty stable,” he said.
“The redevelopment in Scarborough is done, there’s more activity in the precinct, there’s families, there are people looking to eat and drink.
“What we need to manage a bit better is the cost basis, and the expenses from what they were previously.”
Mr Trpcevski said there had been strong support from staff and patrons during the administration process.
“We sincerely thank everyone for their support over the past four months,” he said.
“It has enabled the company to continue to trade during this time and ensures a smooth transition for the new owners.”