This project involved:
Case Study Background
Denmark Hill station is a busy commuter station in south east London. As well as rail passengers, it serves staff and visitors to Kings College and Maudsley Hospitals which are a short walk away. Southeastern, in conjunction with Network Rail, undertook a number of major improvements to the station environs in 2013, primarily to address poor level of accessibility but also to improve the retail offer and ticket office facilities.
In 2013, the only retail available on the station was a small coffee kiosk located in the main booking hall. The kiosk had been trading since 2008 but paid a rent that was well below market expectations, had not been reviewed for at least 5 years and did not include a turnover provision. There was little in the way of local retail facilities except for the limited offers available in the hospitals.
The redevelopment of the station saw the conversion of the former ticket office and ticket hall into one large retail unit. The unit was offered to the market in spring 2013. Ten bids for the unit were received and terms were eventually agreed with Flying Coffee Bean (FCB), who were already established on a number of other stations in the south east. After some additional delays to scheme delivery, the tenant was finally able to commence fitout works in February 2014 and commenced
trading in March that year.
At the time of the development, annual footfall on the station was just under 4 million. Thanks to improvements to the rail service, particularly the London Overground service which began serving Denmark Hill in 2012, annual footfall had increased by nearly 75% by 2018.
Revenue from the retail unit saw just as meteoric a rise. In the five years since FCB commenced trading in 2014, rent paid to the Landlord from this site had increased by 4,690% and customer experience of the station had been greatly improved both in quality and availability of a top-class retail catering facility.
Our input
- Design advice to client as to how to maximise income potential and enhance the customer experience from the new facility including providing solutions to deal with revenue protection concerns and ensuring adequate storage and unit services were provided
- Analysis of informal tenders and recommending the successful bidder to the client based upon a detailed scoring matrix
- The tender had generated a high level of resistance from the incumbent tenant, including the running of a public petition. AmeyTPT worked closely with the client to manage the large number of negative responses received
- Worked with both client and tenant during the construction phase, including assisting with the submission of the listed building consent application to Southwark Council and liaising with local station teams to align the tenant requirements with operational priorities.
Deliverables
- Flying Coffee Bean were an established high-quality coffee operator already present on a number of other stations including Brighton and Haywards Heath. They provided the best financial offer, coupled with a wide-ranging, high-quality range of products and an excellent fitout proposal
- The end result was the delivery of a retail unit which has delivered huge commercial returns to the landlord and an efficiently run, welcoming station facility which has proved extremely popular to local residents and commuters alike