The Real Greek restaurant chain has been partially rescued from administration after Karali Group purchased 19 of its 28 outlets. The deal will save 358 out of 509 jobs, but nine locations are set to close.
The closures include sites in London, Bristol, and Scotland. The central kitchen operation will also shut down as part of the restructuring. The Real Greek’s last accounts indicated an operating loss of £3.6 million.
The Real Greek was founded in London in 1999. It became a staple in the UK casual dining scene, known for its Mediterranean cuisine. However, the hospitality sector faces significant challenges due to rising costs and inflation.
Fulham Shore, which owns The Real Greek and Franco Manca, planned to appoint administrators before the rescue deal was struck following the administration of Toridoll, its parent company. This situation reflects broader economic pressures affecting dining establishments across the UK.
Key facts:
- The Real Greek has 19 outlets remaining open after the rescue.
- A total of 28 outlets existed prior to the deal.
- Nine locations will close as part of the restructuring.
- 358 jobs will be saved while 151 jobs will be lost.
- The operating loss reported was £3.6 million.
Marcel Khan from Karali Group stated, “The transaction will ensure that the business is placed on a more sustainable footing for the future.” Paul Berkovi added that they worked closely with management to secure a future for a beloved restaurant group.
The challenges faced by The Real Greek highlight ongoing economic impacts on dining. Rising energy and food prices, along with increased labor costs from minimum wage hikes, have created a difficult operating environment for many in the hospitality industry.
