Reality checks are the order of the day in forecourt retailing, according to Paul Jervis, managing director of Yorkshire-based Action Stations, and vice chairman of the PRA, who has just sold seven of his nine sites to United Co-operatives.
“Oil companies won’t be buying sites or offering terms that will insulate the dealer against over-aggressive hypermarkets who dominate the market with no regulatory control,” he said, explaining the reasons behind the sale.
“All our shops have, or have the potential to be, 2,000sq ft stores, so the decision was either to invest further in the sites or allow others with a trusted brand name and a considerable margin enhancement capability to realise the full potential of the
network. United Co-op fits that profile.”