In my experience, the physical space a food and beverage (F&B) business occupies can significantly impact its success. Thoughtful property and construction choices by developers can make a substantial difference to a tenant’s ability to attract and retain customers and generate turnover.

1. Right-Size the Tenancy

Choosing the correct tenancy size is essential in the F&B industry, as it directly impacts both the tenant's operational needs and the customer experience. The ideal sizes for different F&B concepts are:

• Takeaway: 60-80sqm - A smaller footprint is ideal for takeaway-focused businesses where space for seating is minimal and thus overheads can be reduced.
• Café: 90-140sqm - Cafés thrive with room for internal and external seating, allowing customers to enjoy a more relaxed atmosphere. That split of internal and external seating also allows for trade to occur in all weather conditions.
• Restaurant: 150-300sqm - Standard suburban restaurants (60-100+ patrons) typically need this amount of space, though larger “super-restaurants” can exceed it.
• Tavern: 800-1500sqm - Taverns benefit from multiple areas catering to different customer needs, including spaces for families, sporting lounges, and often playgrounds, which are increasingly in demand by parents seeking a moment of refuge.

By aligning the space with its intended purpose, developers help tenants maximise their operational efficiency and customer experience.

2. Maximise Natural Elements for Outdoor Tenancies

For outdoor-oriented F&B tenancies, incorporating and blocking certain natural elements can enhance the customer experience while protecting tenants’ operations.

• Wind Protection: The afternoon sea breeze can disrupt business for months on end if the outdoor space isn’t shielded. Windbreaks, either through the building itself or a barrier, can be a game-changer and allow a tenant to utilise their space year-round.
• Sun Exposure: North-facing tenancies allow sunlight to stream in during the winter, allowing patrons to sit comfortably outside, even on cooler days. In WA, this also helps with the wind protection as it protects against the Fremantle Doctor, which can significantly impact afternoon trade in exposed locations.
• Views: Spaces with scenic views naturally draw more visitors. When possible, prioritise sight lines and layouts that capitalise on natural surroundings - views over bodies of water, hills or cityscapes are some of the most common.

3. Provide the Right Services

The needs of an F&B tenant differ significantly from those of other commercial tenants, especially in terms of utilities and services.

• Gas: Many kitchens rely heavily on gas-powered cooking equipment, making a steady gas supply a priority for most F&B spaces. 
• Grease Trap: Essential for any operation preparing more than a few simple toasties, a grease trap is legally required and critical for handling the grease produced by cooking. Smell and emptying can be an issue, so it’s always advisable to put the grease trap away from customers.
• Electricity: Power needs vary depending on the type of eatery. Simple establishments might operate on 80 amps, but many will require 100-200 amps to support cooking equipment, fridges and freezers, lighting, and HVAC systems.
• Mechanical: Air conditioning and exhaust systems are non-negotiable for F&B spaces to ensure a comfortable and safe environment for both staff and patrons. Provisioning for exhaust louvers above the kitchen will also reduce smells permeating too far out into the space.
• Water: Adequate water pressure is vital, as kitchens often need to run multiple taps simultaneously (especially during peak times).

By ensuring these essential services are built into the tenancy, developers set their F&B tenants up for smooth, uninterrupted operations.

4. Ant Trail

The ‘ant trail’ is any well trafficked pedestrian area i.e. the office workers walking along St Georges Terrace in the morning, the coastal walk path along West Coast Highway, or the path out of a busy train station. A tenancy with exposure to the ant trail is likely to fare better due to the sheer volume of potential customers walking past, and this will generally result in a higher market rent.

Example - Riviere by Edge

The Edge development that is under construction in Applecross, Riviere, is a great example of making the most of many of the points above. The F&B tenancies are north facing, with a view over the river, along a popular ant trail, and it has a range of sizes to suit operators.

Having said all of that, the most important part of any F&B operation is providing good fare, good service and a good atmosphere. Operators that can achieve that can usually make their business work in locations that don’t have all of the above characteristics, but they’ll still benefit from thoughtful property and construction choices.