Modern Café & Dessert Business

LOTUS CLUB
278 Cambridge Heath Road, London, E2 9DA

OFFERS IN THE REGION OF £79,950

PLUS STOCK AT VALUATION (SAV)

BUSINESS OVERVIEW

LOTUS CLUB presents an opportunity to acquire a modern and highly adaptable café and dessert business positioned within a busy and densely populated area of East London. Established in 2022, the business has quickly developed a loyal local customer base and benefits from strong repeat trade, substantial pedestrian footfall, and excellent visibility from its prominent roadside trading position.

The business currently operates as a café and dessert venue specialising in premium coffee, bubble tea, gelato ice cream, waffles, sandwiches and desserts. In addition to walk-in trade, the business generates further revenue through established partnerships with Uber Eats, Deliveroo and Just Eat, providing multiple income streams and increasing overall customer reach.

The premises have been extensively fitted out to a modern standard with a stylish customer-facing environment and include a recently constructed mezzanine level complete with private bathroom facilities. This additional space creates further operational flexibility and could potentially be utilised as a beauty treatment room, office, barber station, storage facility or additional seating area, subject to any necessary permissions.

The business occupies a highly desirable trading position close to Cambridge Heath Overground Station and benefits from surrounding offices, bars, restaurants, residential developments, art studios and nightlife venues, creating consistent daytime and evening customer traffic throughout the week.

The owner is now offering the business for sale due to non-related business interests and health reasons.

LOCATION

LOTUS CLUB occupies a strong and highly visible trading position on Cambridge Heath Road within East London, an area well known for its vibrant independent business scene, strong hospitality sector and exceptionally high levels of pedestrian activity.

The premises are situated directly beside bus routes and within less than one minute of Cambridge Heath Overground Station, providing excellent accessibility for commuters, local residents and visitors alike. The surrounding area includes a substantial mix of residential housing, commercial offices, creative studios, restaurants, bars, pubs and late-night venues, all contributing towards strong and consistent footfall throughout both daytime and evening trading hours.

The business also benefits from its close proximity to a major cash and carry wholesaler, local business centres and densely populated residential developments, further strengthening the long-term sustainability of the trading location.

East London continues to benefit from ongoing regeneration and investment, making the area increasingly desirable for independent hospitality operators.

BUSINESS OPPORTUNITY

The business offers substantial future growth potential for an incoming purchaser and would suit both experienced hospitality operators and first-time business buyers seeking a manageable turnkey operation.

Whilst currently operating as a café and dessert business, the premises offer flexibility for a wide range of alternative hospitality, takeaway or retail concepts, subject to any necessary permissions.

Potential opportunities include:

Extension of opening hours
Expansion of delivery operations
Increased social media and influencer marketing
Introduction of hot food offerings
Addition of evening dessert lounge trading
Alcohol licensing opportunities
Bakery or takeaway conversion
Pizza, burger, kebab or grill operation
Rental income from mezzanine area
Beauty, barber or aesthetics use on mezzanine level
Expansion of catering and event services
The mezzanine floor provides a particularly attractive feature, creating additional commercial value beyond the core café operation.

The landlord is described as supportive and the lease is reportedly renewable, providing future operational stability for an incoming buyer.

TENURE & TERMS

Tenure: Leasehold
Original Lease Length: 7 Years
Lease Remaining: Approximately 3 years remaining with renewal potential
Rent: £15,000 per annum
Business Rates: None payable

The premises are presented to a high standard throughout and include a newly installed mezzanine floor with private bathroom facilities.

STAFFING

The business is currently owner-operated with the assistance of one part-time staff member, keeping staffing overheads relatively low and manageable.

The business would suit either:

An owner-operator seeking strong personal income
A family-run operation
An investor seeking a manageable hospitality business
An operator wishing to diversify the concept further

FIXTURES & EQUIPMENT

A substantial range of fixtures, fittings and commercial equipment are included within the sale, with the owner advising that the majority of equipment was purchased new.

The estimated replacement value of the fixtures and equipment is approximately £45,000.

Included equipment comprises:

Commercial coffee machine
Professional coffee grinder
Large food display cabinet
Gelato freezer
American fridge freezer
Multiple under-counter fridges and freezers
Panini grills
Waffle maker
Gelato press
Bubble tea sealing machinery
CCTV system
Customer seating and tables
General café fixtures and fittings
The business is fully operational and capable of immediate continuation without requiring significant additional investment.

MARKETING & DIGITAL PRESENCE

The business benefits from strong organic visibility due to its high-footfall trading position and surrounding commercial activity.

LOTUS CLUB also benefits from established delivery platform integration with:

Uber Eats
Deliveroo
Just Eat
The business generates repeat trade from local residents, office workers, students, commuters and evening customers from the surrounding hospitality venues.

There remains considerable scope to further increase turnover through:

Enhanced social media activity
Influencer partnerships
Paid online advertising
Expanded delivery radius
Loyalty schemes
Evening promotions and events

FINANCIAL INFORMATION

The business currently generates:

Annual Turnover: Approximately £78,000

Net Profit: Approximately £30,000

The business demonstrates healthy profitability for an owner-operated café and dessert model, particularly given the relatively low overhead structure and no business rates liability.

The business also benefits from:

Low staffing overheads
Strong gross margins on desserts and beverages
Established delivery revenue streams
Minimal ongoing capital expenditure requirements
An incoming operator may be able to further improve profitability through:

Extended opening hours
Increased delivery sales
Expanded menu offerings
Improved marketing activity
Greater utilisation of the mezzanine space

WHY THIS BUSINESS STANDS OUT

Prime East London trading location
Exceptionally strong footfall
Modern turnkey fit-out
Valuable equipment base
Mezzanine addition and flexibility
Strong surrounding commercial activity
Established delivery platform integration
Low overhead structure
No business rates liability
Growth and diversification potential
Established customer base
Attractive lease terms
The asking price further reflects the flexibility of the premises for a range of alternative hospitality or retail concepts, increasing buyer appeal and future operational potential.

RECOMMENDED ASKING PRICE

OFFERS IN THE REGION OF £79,950

PLUS, STOCK AT VALUATION (SAV)

The asking price reflects the business’s modern presentation, strong trading position, equipment value, profitability, operational flexibility and future growth opportunities.

NEXT STEPS

All enquiries are strictly confidential, and viewings will be arranged by appointment only.

Goodwins Business Brokers
1 Phoenix Riverside, Sheffield Road, Rotherham, S60 1FL
Tel: 0330 236 7030
Email: hello@goodwinsbrokers.co.uk