Milk & Sugar has stopped marketing its popular Central Square cafe in central Cardiff.
It occupied space on the ground floor of the 1 Central Square office building in October 2016. However, despite entering into a reduced rental agreement with landlord Aerium during the pandemic, the company, Milk & Sugar Central Square Ltd – which is a separate entity from Milk & Sugar’s still trading other businesses – said the site could not be made viable.
In a notice about the shuttered space, he said the move was not “our decision” but that of the building owner who exercised a right to repossess the space under the lease.
Milk & Sugar said: ‘We have listed to the owners’ new agents the many reasons why we think this building should have a fantastic ground floor facility as part of the main building, even more so now during this malaise constantly in the workplace. .
“But as a business entity, in a mostly empty building, the financial amounts, while small, are still too big to make it work. 12 months from now may have been a different story.
“We have absolutely loved being here and looking after you all for almost seven years and the friendships we have made with people will last for many years to come.”
In the open letter from the owner of Milk & Sugar, Tim Corrigan added: “This was my second store in 2016 thanks to Blake Morgan (law firm and first tenant at 1 Central Square) and Paul McCarthy (general manager of the property development company Rightacres and the developer of the wider Central Square project).
“We don’t know what agents have in store for the space, but we hope it’s something you enjoy.”
Property consultancy firm Knight Frank has been appointed by the owner to find a new tenant for the space, which is expected to see strong interest from other potential restaurant/café operators.
Other Milk and Sugar sites include those at Cardiff’s Eastern Business Park, Merthyr Coach Station and Cardiff University’s new social science campus. It also has a cafe in the capital’s Pontcanna area, as well as workplace catering services for other clients, including law firms Geldards and Hugh James in their Cardiff offices.
Luxembourg property fund manager Aerium acquired full ownership of the 134,000 square foot Central Square office building in a £51million deal from L&G in 2017.