F&B · 6 min

The Real Cost of Poor F&B Planning

How early decisions compound into operating cost.

In hotels, mixed-use developments and destinations, food and beverage is often planned late — after the building, the layout and sometimes the brand have been fixed.

The consequences are expensive. Kitchens are placed where space remains rather than where operations need them. Back-of-house routes cross guest areas. Outlets are sized by architecture rather than demand, leaving too many seats in one venue and too few in another.

These decisions are permanent. Once built, a poorly located kitchen adds labor to every service for the life of the asset. An oversized outlet carries occupancy and staffing cost it can never earn back.

Early F&B planning reverses the sequence. It starts with demand — who the guests are, what occasions they need — then defines the outlet mix, concepts and capacities, and only then informs space planning and kitchen design.

It also connects F&B to the asset strategy. In many developments F&B is the driver of footfall, dwell time and rental value, not an amenity. Treating it as such changes how it is planned and funded.

The cost of early advisory is small relative to the capital involved. The cost of late planning is paid every day the asset operates.

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