Historic Regent Street Restaurant Faces £5 Million Pound Battle With Crown Estate

Britain’s oldest Indian restaurant, Veeraswamy, is embroiled in a high-stakes legal dispute with the Crown Estate over its prestigious Regent Street location, potentially facing relocation costs of £5 million.

The Michelin-starred establishment, which has occupied Victory House near Piccadilly Circus since 1926, is confronting eviction as the Crown Estate pursues renovation plans for the building’s upper office spaces. The property company’s proposed modifications include demolishing a crucial wall that provides access to the restaurant, effectively rendering the venue inoperable.

Ranjit Mathrani, the 82-year-old co-owner of MW Eat which operates Veeraswamy, has described the Crown Estate’s approach as “disingenuous” in recent court filings. Despite suggesting multiple compromises, including shared entrance arrangements and relinquishing the first floor whilst retaining the basement and mezzanine levels, Mathrani’s proposals have met with resistance.

The restaurant, which currently pays £205,000 in annual rent, has expressed willingness to match future office tenant rates post-renovation. The legal battle’s outcome may hinge on the court’s interpretation of “substantial” within the Landlord and Tenant Act 1954, with Veeraswamy’s legal team arguing that the proposed office refurbishment could proceed without necessitating the restaurant’s closure.

The establishment’s protected tenancy status could secure a 14-year lease extension if the court rules in its favour. Alternatively, Mathrani hopes for a two-year grace period to facilitate relocation, though this represents a less favourable outcome given the substantial costs involved.

The Crown Estate maintains its position that comprehensive refurbishment is essential for bringing Victory House back into full use, acknowledging the situation’s impact on Veeraswamy whilst stating their willingness to assist in finding alternative premises within their portfolio.