BY WAYNE CHARGUALAF
Four popular night clubs in Tumon — The W, Route 66, Club V and Molly’s — have been put up for sale. Three of them — The W, Route 66 and Club V — are being sold under a single listing for $550,000. Molly’s is listed for $350,000.
Lee Heather, the current owner, put the clubs up for sale to pursue new opportunities according to Phillip Law, owner of The Property Shop, the real estate company that listed the properties.
“I’ve known Lee for a long time and he’s a classic entrepreneur; he sees opportunities in all sorts of things,” Law said. “He’s had these clubs for more than 10 years and he sees new opportunities on Guam and in the states, so he wants to move his entrepreneurial spirit into other markets now.”
The physical assets such as furniture, fixtures, bar and DJ equipment, are included in the sale as well as the names of the businesses. Although Law said it’s likely a new owner would want to keep the names, he said nothing is certain since the listing is new, although he’s already received interest from potential buyers from the mainland United States and Korea.
“The names — The W, Molly’s, etc. — have a transferable value but you can imagine somebody coming in new would probably like a new, clean corporation to bring the name into rather than taking on the liabilities of an existing corporation,” Law said. “But of course it depends on the new owner.”
The single-story clubs are located on Pale San Vitores Road and have a total of more than 5,000-square-feet.
Although the clubs each have a distinct environment — from hip-hop to new wave to a sports bar — they’ve been run and promoted as a single destination providing diverse experiences, the aim of which was to take advantage of synergies provided by everything from proximity to staffing options.
“Lee ran them more like a businessman rather than an entertainer or a barman and I think that’s the approach that needs to be taken to maximize returns,” Law said. “They have a healthy profit margin. The return on investment is really quite strong.” mbj