Exciting developments are underway as Vancouver’s Donnelly Group prepares to emerge from creditor protection, bringing fresh hope to the local hospitality industry. CEO Jeff Donnelly confirmed to BIV today that the company is set to maintain all venues under its Freehouse Collective brand, ensuring over 500 employees keep their jobs.

The court-approved plan is on track to conclude by July 4, marking a significant turning point for the company. "We’ve worked hard to ensure that we are solvent and ready to move forward with our restructuring plan," Donnelly stated.

Donnelly has successfully reacquired properties previously managed by Freehouse management, although he kept details of the acquisition cost under wraps. "By buying BMO's security, I now have control over the process," he explained.

The company boasts a diverse portfolio of 16 establishments, including 11 in Vancouver and five in Toronto. Donnelly highlighted that many of these locations, such as the popular Stock Room in Yaletown, were part of his recent deal with BMO.

Donnelly's restructuring efforts have seen the company adapt since entering creditor protection in May 2023. With the backing of creditors and a judge, the company is on firm footing to exit this challenging period.

As part of the restructuring, some less profitable ventures were sold off, including Bomber Brewing which was purchased by its founder, Don Farion. "We’ve made tough decisions to close locations that weren’t performing, ensuring a more sustainable future," Donnelly noted.

Back in 2019, the Donnelly Group was thriving with 26 businesses, including pubs, cocktail lounges, and burgeoning plans for cannabis stores, showcasing a vibrant stretch of the Vancouver hospitality landscape. Now, as the company turns a page, all eyes are on how it will redefine itself in the post-restructuring era.