Pedestrian Streets are Hospitality’s Secret Weapon in the New Work Era

By Kathryn Cripps, Partner, Knight Frank (www.knightfrank.co.uk)

The new world of work has changed city rhythms. The commute is no longer a daily given, office occupancy rises and falls through the week, and people mix home days with office days and remote working from anywhere with good beverages and decent WiFi. But one thing remains true: people still crave places that feel good to spend time in. And when retailers, restaurants and cafés offer it, they return.

In a world where offices no longer guarantee footfall, pedestrianised streets are emerging as hospitality’s quiet superpower.

New research commissioned by Tristan Capital Partners, the team behind the redevelopment of Sicilian Avenue in Holborn, shows nearly three-quarters (71%) of London workers and business owners are more likely to choose restaurants and cafés on pedestrianised streets. Among Gen Z and Millennials, that rises to 74%. The appeal is clear. Calm, traffic-free streets feel like a refuge in the bustle. They create spaces where people want to grab a beverage before logging on, take a proper lunch break, or enjoy an after-work drink without noise and fumes. They encourage dwell time and feel premium rather than purely practical. Most importantly, over two-fifths (43%) state that being in a prime location is vital to this experience.

RETURN TO THE OFFICE IS RESHAPING DINING

Interestingly, it is the return to the office that is reshaping how dining works. While 85% of central London’s business community still works in an office, half choose to eat out in a restaurant or café near their workplace rather than grabbing a supermarket meal deal or fast food. Eating at your desk might be easier, but quality matters. And it is not just about lunch. Over half (58%) of business owners choose restaurants and cafés for meetings with clients and suppliers, showing how hospitality venues are doubling up as work hubs as well as dining spots. Millennials and business owners are especially likely to appreciate the opportunity to get out of the office, with 55% of Millennial workers and 51% of business owners seeing restaurants and cafés as places that give them a needed break from the desk.

But it’s not just the lunchtime period. Restaurants and cafés are becoming the new workspace for many small businesses and entrepreneurs. The data shows more than one in ten (11%) business owners work from restaurants and cafés when in central London. For micro-businesses with fewer than ten employees, that rises to almost a fifth (19%). These venues offer something different to formal co-working spaces. They feel intimate and creative while respecting individual space and encouraging connection.

PEDESTRIAN STREETS ARE HOSPITALITY’S SECRET WEAPON

Pedestrianisation is a key part of this picture. They draw people in. Almost three-quarters (71%) of London’s workers and business owners are more likely to choose a restaurant or café on a pedestrianised street than one with traffic. For Gen Z and Millennials, it rises to 74%.

Younger people in particular are inclined to favour pedestrianised settings, with Gen Z workers and business owners most likely to say these locations offer better eating and drinking options.

Over half (59%) of respondents said they would choose pedestrianised settings because they are more pleasant and away from traffic, while 56% said they are calmer and more serene.

The research reflects wider findings. According to the Department for Transport, 45% of British citizens support Low Traffic Neighbourhoods. Cleaner, breathable cities are rising up the agenda for councils, urban planners, and communities.

And they recognise that not only is pedestrianisation good for people, it is also very good for businesses.

So what gets them coming back? Loyalty today is about trust built through quality, environment, and relevance. Millennials want excellent service, Baby Boomers care about quality ingredients, and Gen Z values generous portions and spaces that feel good to be in. Nearly three-quarters (70%) of respondents say great service is the most important premium element when dining out, with 64% prioritising top-quality ingredients. It’s also of growing importance to people. Over half (58%) are more likely to seek out premium food and drink experiences now than they were in 2019, rising to 60% among Gen Z and Millennials. We all know that a pavement café spilling out onto the streets feels much more premium than sitting at a table watching lorries drive by.

SICILIAN AVENUE SHOWS PEDESTRIAN STREETS’ POTENTIAL

Sicilian Avenue is an example of how heritage pedestrianised streets can transform into modern hospitality destinations offering experiences worth leaving home for. Established in 1910, it has long been a haven for people seeking beauty, quality, and calm in central London. Now, as it prepares to reopen after a full restoration, it promises high-quality food and drink venues that double up as inspiring places to work, meet, and relax. Because it’s what they want. Its Grade II listed architecture, peaceful setting, and rich history make it one of London’s unexpected treasures. According to research, 95% of London’s business community said they would visit Sicilian Avenue for dining and socialising – and that pedestrianisation is part of the reason why. Once they come and have a good experience, they’ll come back again. It’s how you build a loyal audience.

We know that the British working week looks very different today from ten years ago. Technology, a pandemic, and evolving notions of work-life balance have changed expectations. Entrepreneurs and micro-business owners are financially savvy and seek intimate, creative places that respect individual space while encouraging connections. Sicilian Avenue, with its focus on high-quality food and drink, is set to meet these needs as its first venues open this summer. Venues who want to provide spaces and places customers will enjoy – which are increasingly traffic-free.

In a hybrid working era, pedestrian streets are hospitality’s secret weapon. They create spaces that feel human. They offer calm in the chaos, quality over convenience, and connection in a fragmented day. For restaurants and cafés, the message is clear. Creating spaces where people want to be – where loyalty is built on trust, quality, and experience – is what keeps them coming back again and again.