A dispute involving Spain's richest man has delayed plans to restore and re-open a Glasgow restaurant institution that has been closed for three years.
The Rogano was acquired by Edinburgh real estate investors Ediston (Res) Ltd before the pandemic but suffered catastrophic flood damage after it was closed during the first lockdown in March 2020.
A major flood from offices above the restaurant caused complete collapse of ceilings and structures in the historic building, which opened as a restaurant in 1935. There were two further floods causing more damage.
The offices and entire building is owned by London-based real estate firm Pontegadea UK, owned by 87-year-old Zara founder Amancio Ortega, who has a fortune of around $62.9 billion and was listed last year as the third richest man in Europe.
Ediston believes his firm is liable for repairs to the flood-hit building, which are expected to run into millions.
Danny O'Neill, the Glasgow-born owner of Ediston, hopes the dispute can be settled out of court but says there may be no alternative and the wheels are already in motion.
Reports commissioned by the firm show there have been issues with water ingress for many years.
"When Rogano was available I thought I would acquire it, it wasn't a difficult transaction to do given the iconic nature of what the restaurant is," said Mr O'Neill.
"Within months of acquiring it we entered Covid and then there was a significant flood.
"We have a 100-year lease on the building and pay a nominal sum in rent.
"The freeholder is responsible for maintaining and insuring the building and the freeholder is a company called Pontegadea, owned by one of the richest men in Europe.
"We don't have any rights or responsibilities to carry out repairs to the building - it's not our building. We only own the air space within Rogano."
Amancio Ortega bought the block that houses one of the city's best known restaurants in 2016. Last year it was reported that he had purchased another building on Glasgow's Bothwell Street for £200m for offices.
"I personally engaged with Pontegadea in early 2021. We've been complaining about the water ingress since we bought it [but] we got no response over many many months."
He said he met with someone from the Zara headquarters in London "who seemed interested but didn't action it" and said someone from Pontegadea's insurers had estimated the damage at £100,000 but the true cost for repairs is likely to be "ten to 20 times higher".
He said: "We've just been at loggerheads. It's now going through a court process."
Rogano was purchased by leisure tycoon James Mortimer, owner of Lynett Leisure, in 2006 for more than £6million.
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In August 2020 the company announced a consultation process would be held for hundreds of staff employed between 29 Private Members’ Club, Citation Taverne and Restaurant, The Chippy Doon the Lane, Rogano, One Up Glasgow and Bread and Butter, the majority of which have now closed.
"It's extremely frustrating for us," said Rogano's new owner. "I bought it, we've not been able to open and we are losing money.
"Rogano traded efficiently and profitably before Covid and the catastrophic flood that caused so much damage to it.
He said his aim is for Rogano to appeal to a wider clientele and "not just the older generation".
"My intention is still to put Rogano back on the map as the best restaurant in Glasgow," said Mr O'Neill.
"I just need to sort out this debate. If they won't go to the negotiating table I have no choice but to go through the courts.
"There are a lot of Chinese students who enjoy fish and I'd like to give them an experience that's really cool [and] somewhere for an after-work drink with a really nice ambiance."
His company intends to invest a multi-million sum in the building after the repairs have been carried out but the priority is to get the building "wind and water-tight" he said.
He said he hoped the insurance claim would be settled one way or another by early next year and the restaurant could re-open by late Summer after a period of refurbishment.
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Mr O'Neill said it was his intention that a belated birthday party would be held to mark Rogano's 85th birthday in 2020 and to celebrate the "phoenix rising from the ashes".
He said: "All my family still live in Glasgow. When they found out I had bought the Rogano they were astounded."
The Herald contacted Pontegadea and its insurers AIG as well as a charitable foundation run by Amancio Ortega and received no responses.
It was in 1935 that the Rogano was taken over by the Grant family, becoming the iconic Art Deco institution that it would be loved and recognised for.
The interiors were inspired by the Queen Mary, which had been launched the previous year.
Don Grant and then his daughter carried on running the Rogano until the 1980s when they sold it to Alloa Breweries, who refurbished it again and reopened it in June 1984 under head chef Ferrier Richardson.
It would go on to change hands a great deal many more times until it was purchased by Lynett Leisure.
Jude Law, Mick Jagger, David Bowie, Elizabeth Taylor and Harvey Keitel are just some of the celebrity guests who have dined there and the comfy booths served as the backdrop for an episode of Patrick Melrose, starring Benedict Cumberbatch.
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