A community-run bar in south-east London has been forced to close after its landlord claimed more than £50,000 in “long-standing” rent arrears.

Kirsty Dunlop, one of three volunteers who run the Star of Greenwich pub, said her landlord, Greenwich Hospital, had asked for the debts to be paid in full after providing a repayment plan subject to funding to ensure the sustainability of the business.

Greenwich Hospital, which is not a medical institution, is a charity established under royal charter to support naval personnel and their families, operating independently but under the supervision of the Ministry of Defense (MoD).

MoD has been contacted for comment.

Ms. Dunlop, along with Lisa Donohoe and James Gadsby Peet, raised funds to reopen the Star of Greenwich as a not-for-profit cooperative in 2023, after it closed under a previous operator.

“For the last 18 months myself, James and Lisa have worked tirelessly to keep the Star alive without taking any money, profit or anything like that from the business,” he told BBC London.

Ms Dunlop said the pub had become a “community asset” for people living in East Greenwich and the space was used for language classes, catered events run by refugee chefs, family playgroups and support for refugees.

Ms Dunlop explained that the rent Greenwich Hospital wanted to charge them would be “not valid” in terms of the income generated.

He said they had agreed to pay half the rent each month to secure more funding to make the bar a viable business.

As well as raising money to buy the building, they also had hopes of applying for money from the government’s community property fund.

Ms Dunlop said she had heard nothing about their application since the general election in July and it was not mentioned in last month’s Budget.

The Ministry of Housing, Communities and Local Government (MHCLG) funding is designed to enable groups to take ownership of community assets and amenities that are at risk of being lost.

Ms Dunlop said the financing could pay off debts and begin making changes to the building to make it a more financially viable operation.

An MHCLG spokesman said: “We recognize that uncertainty is challenging for groups seeking to save vital community assets. The Government is carefully considering all available options and will approve plans in due course.”

Ms Dunlop said the repayment plan offered by Greenwich Hospital was initially agreed to end in January 2024, but extensions requested by pub management were agreed.

As finance to ensure the pub’s sustainability had not yet been secured, the landlord terminated the arrangement and demanded full payment of the rent arrears of over £50,000.

“It is very difficult to keep businesses open in the current environment,” Ms Dunlop said.

“We try to keep our costs low and not pass it back on to the customer so it’s not burdensome and people can enjoy an affordable social environment.”

The bar closed its doors on Thursday evening.

Ms Dunlop said management volunteers and staff had “tried very hard” to make the pub liveable.

“The lockdown will have such an impact on generations,” he added.

“A pub isn’t just about drinking; it’s about inclusivity and a place to meet. We’re trying to create a space where we listen to the community and provide them with what they want and need.”

A lease document for the pub seen by BBC News lists the Ministry of Defense office as party to the deal on behalf of Greenwich Hospital.

The Department of Defense did not respond to a request for comment at the time of publication.