Borders UK has written to landlords demanding an immediate switch from quarterly to monthly payments as September’s quarterly rent day hit.
The struggling bookseller, bought in a Hilco-backed management buyout led by chief executive Philip Downer in July, wrote to those landlords whose properties are still on quarterly payments, asking them to switch to monthly instalments.
The retailer requires that the “remaining 30% of Borders’ rent roll [moves] on to [a] monthly basis, not withstanding previous attempts by the company”, according to an email sent on behalf of Borders to a property agent acting for the landlord of one of its stores.
The email, sent on September 30 — quarterly rent day — added: “This needs to start now.”
In an unusual move, Borders said it would accept monthly payments for a short period of two quarters, rather than demanding a permanent switch, which has been widespread practice in the past year.
The email said Borders was open to relocating or dividing the property in question.
This week the bookseller confirmed its plans to remove the Books Etc and Borders Express brands from the high street. Borders is trying to sell its remaining seven Books Etc shops and two smaller-format Borders Express stores.
The retailer runs 36 stores under the Borders banner.
Borders did not return calls.