Embattled department store chain Debenhams has heaped further misery on its landlords by requesting a rent holiday of up to five months as fears over coronavirus dent high street footfall.
Debenhams is already in the middle of a major restructuring process and has closed 22 stores in the last 12 months.
The retailer has called on landlords to give it an immediate five-month rent holiday to offset the “unprecedented pressures” being placed on the sector by the coronavirus pandemic.
A Debenhams spokesman said: “All retailers are facing unprecedented pressures from the current situation and we are managing our operations to minimise risks to colleagues and customers whilst – as far as possible – trading as normal.”
Debenhams is also in the process of searching for a new chief executive after Stefaan Vansteenkiste stepped down earlier this month after less than a year in charge.
Footfall figures have fallen by 31% according to the most recent Springboard data, compounding problems for the UK department store sector, which was already grappling with customers increasingly choosing to shop online.
Retail Week understands John Lewis, Fenwick and House of Fraser have all also seen footfall figures plummet by anywhere between 25% to 30% over recent weeks.
A senior executive at a high street market hall concept also told Retail Week yesterday he was in discussions with landlords about possible rent holidays but would wait to see what support was offered by the government in the next few days before making a decision.
Yesterday, in the first of what are scheduled to become daily government press briefings, Boris Johnson told the public to avoid going to bars, pubs, restaurants and theatres, without taking the steps to officially order their closure.
At the next briefing scheduled for this afternoon, chancellor Rishi Sunak is expected to lay out a relief package for businesses on top of what he unveiled last week in the Budget.
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