// Debenhams is seeking rent cuts of up to 25%
// It is working with property agencies CWM and Time Retail
Debenhams has revealed it is seeking fresh rent cuts of up to 25 per cent on 20 of its stores in exchange for scrapping break clauses in the leases.
The department store chain is working with property agencies CWM and Time Retail as it goes through its CVA, and is currently seeking for reductions on both service charge and rent.
Debenhams fell into administration in April, and pushed through a restructuring, sanctioning 22 store closures and rent cuts of up to 50 per cent on a further 105.
It had to borrow a sum of £50 million more in October.
Debenhams’ creditors have already agreed to rent reductions and lease negotiations on 105 of its 166 stores, under the terms of the CVA.
No additional closures are currently planned and the rest of the 50 stores will not close until 2021.
“As previously announced, we plan to close around 50 stores,” a Debenhams spokeswoman said.
“The first 22 are closing in January 2020 as planned, with the rest of the 50 to be confirmed following lease break discussions with our landlords.”