// Monsoon Accessorize could save further 57 stores after landlords agreed to base rent deals on turnover
// The retailer fell into administration on June 9
// It was bought out by founder Peter Simon the following day, resulting in 545 job cuts
Monsoon Accessorize has reportedly revealed that 57 more stores than expected could be retained after a larger number of landlords than predicted have agreed to base rent deals on turnover.
The fashion group, founded by Peter Simon, went into administration during the coronavirus lockdown which put 2300 jobs at risk.
However, a day later Simon’s Adena Brands bought out the retailer, resulting in an immediate loss of 545 jobs and 35 store closures.
READ MORE:
- Monsoon Accessorize: What went wrong?
- 545 job cuts as Peter Simon buys Monsoon Accessorize out of administration
- Monsoon Accessorize founder: “Only 6 or 10” Monsoon stores will reopen
The company had originally planned to reopen only 100 of its previous 230 shops, but it should now operate 157, which means that 2400 jobs may have been saved, The Telegraph reported.
The stores are still, for now, under the control of administrator FRP Advisory after the brand itself — along with its head office, design teams and distribution centre — was repurchased by a vehicle controlled by Simon.
The shops will be open by the end of next month, FRP said.
Meanwhile Simon thanked landlords for being helpful during the process.
He said Monsoon and Accessorize will continue to have a “strong presence” on the high street.
Last week, Simon has told BBC Radio 4 that of the 100 stores that are planned for reopening, only six to 10 of them will be Monsoon shops.
Monsoon Accessorize has begun to reopen its stores with more than 30 now up and running.
It’s unclear what impact the latest development will have on the Monsoon brand itself.
Moreover, retailers are increasingly steering towards turnover-based rents.
A raft of stores from AllSaints to Frasers Group, and TM Lewin, are in talks with their landlords about changes to the way they pay rent to reflect store takings.
Struggling fast fashion retailer New Look handed its landlords an ultimatum on Monday over its store estate as it sought turnover-based rents.
The retailer hired consultancy CBRE in an effort to move its 500-strong store estate across to turnover-based rents, which increases the possibility of its falling into a pre-pack administration should those discussions not be successful.
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