// New Look in talks with landlords to switch to turnover-based rent
// New Look did not pay its rent at the end of the last quarter and the next rent bill is due at the end of June
New Look has started negotiations with landlords to switch to turnover-based rents across its store portfolio to help cut back on property bills in the wake of the coronavirus crisis.
According to Sky News, the fashion retailer recently appointed property agencies CBRE and CWM to lead the discussions to switch to sales-based rent deals for most of its 500 stores in the UK and Ireland.
The news as New Look approaches the next rent quarter deadline at the end of June.
- New Look delays payments to suppliers “indefinitely”
- New Look announces Stuart MacKenzie as new board member
- New Look requests 3 month rent holiday
The retailer did not pay its quarterly rent bill in March after asking landlords for a three-month rent holiday.
“As we look towards beginning to safely reopen stores, we can confirm we are in discussions with landlords regarding rental arrangements which fairly reflect the retail operating environment,” a New Look spokesman said.
In April, New Look cancelled all orders with suppliers and pushed back payment terms “indefinitely” to help mitigate the impact of the coronavirus pandemic.
The fashion chain is also among a raft of other retailers seeking changes in rent terms, including H&M Group and Frasers Group.