Stores not paying rent

traveler · ‎03-09-2010

Gap, Banana Republic, Old Navy and Subway are among the stores no longer paying rent.

on the good side, last year Sams Club pulled out of Alaska. Now the Food Bank is using the cavernous building for storage.

godi · ‎03-09-2010

I wonder what brick and mortar will be left when all of this levels out.
I saw that big sams in Alaska when I went for a tour. It is a huge building in such a small area.

ValuSkr · ‎03-15-2014

I wonder if they're angling for a rent reduction. Yes, the landlord has to cover expenses, property taxes for example, but there may be room to negotiate.

traveler · ‎03-09-2010

GAP just announced their stores may not reopen.

Firefly901 · ‎08-18-2011

We need a "freeze button" on aspects of our economy that should only be employed only with pandemics like this. Real estate is one piece we need to look at. Our economy is based on the little guy working and fueling the economy. When the little guy can't work everything stops. Rents, the lowest end of the real estate chain should be frozen. The unit or building that is rented may be mortgaged, so mortgages should also be frozen. This releases pressure from the owner on the renter. When the "freeze button" is turned off everything goes back to where it was. The time is taken by the pandemic and can't be made up by the renter, nor should the loan be refinanced to cover the back payments of the mortgage.

We we are facing a new and very different challenge and we are going to have to begin thinking creatively. The old ways of thinking aren't going to work with this new reality.

ValuSkr · ‎03-15-2014

@Firefly901 It's not a bad idea, but the building's owner has expenses too - notably property taxes, utilities, and maintenance. How will he pay them without rental income?

I am still oxox · ‎03-09-2010

Interesting I have both the Gap and Banana Republic in the strip mall around the corner

Stop being afraid of what could go wrong and start being positive what could go right.

ValuSkr · ‎03-15-2014

@I am still oxox wrote:
Interesting I have both the Gap and Banana Republic in the strip mall around the corner

So do I. They are both owned by the same company. They also own Old Navy and a few other brands I didn't recognize,

Firefly901 · ‎08-18-2011

I don't have all the answers, but a think-tank is needed. Maybe Congress should begin exploring some possible directions. If renters are removed, with no one working, you have vacant units, and stores. Maybe some of those expenses could be tax credits, or written off. But one thing for sure, we must start thinking now!