closed restaurant window. Photo by Kelly Sikkema on Unsplash

The UK Commercial Lease Eviction Ban “goes on and on”

The UK government has announced that the moratorium on the enforcement of commercial leases will be extended until 25 March 2022, a full two years after it was first introduced. Thanks to political cover from the Labour opposition, and fears of widespread job losses in the hospitality and licensed sector, the government has resisted pressure from landlords to end the moratorium. In a statement on Wednesday 16 June to the House of Commons, Chief Secretary to the Treasury Steve Barclay announced the moratorium’s extension. This had been widely anticipated since Monday’s announcement that the final stage of lockdown restrictions…

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Tim Mossholder on Unsplash

Class-A mall valuations nearly halved over last 5 years

Even the strongest shopping malls are seeing significant slides in valuation as consumer tastes change and the impact of the coronavirus pandemic continues. Class-A mall valuations have dropped about 45% since 2016, according to CNBC, citing a new report by Green Street. For a few years after the Great Recession, Class-A retail valuations did well, but that changed around the mid-2010s as most malls suffered declining occupancies. Mall owners are suffering as well. Simon Property Group, for instance, the nation’s largest retail space landlord — many of whose properties are…

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214 Oxford St. Photo – Wikimedia Commons

Debenhams & Arcadia collapses could release 16.5M sqft of retail space

The liquidation of Debenhams and administration of Arcadia raise the threat of up to 16.5M SF of retail space becoming vacant and coming on to a market with little demand, in one of the worst periods yet for the battered UK retail property sector. The two retailers have a combined store portfolio of 16.6M SF in the UK, Estates Gazette Head of Retail and Industrial Research James Child said on Twitter. That is the equivalent of six Westfield London shopping centres. The liquidation of Debenhams will be of more immediate worry to landlords. The company was already in…

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