Retailers of around 350 brands including DLF, Ambience Nexus, Pacific Group, Oberoi, Mantri have threatened to shutter outlets in shopping centres if their demands for rent-waivers and new rental agreements are not met.
The move is expected to help these retailers tide over nine to 12 months of less-thanusual footfalls. These retailers have requested several mall owners, for instance, to adopt a revenue-sharing model for three months, followed by a combination of revenue-sharing and minimum guarantee for the subsequent period of six months.
This comes after several instances of retailers requesting mall owners to re-draw rentals, keeping in mind Covid-19’s impact on the business. Since the lockdown started on March 25, these stores have been shut. Through industry associations, retailers and mall owners have been requesting the government to allow shopping malls to restart operations.