NORDSTROM WILL RESTRUCTURE ITS LEASE PAYMENTS BY 50%

According to Retail Dive, Nordstrom Department Store president, Jamie Nordstrom, informed its landlords that Nordstrom will restructure its lease payments by 50% for the remainder of 2020. The Nordstrom decision was reported in this article updated July 10, 2020.

Why is this Important to My Business?

There are many reports that major companies are restructuring lease payments in 2020.  But few news articles reveal the actual amount that rents are being reduced.  Therefore, the revelation that Nordstrom will restructure its lease payments fully by half is a useful measuring stick to all companies who need to restructure their own lease payments. Continue reading “NORDSTROM WILL RESTRUCTURE ITS LEASE PAYMENTS BY 50%”

CMBS DELINQUENCY RATE SURGE IN JUNE 2020

A significant CMBS delinquency rate surge occurred in June 2020  (a 10.32% overall delinquency increase), according to Trepp, a commercial real estate intelligence company.

As per Trepp, aggregate delinquency rates increased 317 basis points over the May number, reaching 10.32%; very nearly the highest CMBS delinquency rate on record. About 5% of that number represents loans in the 30 days delinquent bucket while another 3.2% are now 60 days delinquent.

What is CMBS?

The acronym CMBS means “commercial mortgage-backed security.”  Continue reading “CMBS DELINQUENCY RATE SURGE IN JUNE 2020”

PAYCHECK PROTECTION PROGRAM RESUMED JULY 6, 2020

The Paycheck Protection Program resumed on July 6, 2020.  If you need (free) assistance with this, give us a call at (213) 600-6077.

Our firm offers pro bono (free) legal services to help small businesses understand and process your PPP loan application, as well as your application for PPP loan forgiveness. Continue reading “PAYCHECK PROTECTION PROGRAM RESUMED JULY 6, 2020”

CALIFORNIA SENATE BILL 939 FAILS IN COMMITTEE

The year 2020 has been rough for business, so far.  But there is a silver lining: this is the perfect environment in which to restructure and rightsize your business.  With brand businesses everywhere filing for Chapter 11 and otherwise restructuring commercial leases and other obligations, 2020 offers the perfect cover for small businesses to do the same.

California Senate Bill 939

For California businesses, commercial lease relief looked as if it was on the way.  California Senate Bill 939, if passed, would have required a moratorium on commercial evictions as well as rent restructuring.  The entire proposed bill can be read here.   [UPDATE]: this bill subsequently died in committee and will not become law in the state of California. Continue reading “CALIFORNIA SENATE BILL 939 FAILS IN COMMITTEE”