Lingerie retailer La Senza and womenswear chain Monsoon have become the latest high street retailers to ask landlords for monthly rent payments.
Malcolm Cooke, who was appointed managing director of La Senza following the sudden departure of its chief executive Rose Foster last month, denied that the lingerie chain had approached landlords to alter its rent agreements because it had cash flow difficulties.
He said: “We don’t have any cash flow problems. We’re doing OK. We’re just looking for any benefit we can get.”
Cooke added: “It is tough and we’re talking to landlords about going onto monthly rents. Everyone would like to pay monthly as the cash comes in.” He said he was reviewing “every aspect” of the La Senza business.
Separately, Matt Hudson, managing director of Monsoon, said he was in the process of negotiating for monthly rents, but that the chain was yet to conclude any agreements. Monsoon is not thought to have cash flow issues.
Retailers’ next quarterly rent payment is due on March 25.
Some retailers have negotiated monthly terms with landlords, including House of Fraser. Aurora Fashions, the new company which rescued retailers including Oasis and Karen Millen from administration last week, is also asking landlords to switch to monthly payments.