One of the UK’s largest landlords, Capital Shopping Centres, has dealt JJB Sports a further blow and said it would not back the struggling retailer’s company voluntary arrangement (CVA).
Capital Shopping Centres (CSC) - which owns or part-owns the St David’s Centre in Cardiff, Manchester Arndale Centre, Metrocentre in Gateshead and Lakeside in Essex – said today it would not vote in favour of the CVA.
JJB has to present its business plan to its banks to secure its future tomorrow.
CSC executive director Kay Chaldecott told analysts at a meeting that CSC intended to vote against the CVA, the terms of which are expected to be revealed by the end of this month.
One analyst who was at the presentation said that Chaldecott had said that CSC would welcome the units back in order to re-let them to other retailers.
A spokeswoman for CSC confirmed the landlord’s position. “There is a demand for larger sized units,” she said.
JJB has a handful of stores in CSC centres.
JJB said it would not comment on the details of discussions with specific landlords but reiterated that the dialogue had been “open and constructive”.
JJB said last week that it had tried to make the proposed CVA - its second in as many years - as landlord friendly as possible by putting 50 stores under review rather than shutting them altogether alongside the 45 it wants to close immediately.