The future of some of young fashion chain Republic’s stores could be doubt after its owner Sports Direct wrote to landlords to ask for rent reductions.
The Mike-Ashley owned sportswear business, which bought Republic out of administration a year ago, sent a letter to landlords with the aim of reducing rents, according to Drapers’ sister magazine Retail Week.
Sports Direct, which initially acquired 114 Republic shops but has since closed around half of them, is asking for turnover-based rents from landlords for the remaining 50 stores.
This is not the first time the firm has asked for reduced rents.
A month after Sports Direct bought the chain landlords were asked for rent reductions as the sportswear group proposed to move to 15% of store turnover or 50% of the existing rent, business rates and service charge.
Several landlords rejected the proposal with some stores closing as a result.