To pay or not to pay? has become an imperative question asked by retail tenants in the context of COVID-19
To pay or not to pay? has become an imperative question asked by retail tenants in the context of rental amounts due pursuant to lease agreements concluded between retail tenants and retail landlords.
The extension of the lockdown period means that retail tenants who do not provide goods and services which have been categorised as essential, would not have been allowed to operate their businesses from the end of March until the end of April.
The halting of business operations by retail tenants means that there is no income which is generated from the sale of the goods and services as a result of the lockdown restrictions, however, from a contractual perspective, retail tenants may be expected to continue remitting rental amounts as agreed to in lease agreements.
Download the full article below
© 2020 KPMG Services (Pty) Limited, a South Africa private company and a member firm of the KPMG network of independent member firms affiliated with KPMG International, a Swiss cooperative. All rights reserved.
KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.