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Primark begins paying some landlords

By Kristopher Fraser

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Primark has begun paying rent to some landlords, but has forced them to sign gag orders because there are other landlords that still haven't seen rent payments. Since March, Primark has withheld million of dollars in rental payments due to landlords after it shut hundreds of stores across its network. Primark has said that for every month of closures they would 650 million pounds in sales.

Primark did not report how many landlords were being paid and how many weren't. Primark is in talks to get all of its landlords paid, and like many retailers they are seeking rent deals with their landlords to prevent lawsuits or force store closures.

Primark has plans to begin reopening their UK stores on June 15. Rent deals are expected to become more common in retail as consumers shift their focus more toward online and property values have declined thanks to coronavirus. Despite store closures and rental payment issues, Primark did commit to paying factory workers while many brands were cancelling orders and manufacturing and apparel was taking a major from the global coronavirus pandemic.

Primark