A Year Later, Deferred Rent May Be Restaurants’ Downfall
Real estate partner, Dena Cohen, was quoted by The Real Deal discussing the challenges restaurants are facing at the beginning of 2021.
The article states, "Thirty-seven percent of restaurants have deferred their rent due to the coronavirus pandemic, according to a recent report by the New York City Hospitality Alliance... Deferring rent means tacking the missed payments onto upcoming months of rent. Some rent deferrals go as far back as March 16, 2020, when Gov. Andrew Cuomo first shut down indoor dining."
Dena is quoted as saying, "Restaurants are not going to be able to pick up a big nut like that." Adding that unless there are additional negotiations or retailers receive a bailout, "[restaurants are] kicking the can down the road, if they’re deferring rent."
Read the full piece in The Real Deal here. Access may require a subscription.