Corporate Governance

Sears Holdings Corp.’ woes mounted in the third quarter, as the struggling retailer reported its 20th consecutive quarterly loss and another drop in same-store sales.        Although Sears CEO Eddie Lampert said Sears is “fully committed to restoring profitability,” the retailer’s disastrous quarterly performance caused some industry experts to say Sears’ demise is now a matter of when, not if.  

A store transformed — that’s how Target refers to its Baton Rouge East (Louisiana) store which has re-opened its doors after sustaining massive damage from the floods that devastated the area in August.  

For landlords and tenants alike, co-tenancy provisions are among the most important pieces of the retail-leasing puzzle. The right mix of tenants can create powerful synergies. For a retail tenant, the stakes are high: the right neighbors can mean the difference between success and failure. Consequently, understanding the different types of co-tenancy clauses, becoming familiar with the nuances and negotiations that accompany their inclusion in a standard lease, and appreciating the concerns and considerations that make them so important should be a priority for any retailer.

When the nation’s retail industry recently congregated in New York City for ICSC’s National Deal Making conference, much of the discussion centered on the evolving mindset of consumers throughout the country. For retail real estate professionals in the Northeast, this conversation is vital.   

Brand-building consultant Denise Lee Yohn has released her annual “Brands to Watch” list for 2017. There are 26 companies on the list, with retail and social media brands accounting for 10 of the spots.  Here’s a review:   Barnes & Noble. The venerable bookstore chain has let its CEO go, lowered sales expectations, and shrunk its footprint by dozens of stores. Meanwhile Amazon Books is opening stores. Is 2017 the year B&N’s death will become imminent?!  

Alibaba’s newest partnership is further expanding the global reach of mobile payments.   Alipay, a digital wallet payment platform run by Alibaba's affiliate Ant Financial, and Quest Payment Systems Pty Ltd, an Australian payments provider, are teaming up to roll out Alipay at select stores in Australia. The digital wallet, which is currently used by Chinese nationals to pay for in-store purchases using their mobile phones, is now available at select stores within The Chemist Warehouse and My Chemist pharmacy groups.

The ongoing saga of American Apparel is slowly making its way to a final conclusion.    The beleaguered retailer is seeking court approval to shutter nine poor-performing stores by the end of  December, prior to the auction of its business on Jan. 9, reported The Wall Street Journal, American Apparel filed Chapter 11 in November, its second filing in 15 months.   

The National Retail Federation and a coalition representing retailers, manufacturers, truckers, transportation intermediaries and other business groups have asked the Federal Maritime Commission to set new policy preventing terminal operators and ocean carriers from charging unfair fees when uncontrollable incidents such as storms and strikes keep cargo from being picked up from ports on time.