The unprecedented global pandemic has created a limbo for most retail tenants, and in some cases, left landlords without payment of rents. Further, some states have placed moratoriums on eviction actions, allowing tenant to stay and not pay. However, as states begin to open back up for business there appears to be light at the end of this tunnel. Still, expect a host of retailers to file for protection in July and August to eliminate stores and try to renegotiate rents.
Although we normally provide a list of 10 retailers to watch, we have increased the list to 20 given the current state of affairs. Following are the top 20 to retailers to watch for possible Chapter 11 filing(s) in the remaining year:
#4 Bed Bath & Beyond. According to The Motely Fool, the company ended fiscal 2019 with $1.4 billion of cash and investments, up from $1 billion a year earlier. Yet, the company instead of using this time of closed stores to remodel or re-envision itself, has the same old floor plans. Further, it continues to have difficulties in online sales.