“We are seeking the rent reductions necessary for locations to remain open and further evaluating other stores in their existing fleet for closure,” said Ivan I Friedman, president and CEO of RCS real estate advisors. “We are also currently marketing and accepting bids on the leases of the 425 stores Payless will be closing as part of Phase I of the stores that will be closing.”
Payless will continue to operate its business as usual at its nearly 4,000 other locations. Wells Fargo is administrative agent for $385 million DIP financing.
RCS’ retention is subject to approval by the U.S. Bankruptcy Court for the Eastern District of Missouri.
RCS Real Estate Advisors specializes in analyzing retail real estate portfolios, reducing occupancy costs, and expanding footprints.