Entain seek rent reduction to keep shops open

Entain seek rent reduction betting shops
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The owner of Ladbrokes and Coral has written to landlords seeking rent cuts in a bid to avoid permanently closing down any more bookmakers’ shops.

 

Entain said that the request was being made to landlords with leases due to expire in the next two years and asks if they would agree to a rent cut in return for a lease extension of up to five years.

In its letter to landlords, Entain detailed that the company aimed to reduce operational costs to ensure that its shops remained competitive and viable. Three weeks ago, Entain CFO Rob Wood said the company was expecting “two or three” times more closures this year due to the pandemic.

“It wouldn’t surprise me if we see two or three years worth of closures come into one this year. So it wouldn’t surprise me if closures are larger than 100 this year,” he said in response to a question during 2020 Q4’s earning call. “But I have to say we were pretty optimistic back in Q2 of last year that when we reopened, the customers would go back to our shops. We believe there’s a reason for retail to exist. Customers like that experience.”


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