Largely shafted by the stimulus bills as Democrats tried to prevent any federal money from going to “Trump’s real-estate friends”, landlords have grown so desperate for revenue that they’re resorting to extreme and potentially burdensome tactics, like taking tenants to court to try and squeeze more blood from a stone.
Simon Property Group, one of the biggest – if not the biggest – mall operator in the US, us suing GAP, one of its largest tenants, claiming the retailer failed to pay more than $65.9 million in rent and other charges due during the coronavirus pandemic.
CNBC, which brought us the story, says the battle is unfolding in a Delaware state court. The lawsuit “highlights the mounting tension between retail landlords and their tenants, many of which stopped paying rent after the crisis forced them to shut stores.” It was filed on Tuesday. And a reporter at CNBC was apparently told to “expect more” lawsuits, apparently by somebody at SPG.