Simon Property Group Sues Gap for Nearly $66 Million in Unpaid Rent
According to allegations in a lawsuit filed Tuesday by Simon Property Group (NYSE: SPG), apparel retailer Gap (NYSE: GPS) failed to pay nearly $66 million in rent and other expenses that it owed during the months when those locations were shut down due to the coronavirus pandemic. Now, the landlord is asking the courts to force its tenant to pay up.
With 412 stores in the real estate investment trust's properties, Gap is one of Simon Group's largest tenants. The retailer occupies 2.1% of Simon's total U.S. square footage, and is responsible for 3.5% of its total base minimum rent.
It's just one lawsuit, but it could be a preview of a wider battle brewing between commercial tenants and their landlords.
Source Fool.com
