Use Restructured Leases to Avoid, Emerge from Bankruptcy

July 19, 2009
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Commercial retail tenants may be able to successfully avoid or emerge from bankruptcy through lease restructuring, which reshapes current leases to help struggling tenants, for some or all of their store locations. However, a tenant's success with restructuring largely will depend on which one of three financial categories the company falls into, and which strategies the tenant uses in negotiating the restructure of each lease.

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