Cash Flows for Commercial Leases During COVID-19

To say the least, for those companies that filed for bankruptcy on the eve of the COVID-19 shutdowns, the strategies — and available cash flows to pay landlords — did not go as planned.

8 minute read August 01, 2020 at 12:07 AM

Jonathan Koevary and

Robert Gagne

Cash Flows for Commercial Leases During COVID-19

Where feasible, companies do not file Chapter 11 petitions until after formulating both an exit strategy and plans to operate during the pendency of the bankruptcy case. For restaurateurs and retailers, this strategy will almost invariably require and depend upon cash flow for continued use of leased stores and restaurants.

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