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Greenspan explains why it closed Tuskys outlet

By Lewis Njoka
Thursday, September 17th, 2020
A billboard at the of Ngong Road and Ring Road Kilimani junction. Photo/PD/Kenna Claude
In summary

Lewis Njoka @LewisNjoka

Nairobi’s Greenspan Mall has said it explored all available options before resorting to evicting Tuskys Supermarkets from its premises.

Auctioneers Monday shut down Tuskys store at the mall over Sh30 million rent arrears, highlighting the depth of the retailer’s financial woes.

In a statement to newsrooms, the mall’s Real Estate Investment Trust (Reit) manager, ICEA Lion Asset Management (Ilam), said it took the action to cushion the investor, saying Tuskys began showing signs of distress as a tenant earlier in the year.

It said as the REIT Manager, it had been in discussions with the retail chain to reach an amicable payment plan and warrant their continued operations at the mall. 

“The payment plan has been dishonoured by the tenant. In this regard, in order to cushion the investors, the manager has instituted a process to recover the arrears as per the debt management policy and legal provisions,” said Ilam.

Available options

“The REIT manager wishes to reiterate that it has explored all available options and will continue to do so keeping in mind the best interest of its stakeholders,” it added.

According to Ilam, the mall had granted Tusker Mattresses Ltd a lease over unit G1 on the Ground Floor 12 years starting July 2011.

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