Fears are growing for the future of Store Twenty One, the troubled discount fashion chain, after it emerged it has not paid rent on some of its 200 stores.
This follows the quarterly rental bill for Store Twenty One - which is owned by Grabal Alok, the subsidiary of an Indian clothing manufacturer - landing on 25 March.
Sources said Store Twenty One, which previously traded as QS, had not yet met its rental obligations on a number of its worst-performing stores. It is understood to have paid its rent on many stores, of which a chunk are now on monthly rents.
The retailer made a loss of £19.9m, on lower revenues of £99.4m over the year to 31 March 2012 and has been struggling for years.
In a letter in early February, Grabal Alok’s lawyers, Fladgate, said: “You will appreciate that if our clients encounter a high degree of hostility from landlords, our clients may be forced to pursue insolvency options”. Store Twenty One has closed shops including one in London’s Finchley another reportedly in Royston recently.
The company did not respond to requests for comment.Reuse content