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Report: J.C. Penney Landlord Talks Stall, More Stores May Shutter

Despite talks, J.C. Penney has not been able to reach a deal with landlords and so lenders may wind up taking the company over.

According to the Reuters news service, talks between J.C. Penney and mall owners Simon Property Group and Brookfield Property Partners, about those mall operators taking over the company’ retail operations, stalled over the weekend. Joshua Sussberg, a J.C. Penney lawyer at Kirkland & Ellis LLP, reported the snag during a Monday court hearing, Reuters reported. Lease terms are among the sticking points, the news service added.

Sussberg told the court that the negotiations impasse would force J.C. Penney to close more stores that otherwise might have been saved, Reuters reported.


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