25 May 2024, 12:29
By Furniture News Mar 24, 2016

Beales saved by CVA rental cuts

Bournemouth-based retailer Beales has secured a rescue package in the form of a CVA, which will see rent cut at 11 of its 29 stores, reports The Guardian.

In a process similar to that which took place at BHS earlier this week, Beales' creditors voted in favour of a CVA in the hope that the reprieve will give the department store a chance to recover. The Horsham store was removed from the agreement, and will close in the summer.

KPMG's Rob Croxen, who supervised the CVA, comments: “Today’s creditor vote in favour of the CVA proposal will allow Beales to take its first critical step towards turning the business around, tackling head-on the issue of onerous legacy leases which have hampered the organisation in recent years.”

Beales was bought by Andrew Perloff, owner of the Airsprung Group, last year.

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