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An analyst note from investment bank B. Riley FBR said that the current period of consolidation colloquially known as the "retail apocalypse" may last for another 18 to 24 months, RetailDive.com reported. According to Scott Carpenter, who heads the retail solutions unit at B. Riley's liquidation arm, Great American, "most retailers" are over-stored. That means another 30 percent of current retail space "would cease to exist in its current form, as consumer buying trends shift increasingly online," Carpenter told B. Riley analysts. So far this year, retailers have closed more than 7,000 stores, which already surpasses the full-year totals of all past years, according to accounting and consulting firm BDO. As of mid-August, store closures have outpaced openings, according to Coresight Research. Retail liquidations, which BDO notes accelerated this year compared to 2018, have contributed to a sizable chunk of those closures. Payless alone closed more than 2,300 stores in bankruptcy this year, the largest retail liquidation ever by store count. Read more.

Occupancy issues are at the heart of many significant retail cases, as detailed in the ABI publication Retail and Office Bankruptcy: Landlord/Tenant Rights, available at the ABI Store.

Forever 21 Inc. is in discussions to give a stake in the company to its two largest landlords as part of a restructuring that would allow co-founder Do Won Chang to retain a share, Bloomberg News reported. The ailing fast-fashion retailer is in talks with Simon Property Group Inc. and Brookfield Property Partners LP about the proposal, which would be part of a bankruptcy filing. The negotiations are ongoing, and could end without a deal, sources said. Los Angeles-based Forever 21 is preparing to file for bankruptcy as soon as this month, ideally with a restructuring plan in place, the people said. Company advisers have been working on obtaining a bankruptcy loan package that would give the retailer about $75 million to continue operations during the case. Read more. 

Occupancy issues are at the heart of many significant retail cases, as detailed in the ABI publication Retail and Office Bankruptcy: Landlord/Tenant Rights, available at the ABI Store. 

Between 180 and 200 underperforming GameStop stores are set to shutter before the end of the fiscal year, and more could be on the way, CNBC.com reported. GameStop has blamed online shopping and digital sales of games for much of its sales misfortune in recent quarters. The company posted dismal fiscal second quarter earnings last week and slashed its same-store sales forecast for the year. On that earnings call, the company announced it would shutter up to 200 of its 5,700 global locations and hinted at “a much larger tranche of closures over the coming 12 to 24 months.” According to data analysis by Thinknum, this is a good move for the company. For every GameStop location in the world, there are two other GameStop stores within 5 miles, Thinknum reported. And, on average, there are 6.2 other locations within 10 miles of that store. Read more. 

Occupancy issues are at the heart of many significant retail cases, as detailed in the ABI publication Retail and Office Bankruptcy: Landlord/Tenant Rights, available at the ABI Store. 

Forever 21 Inc. is preparing to close at least 100 stores as part of a restructuring that calls for the trendy retailer to file for bankruptcy as early as this month, Bloomberg News reported. The apparel merchant is working on obtaining a financial package that would provide about $75 million for its restructuring in the court process. The plan envisions a chapter 11 filing, but even as these plans firm up, advisers could still strike an agreement that buys the retailer more time before resorting to bankruptcy. Landlords may consider unusual means to preserve Forever 21’s survival, people with knowledge of the developments said last month. Mall owners and company representatives have discussed easing Forever 21’s rent in exchange for an interest in the retailer.

Charlie Chanaratsopon wants to purchase Charming Charlie's intellectual property out of bankruptcy, according to court documents, the Houston Chronicle reported. The founder and former chief executive of Charming Charlie offered to purchase the Houston fashion retailer's trademarks, website domains, customer database and social media assets for $1.125 million at a bankruptcy auction held in New York on Wednesday. The sale is pending approval from Judge Christopher Sontchi of the U.S. Bankruptcy Court for the District of Delaware at a hearing scheduled for Sept. 16. It's unclear what Chanaratsopon plans to do with Charming Charlie's trademarks, should he close the deal. The purchase agreement prohibits Chanaratsopon from making a public comment without the written consent of Charming Charlie, according to court documents. Charming Charlie's intellectual property includes information from nearly 7 million Charm Club loyalty members, primarily women ages 35 to 55, as well as customer databases containing 6.8 million opt-in email addresses and 3 million physical mailing addresses.

Teen retailer Forever 21 Inc. plans to file for bankruptcy as soon as Sunday, according to people familiar with the matter, as slow sales, online rivals and changing consumer habits take a rising toll on many bricks-and-mortar chains, WSJ Pro Bankruptcy reported. But in a statement, Forever 21 said that it has no plans to file for bankruptcy on Sunday. “Our stores are open and it is our intention to continue to operate the vast majority of U.S. stores, as well as a smaller amount of international stores, providing customers with great service and the curated assortment of merchandise that they love and expect from Forever 21,” it said. Forever 21 expanded by opening large stores at a time when consumers, especially younger ones, were going online to shop. The closely held company has been facing a cash crunch and had been searching for a new loan for months. The chain is planning to shut down some of its more than 700 stores in bankruptcy, according to sources.