Once-temporary rent breaks for retailers are expected to become the new standard among landlords, even after pandemic restrictions end and shopping rebounds, the Wall Street Journal reported Tuesday.

Mall vacancies in the U.S. hit a record high in April as retail stores have struggled to stay open after Covid shutdowns. 

Retailers are searching for new ways to survive, prompting many landlords to offer percentage-rent leases — pegging monthly rent payments to a percentage of the tenant's monthly sales — in place of traditional, fixed payments, the Journal reported. 

Those flexible leasing agreements allowed retailers to manage costs and have been particularly helpful for new retailers, the Journal reported. Now brands are increasingly demanding percentage-rent leases, according to the report.

More in category

Some Companies Earn So Much Cash, They're Giving It Away to Stock Owners
July 31, 2021The Motley Fool
Some Companies Earn So Much Cash, They're Giving It Away to Stock Owners
Biden huddles with Cuban Americans at White House, directs new sanctions against regime in Havana
July 30, 2021MarketWatch
Biden huddles with Cuban Americans at White House, directs new sanctions against regime in Havana
2-year and 10-year Treasurys in July book largest monthly yield drop since March of 2020
July 30, 2021MarketWatch
2-year and 10-year Treasurys in July book largest monthly yield drop since March of 2020
S&P 500 notches 6th straight monthly gain even as Amazon disappointment fuels Friday selling
July 30, 2021MarketWatch
S&P 500 notches 6th straight monthly gain even as Amazon disappointment fuels Friday selling
CDC: No deaths, few hospitalizations, but 74% of those testing positive in Massachusetts outbreak were vaccinated
July 30, 2021MarketWatch
CDC: No deaths, few hospitalizations, but 74% of those testing positive in Massachusetts outbreak were vaccinated
Trump’s tax returns must be released to Congress, says Justice Department
July 30, 2021MarketWatch
Trump’s tax returns must be released to Congress, says Justice Department
Trump told Justice Department officials to declare election results ‘corrupt’ and ‘leave the rest to me and the [Republican] Congressmen’: contemporaneous notes
July 30, 2021MarketWatch
Trump told Justice Department officials to declare election results ‘corrupt’ and ‘leave the rest to me and the [Republican] Congressmen’: contemporaneous notes
CDC releases data that informed its reconsideration of face masks, saying delta variant of COVID means the ‘war has changed’
July 30, 2021MarketWatch
CDC releases data that informed its reconsideration of face masks, saying delta variant of COVID means the ‘war has changed’
Climate risk is hitting home for state and local governments
July 30, 2021MarketWatch
Climate risk is hitting home for state and local governments
Pinterest stock in danger of sharpest drop on record as pandemic recovery weighs on user growth
July 30, 2021MarketWatch
Pinterest stock in danger of sharpest drop on record as pandemic recovery weighs on user growth
‘A great time to buy,’ says one Wall Street analyst as Amazon shares tumble on disappointment
July 30, 2021MarketWatch
‘A great time to buy,’ says one Wall Street analyst as Amazon shares tumble on disappointment
Opinion: Here’s how the 6 Big Tech stocks now rank, from worst to first
July 30, 2021MarketWatch
Opinion: Here’s how the 6 Big Tech stocks now rank, from worst to first
Americans aren’t cutting back on spending — even with rising inflation
July 29, 2021MarketWatch
Americans aren’t cutting back on spending — even with rising inflation
Consumers boost spending in June and spearhead U.S economic recovery
July 30, 2021MarketWatch
Consumers boost spending in June and spearhead U.S economic recovery
Where should you go if society collapses? New Zealand, of course.
July 29, 2021MarketWatch
Where should you go if society collapses? New Zealand, of course.
As CDC reverses its mask guidance, Apple, Costco, Walmart and others have some soul searching to do
July 29, 2021MarketWatch
As CDC reverses its mask guidance, Apple, Costco, Walmart and others have some soul searching to do
Opinion: Microsoft’s quarterly results show that growth is nowhere near slowing down
July 28, 2021MarketWatch
Opinion: Microsoft’s quarterly results show that growth is nowhere near slowing down
The Stealth Way Social Security Has Been Robbing Seniors of Their Benefits for Years Maurie Backman | Jul 31, 2021
July 31, 2021The Motley Fool
The Stealth Way Social Security Has Been Robbing Seniors of Their Benefits for Years Maurie Backman | Jul 31, 2021
Justice Department says hackers struck 27 US attorneys’ offices around US
July 30, 2021FOX Business
Justice Department says hackers struck 27 US attorneys’ offices around US
Nearly 300,000 pounds of raw beef recalled over E. coli concerns
July 30, 2021FOX Business
Nearly 300,000 pounds of raw beef recalled over E. coli concerns
Walmart and Disney Join a Growing Group of Businesses Requiring Vaccination
July 30, 2021The NY Times
Walmart and Disney Join a Growing Group of Businesses Requiring Vaccination