The National Asset Management Agency (Nama) has been accused of providing selective figures on the rent reductions it has granted to tenants by an organisation representing retailers.
The chief executive of Nama, Brendan McDonagh, and its chairman, Frank Daly, appeared before the Oireachtas finance committee last Wednesday and revealed they had received 150 applications from debtors - and directly from tenants - who have sought rent reviews.
McDonagh said the agency had approved reductions in 120 cases and "is engaging in a further 30 cases".
However, David Fitzsimons of Retail Excellence Ireland said he knew of "dozens" of retailers whose businesses were in distress who had sought rent reductions, and who been rejected by the agency.
"Where are these figures? They said they have had 150 applications, and so far none has been turned down. This is just window dressing. I know of both Irish and international retailers who have sought reductions and were turned down," he said.
Fitzsimons said Nama had looked for store-by-store audits of abridged profit and loss accounts from some retail chains. "These either don't exist, or it's time-consuming and expensive to provide them," he said.
"The non-inclusion of international brands because the company may be doing well in other countries is also a nonsense. That is the opposite of our foreign direct investment policy, because if these businesses fail, the jobs and tax-take go with them."
The Sunday Business Post understands that John Cahill, the managing director of the Campbell Bewley Group, is among the retailers who have approached his landlords [Treasury Holdings] and Nama to request a review of the €1.4 million annual rent it pays for the Bewley's building on Grafton Street.
It is also believed that Cahill has approached a number of Dáil deputies to raise awareness of the matter. A Campbell Bewley spokesman declined to comment.
A Nama spokesman said the agency did not comment on individual debtors or tenants, but that the agency would "encourage tenants with upward-only rent review clauses, who are having difficulty in meeting their rental obligations, to consult the guidance note on the Nama website and prepare a request based on these guidelines".
Wednesday, March 21, 2012
Retailers criticise Nama over 'selective' rent review figures - Sunday Business Post
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