Quote:
Originally Posted by nickw252
RED won't be operating the super market. It will be Fry's. It doesn't matter whether RED has "confidence that the store [will] survive." All RED needs to have confidence in is whether the building is leased, and I believe Fry's has already entered into a long-term lease.
|
Of course. But I'm sure there is a clause in the lease that Fry's would have to pay a significant amount to cancel the lease. Having said that, it's not enough to justify the building expense if Fry's closes that store. So you cannot look at it exclusively that way. Yes, RED would likely be protected for a couple years by the penalty, but that doesn't cover the long-term expense of a space that is only usable for a grocery store or big box.