A group of powerful landlords is set to take on House of Fraser, demanding better terms from the struggling department store chain as it tries to push through rent cuts and shop closures. Property giants including Legal &amp; General and Westfield have hired the restructuring firm Begbies Traynor and the property agency JLL to engage with House of Fraser as it prepares to launch a company voluntary arrangement (CVA), a form of insolvency that allows distressed businesses to walk away from certain liabilities. The group of about a dozen landlords is set to demand detailed forecasts for House of Fraser’s post-CVA performance, and could ask for an equity stake or share of its future profits. The property owners could threaten to vote against the CVA
UK high street landlords are set to do battle with retailers who they claim are using company voluntary arrangements (CVAs) to exit costly or difficult leases and save money. The tension comes as House of Fraser and Mothercare's have decided to seek CVAs, following retailers Carpetright and New Look, as well as restaurant chains Jamie's Italian and Prezzo. Revo, an organisation representing local authorities, landlords and commercial property investors has written to a government select committee. A spokesman for the Department for Communities said: "We want all councils to be able to take control over their own housing stock in order to deliver better quality homes at lower prices.