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House of Fraser's Oxford St. store is among those affected by the CVA proposal
Landlords have made an eleventh hour bid to scupper House of Fraser's Company Voluntary Arrangement (CVA), filing a legal challenge in the Scottish courts.

 

Selected property owners — including those of the retailer's stores at Altrincham, High Wycombe and Birkenhead — believe the CVA unfairly prejudices landlords over other creditors, and question whether the process is being implemented correctly.


House of Fraser last month secured the backing of the requisite number of creditors to initiate the CVA plan, which will see 31 of its 59 stores close and others have their rent reduced.


Corporate restructuring group Begbies Traynor and property agents JLL are advising the landlord group, whose CVA challenge was issued ahead of the July 24 deadline for objections.


House of Fraser issued a statement saying it would robustly defend its position and that it was confident the challenge would not affect its commercial plans.


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