The point of the article is to point out that Scentre would most likely be unwilling to renegotiate rent to a lower annual amount as they can easily get higher rent from different retailers in the flagship Sydney property. They could negotiate a ladder rental agreement by lowering rent now and stepping it over x years. However, this comes with high risk as they would have to guarantee sales growth due to fixed charge coverage covenant and potential breaches.
The point of the article is to point out that Scentre would most...
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