It is becoming increasingly important for retail tenants not only to have a co-tenancy opening requirement as well as a continuing co-tenancy requirement for the interior mall, it is also becoming necessary to require a co-tenancy/density requirement for the particular wing or floor of the retail traffic location.
Going dark or reducing fixed rental to percentage rental, while helpful for malls that are experiencing lower traffic and sales per cubic foot levels, are not the best solutions if the retail tenant finds itself on a floor or in a wing of the interior traffic area with a large percentage of stores dark.
The solutions are to have a co-tenancy floor criteria for other stores open and operating on the floor around, and if too lonely, the right, in addition to going dark or for reducing rentals, to be relocated to the concentrated areas of the interior or to terminate the lease.
