Pennsylvania Real Estate Investment Trust and Simon Property Group are trying to find ways to stay afloat as the coronavirus pandemic continues to dramatically affect their businesses, writes Natalie Kostelni for the Philadelphia Business Journal.
PREIT, the owner of Willow Grove and Plymouth Meeting malls, has cut its dividend by 90 percent to 2-cents a share in an attempt to raise funds to maintain operations.
The company is also searching for other avenues that would assist in raising a total of $300 million in extra cash to help it weather the coronavirus pandemic.
Meanwhile, Simon, the owner of the King of Prussia Mall and Philadelphia Premium Outlets, is in the process of furloughing 30 percent of the workforce and is also laying off staff at its headquarters.
Both companies were forced to temporarily close their retail properties to slow down the spread of coronavirus. It is currently unknown when they will be able to reopen these properties. In the meantime, their tenants are also not generating revenue and as such are unable to pay rent and other expenses.
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