LMIRT to close 16 malls, 6 retail spaces in Java and Bali for nearly 3 weeks

LIPPO Malls Indonesia Retail Trust (LMIRT) will temporarily close 16 retail malls and six retail spaces in Java and Bali, in view of rising Covid-19 cases and anticipated emergency restrictions on public activity, the trust's manager said on Friday night.

The malls and retail spaces will be closed from July 3 to July 20, with only essential services such as supermarkets, pharmacies, banks and clinics allowed to remain open with shorter operating hours and capacity limits. Restaurants and cafes will be able to offer only delivery and takeaway.

LMIRT will extend rental waivers to tenants who cannot operate during the period of closure, and is considering extending additional rental support and utilities and service charge discounts.

The manager said it is difficult to ascertain the full financial impact of the crisis on the trust's performance as the situation is uncertain, but added that LMIRT has sufficient financial resources to meet near-term financial obligations and when they fall due. It has about S$155 million in cash on its balance sheet as at the end of June, versus S$67.5 million of bank debt due November 2022.

LMIRT's six remaining malls outside Java and Bali will remain operational with continued stringent safety measures in place.

Units of LMIRT closed flat at S$0.063 on Friday.