New York & Tri-State CRE News In Your Inbox.
Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.
Century 21 Files for Chapter 11, Will Close All Stores
Off-price retailer Century 21 Stores, founded in Lower Manhattan in 1961, became the latest retailer to file for Chapter 11 bankruptcy protection amid the COVID-19 pandemic. The company said Thursday that it would wind down operations, with liquidation sales at its 13 stores across New York, New Jersey, Pennsylvania and Florida and online.
Century 21 said the decision stemmed from nonpayment by its insurance providers of approximately $175 million due under policies put in place to protect against losses stemming from business interruption such as the pandemic.
“While insurance money helped us to rebuild after suffering the devastating impact of 9/11, we now have no viable alternative but to begin the closure of our beloved family business,” said Century 21 co-CEO Raymond Gindi.
Concurrently with its bankruptcy filing in Manhattan, Century 21 has moved a pending lawsuit against its insurers from New York State Supreme Court to U.S. Bankruptcy Court.
Pictured: The Century 21 store in Bay Ridge, Brooklyn. Photo courtesy of Century 21.
For comments, questions or concerns, please contact Paul Bubny
