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.

Sub Markets

Property Sectors

Topics

New York & Tri-State  + Downtown New York  + Retail  | 

J.Crew Files for Chapter 11 Protection

Apparel retailer J.Crew, headquartered in Lower Manhattan, filed for Chapter 11 protection Monday. The filing in U.S. Bankruptcy Court for the Eastern District of Virginia, reportedly the first by a national retailer as a consequence of the COVID-19 pandemic, came as J.Crew reached an agreement with lenders to restructure its debt and deleverage its balance sheet.

Under the terms of the agreement, the company’s lenders will convert approximately $1.65 billion of J.Crew’s debt into equity. The company secured commitments for a debtor-in-possession financing facility of $400 million.

“As we look to reopen our stores as quickly and safely as possible, this comprehensive financial restructuring should enable our business and brands to thrive for years to come,” said Jan Singer, CEO of J.Crew Group.

Weil, Gotshal & Manges LLP is serving as legal counsel, Lazard is serving as investment banker and AlixPartners, LLP is serving as restructuring advisor to J.Crew.


Get CRE News in 150 words

For comments, questions or concerns, please contact Paul Bubny

Connect

Inside The Story

Connect With J.Crew

About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).