With WeWork's Chapter 11 filing in the United States, Global Restructuring & Insolvency Partner Debra Dandeneau recently spoke to BBC World Business Report about what the Chapter 11 bankruptcy means.
Download our guide for more information about what may happen under some of the local laws governing WeWork’s leases from the Firm's Global Restructuring & Insolvency and Real Estate teams.
Landlords have built spaces that specifically cater to WeWork’s focus on co-working arrangements. As WeWork attempts to shed leases in a restructuring, landlords may be left with specially built spaces that are difficult to re-let. This may be particularly difficult when landlords have agreed in their WeWork leases not to compete for a period after termination of the lease.
Landlords will have to study their leases closely to develop strategies for addressing this issue. Landlords also will need to understand what actions they can (and cannot) take during any formal proceeding to protect their interests. A recurring theme in the advice in this article is that landlords may need to get creative.
With over 100 globally experienced, locally qualified specialists across EMEA, Asia Pacific, North America and Latin America, we routinely call on the expertise of colleagues from a number of legal disciplines including tax, corporate, and disputes, as well as our industry specialists, to deliver comprehensive, coordinated and urgently available cross-border solutions.