The Rise or Fall of FOC?
The economic downturn has put significant pressure on Full Price Retail Sales. Extended Sales periods on the “High Street” have weakened the distinction between Full Price and Outlet. We need to recognise that Outlet is a distinct retail channel that can serve the Retailer across all economic conditions and support the maintenance of price integrity in their High Street Full Price operations. FOC’s should therefore be run as separate business models and by its nature of predominantly Turnover Rent lead leases this is the perfect environment for a true working relationship between the Landlord and the Tenant.