Eddie Bauer retains RCS Real Estate Advisors as consultant for bankruptcy proceedings

Eddie Bauer has retained RCS Real Estate Advisors, a national retail real estate advisory firm, to serve as its consultant during its ongoing bankruptcy proceedings. 

In its role, RCS is set to advise Eddie Bauer in all matters related to real estate. The announcement comes weeks after the outdoor retailer filed for Chapter 11 bankruptcy and signed a restructuring support agreement with its secured lenders. 

Under the agreement, Eddie Bauer will start with liquidation sales of its 200 North American stores, while simultaneously seeking an expedited sale of the business as an operating entity. 

Should Eddie Bauer pursue a sale, RCS will negotiate any lease adjustments required by potential buyers, including extensions, rent reductions, rent holidays, or other restructuring measures. The firm will also evaluate opportunities to market select leases where value can be recovered as certain stores close.

“When a retailer enters Chapter 11, the real estate portfolio becomes a central consideration,” said Ivan Friedman, CEO of RCS Real Estate Advisors, in a statement. “Our responsibility is to analyze the leases, advise on strategic options, and help manage the portfolio in a way that protects stakeholders and maximizes any available value.”

Eddie Bauer currently operates more than 200 stores across 43 states and Canada,  totaling approximately 1.4 million square feet of leased retail space. RCS’s appointment is subject to approval by the US Bankruptcy Court.