Detroit’s Bedrock to Continue Offering Rent Relief to Retailers in Exchange for 7 Percent of Gross Sales
DETROIT — Bedrock, the real estate development company created by Quicken Loans Founder Dan Gilbert, has implemented a program called Bedrock Relaunch, which will build off its rent relief program that began in March with three months of rent abatement. Through Bedrock Relaunch, the landlord will provide all eligible, operating restaurant and retail tenants with the option to waive all rent and fees for the month of June; waive base rent in favor of paying 7 percent of gross sales starting in July; and apply the security deposit toward reopening costs. The temporary lease amendments will span the remainder of 2020.
“It is becoming clear that even when all businesses are able to reopen, it’s unlikely their sales volume will immediately return to pre-pandemic levels, and we want to make sure that rent payments aren’t a barrier to success,” says Matt Cullen, Bedrock CEO. “Dan Gilbert founded Bedrock 10 years ago on the principle that a landlord should be an invested partner with each tenant as well as a responsible corporate citizen. We are committed to doing everything we can to make sure we all come out of this together, including looking into experiential initiatives that will help drive traffic back to storefronts.”
To be eligible for Bedrock Relaunch, tenants must be currently operating as a retailer or food and beverage purveyor or a new tenant that opens before the end of the year. Tenants must also be in good standing with their lease agreements prior to the beginning of the pandemic.
Since its founding in 2011, Bedrock has invested and committed more than $5.6 billion to acquiring and developing more than 100 properties. The company’s real estate portfolio consists of 210 office tenants and 125 retailers and restaurants in downtown Detroit.