Court Monitor says that it does not support Hudson’s Bay Scheme to sell Ruby Liu leases

Monitor appointed by the court, who is overseeing Hudson’s bay creditor protection case, says it is against the landlords who are being forced to accept a BC billionaire plan to buy more than two dozen retailers of BC billionaire.

In a new court held late on Wednesday, Alvarez and Marsal said it does not agree that landlords should take Ruby Liu as a tenant, although it says that it supports the sales process that ended with the selection of 28 of the leases of the bay pattas.

Liu bought three bay leases at the BC Mall, which is for $ 6 million earlier this year, but his deal has faced opposition from the retailer’s biggest lenders and one of the most of its landlords to buy the other 25 at $ 69.1 million.

They say that leases do not allow for food, entertainment and recreational places, Liu has talked about opening inside the department store that she expects to work in assets.

They also say that Liu’s deadline and budget are very unrealistic, given the amount of work and their properties are required to be repaired.

Liu says that he does not think the spaces need to be repaired. If they are necessary, she says that her company will do them, even if they are more than its current budget.

The judge is expected from a court before rule the case of Judge Peter Osborne next Thursday and Friday.

Alvarez and Marsal Liu had the last party involved with the lease part of the case to weigh the deal.

To reach the conclusion that Liu did not get the leases, the monitor reviewed his business plan and the court filing from her, bay, lenders and landlords.

It also recently visited a cross-execution, where she said that Liu testified that she was involved in preparing her business plan, but did not speak English and admitted that the document was not translated into Mandarin until shortly before the hearing.

“This creates concern as Ms. Liu’s business plan’s participation and understanding,” Monitor said.

When it worked through all the documents and its statements, it determined that the Central Walk, the company of Liu, is looking to buy leases, “there is a start-up organization that has no existing operations, no brand recognition, and no track records as a retail business.”

Monitor said the leadership team Liu is inexperienced from the front, and when she sees some former Hudsan bay officials and managers to work, “they are incomplete,” the monitor said.

For example, it was noted that Liu said in his cross-examination that he had maintained former Bay President Wayne Drummond as an advisor, but for only two days. He said that he would not be part of his final operation, the monitor said.

Thus, Alvaraz and Marsal concluded, “The overall lack of experience at the leadership level represents a risk to the operational feasibility of launching and managing 25 large department stores in the reflective timeline.”

Liu hopes to open 19 of their 25 stores within six months of being handed over to the leases. The remaining will open within 12 months.

He is planning to spend $ 120 million on the repair and renovation of the store and has talked about receiving inventory from Merchandise Management Company, J2.

However, the reports of Alvarez and Marsal stated that recently cross-execution has shown that Liu has no longer intended to use J2 to manage his supply chain and has not identified any other option.

The amount of compressed timelines and inventory would require him to “represent a risk for the execution of the business plan,” the monitor eventually found.