Galeria is asking property owners to defer rent payments

After three bankruptcies, the German department store chain Galeria is once again facing financial difficulties: the retailer has asked several landlords to defer rent payments.

Sales below expectations

Several landlords have independently reported to the German Immobilien Zeitung, a sister publication of Lebensmittel Zeitung, that Galeria has requested a deferral of rent payments. The retailer reportedly wants to defer rent for April and September interest-free and pay it only in April and October 2027. In several cases, the department store chain reportedly has not yet paid the rent for April.

Not all store owners seem inclined to grant the request: “We have refused the deferral because, after three bankruptcies, we have somewhat lost confidence in the concept’s future viability,” a landlord told the magazine. Galeria does not wish to provide information about ongoing discussions or negotiations.

It does appear clear, however, that following the three bankruptcies over the past six years, the company is once again in financial trouble. In the 2024/25 fiscal year, Galeria was still operationally profitable with revenue of approximately 2 billion euros, but revenue since October 1 has fallen short of projections. The annual rent expenses for the 83 remaining stores range between 100 million and 120 million euros.