LMIR Trust: Unable to ascertain full financial impact of pandemic-related mall closures

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Lippo Malls Indonesia Retail Trust (LMIR Trust) said Monday given the uncertainty around Indonesia’s pandemic restrictions, it is difficult to ascertain the full impact of the crisis on the trust’s financial performance.

In compliance with Indonesia’s emergency public activity restrictions to curb the spread of Covid-19, now extended to the Medan region, the trust would close its retail malls in the area from 12 to 20 July, LMIR Trust said in a filing to SGX.

That was in addition to the closure of retail malls and retail spaces in Java and Bali from 3 to 20 July, with the possibility additional malls could face temporary closure and that the closure periods could be extended, the trust said.

“The trust will be extending rental waivers to tenants who are not permitted to operate during this period. The extension of additional rental support and utilities and service charge discounts are being considered,” the statement said. “Nevertheless, the trust has sufficient financial resources to meet its near-term financial obligations when they fall due.”

LMIR Trust noted that essential services within the malls, such as supermarkets, pharmacies, banks and clinics, will be allowed to remain open albeit with shorter hours and capacity limits, while restaurants and cafes can offer delivery and take-away services, but no dine-in options.