New York debacle could cost Valentino more than $200 million
Italian luxury brand Valentino has said it will appeal a court ruling that ties it into a property contract on New York’s Fifth Avenue until 2029. In a parallel court case, its former landlord has asked for the brand to pay it more than $200 million for damage to the site and for lost revenue from the rent it would have received in the years ahead.
Valentino closed the store in December 2020 and asked to be released from the contract. It said the impact of covid-19 on its business made it impossible for it to continue to operate there.
By the time the dispute came to court at the end of January, the site had already suffered damage that the landlord said would cost almost $13 million to repair. Reuters has reported that the landlord, 693 Fifth Owner LLC, returned to court in mid-February and filed a suit for money to cover the damages and future rental income it would have received.
It put the total figure at $207.1 million.
Image: 693 Fifth Owner LLC.
