Landlords must give Small Independent Tenants "Percentage of Turnover Rent Leases", which include Simple Termination Clauses.

DEAR CUSTOMERS AND CLIENTS. SMALL RETAILERS AND INDEPENDENT TENANTS NEED YOUR HELP TO SURVIVE. OUR NEED IS IMMEDIATE AND DESPERATE!

The majority of Landlords in South Africa, who are members of SAPOA, SA Reitz or the South African Shopping Centre Association, insist on Leases which have Rent Provisions based on square meterage of rented facilities and not based on the realised Turnover of the Business, on a month-to-month basis.

Small Tenants are exposed in the face of seasonal fluctuation of visitors to a Centre, or the fluctuating attraction to products and services based on different Seasons, Trends and Fashions.

Retailer are bound and chained to over-priced and de-risked leases which are wholly in-favor of the Landlord and inconsiderate of the realities of the Retail Business Entrepreneur.

These leases are often multi-year and impossible to cancel or to get out of, with prohibitive penalties and consequences for breach.

In the face of pandemics such as Covid-19 the reality is that despite a trading lockdown, the Tenant is the one who is forced to completely carry the risk for all Rates and Taxes as well as to continually be obligated to pay Rent in the face of R0 turnover.  

Landlords and Managing Agents who are oblivious to the realities of their Tenants will tell you that they never held a gun to their Tenants heads. However the reality is that if a Retailer wants to operate they have to set up in a Shopping Centre because the Urbanisation Policy of our major cities and towns in South Africa, driven by Developers, Insurance Companies and Investment Barons operating in-concert with Politicians, has been to decimate Independent High Street Shopping, forcing Retailers and Entrepreneurs to have to succumb to these unilateral and one-sided leases, presented to them by Landlords often through Managing Agents, or to run-the-risk of never being able to open up to trade, at all.   

Dr Ivor Blumenthal: CEO of The South African Independent Tenants Association - SAITA    Contact the author of the petition