50% rent reduction for bars and restaurants

50% rent reduction for bars and restaurants
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50% rent reduction for bars and restaurants in Catalonia forced to close during lockdown.

The Catalan government announced on Wednesday, October 21 that businesses who were unable to carry out their normal function during Covid restrictions – such as bars and restaurants – will be subject to up to 50 per cent rent reduction by law.

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In Catalonia, the government announced on October 14 that all bars and restaurants were to be closed for a 15 day period, in a bid to stop the spread of infection in one of Spain’s worst hit areas.

Proportional reductions will apply, with those commercial premises forced to cease trading altogether receiving a 50 per cent reduction. In the cases of other businesses, proportional reductions are now required by law, where an agreement can’t be reached between landlord and tenant.

Meanwhile, the regional government of Catalonia is providing a €40-million fund to help businesses affected by the restrictions, and a credit line of €20-million for loan guarantees.


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