David Jones Enters Administration After Rent Dispute With Scentre Group
David Jones entered voluntary administration and receivership on November 5 after failing to pay rent to Scentre Group and reporting a $95.5 million pre-tax loss.
The 188-year-old department store David Jones entered voluntary administration and receivership on November 5, 2026, following a breakdown in negotiations with its primary landlord, Scentre Group. The collapse was triggered by the retailer's failure to pay rent since September, leading Scentre Group to declare the company in breach of its lease agreements. Scentre Group CEO Elliott Rusanow stated that a "generous offer" to facilitate continued trading was rejected by the retailer's owner, Anchorage Capital Partners.
McGrathNicol was appointed as voluntary administrator to seek a sale or recapitalization, while FTI Consulting was installed as receiver by secured lender Hilco Capital to manage day-to-day operations. The retailer reported a $95.5 million pre-tax loss for the year ending June 2026 and missed its regulatory filing deadline for the following year. The financial crisis has put 6,000 jobs at risk and led several luxury brands to withdraw stock, while small suppliers report significant unpaid debts.
Despite the administration, FTI Consulting reported record foot traffic and online sales immediately following the announcement. Receivers are currently replenishing stock to prepare for Black Friday promotions. CEO Erica Berchtold stated the company has a plan to "reset the business for the future," though the company is reviewing its footprint of 38 stores across Australia and New Zealand, with potential closures of up to half its locations.
