DALLAS-Blockbuster Inc.’s request to conduct an auction for its assets, coupled with its agreement to sell those same assets for $290 million to a “stalking horse” bidder if no other buyers offer a higher price, could prolong the lease review process, according to a legal expert familiar with the company’s bankruptcy.

That means landlords will be in the dark as to whether Blockbuster will continue as a tenant in their centers or vacate that space. The upside is that landlords will have more time to either work with Blockbuster or find another tenant to backfill the space.

As part of its Chapter 11 bankruptcy proceedings, Blockbuster is working with the U.S. Bankruptcy Court for the Southern District of New York to obtain permission to conduct an auction. The company also inked an agreement to sell its assets to Cobalt Video Holdco, LLC, a limited liability company formed by funds managed by Monarch Alternative Capital LP, Owl Creek Asset Management LP, Stonehill Capital Management LLC and V