Canadian Retail Thread

[SpongeG]

Target announces first 24 stores in Canada; initial openings all in Ontario

Minneapolis-based Target Corp. (NYSE:TGT) on Thursday announced the location of the first 24 of the 125 to 135 stores it plans to open in Canada beginning next year.

All of the first two dozen are at malls in various communities in Ontario.

"We are excited to announce the location of these first 24 Target stores . . . ," said Target Canada president Tony Fisher.

"In addition to providing Canadian guests with an exceptional shopping experience, Target looks forward to continuing our strong reputation of being a good neighbour in the Canadian communities in which we will do business."

Target has purchased the leasehold interests of 189 sites currently operated by Zellers Inc. and about $10 million to $11 million will be invested to remodel each facility.

Each location will employ between 150 to 200 workers, with hiring slated to being in 2012.

The announcement came on the same day that Target lowered its earnings expectations after a disappointing December in which U.S. consumers waited until the last minute to shop.

Revenue at stores open at least a year rose 1.6 per cent. That missed analyst expectations for a 3.1 per cent increase, according to Thomson Reuters.

Target's stock fell 3.4 per cent, or $1.70, to US$48.30 in afternoon trading.

Revenue at stores open at least a year is considered a key measure of a retailer's financial health because it excludes volatility from stores that open or close.

Strong grocery and beauty product sales offset weakness in electronics, movies, books and music, the company said. In addition, sales and traffic were stronger in the week before Christmas thanks to last-minute shopping.

Total revenue for the five weeks ended Dec. 31 rose 2.6 per cent to $10.14 billion.

The company now expects fourth-quarter earnings of $1.35 to $1.43 per share. That compares with prior guidance of $1.34 to $1.53 per share. Analysts had $1.48 per share.

Target Corp. said it expects revenue in stores open at least a year to rise in the low- to mid-single digit percentage range.

Following is a list of malls where the first Target stores in Canada will open, grouped by community:

...

http://ca.news.yahoo.com/target-dece...192743111.html

[manny_santos]

Did anyone watch Marketplace on CBC last night? They were talking about "Canada's Worst Customer Service". They "awarded" Zellers with this dubious distinction, although this is based on the opinions of people surveyed in a Leger Marketing study - and we all know any study is prone to bias and error.

The big surprise for me was that Canadian Tire was awarded second-worst customer service. They're not perfect but I find they are better than Wal-Mart, Zellers, and Rona. Their employees at least seem to know their products better than some other retailers.

Last night's program did smack of sensationalism though. I don't think it's fair to single out Zellers for bad customer service when customer service levels can vary widely from one store location to another across Canada, and there are often local competitors, some of which can be far superior to chains, and some of which can have service far worse than any chain.

What was interesting though was how polite Canadians are when confronted with bad service. They tend to just walk out without saying anything. Personally, I usually say something without making a scene; I realize that the front-line employees are often not personally responsible for certain problems, but at the same time someone needs to know.

[bulliver]

^ Ha ha, I in fact did watch that. That is, it was on whilst I was tooling around on the computer. Pretty brutal that Zellers would not refund payment for an obviously used coffee maker sold as new.

[Coldrsx]

Edmonton leads country in retail construction


BY BILL MAH, EDMONTONJOURNAL.COM JANUARY 19, 2012 3:06 PM



STORYPHOTOS ( 1 )



More retail space is under construction in Edmonton than anywhere else in the nation, says a new report by commercial real estate firm CBRE.
Photograph by: Ed Kaiser, Edmonton Journal
EDMONTON - More retail space is under construction in Edmonton than anywhere else in the nation, says a new report by commercial real estate firm CBRE.

“This energy-based economy is really driving a lot of things in this city from residential construction to industrial demand and when there’s low unemployment, people are buying so retailers are strong,” said Dave Young, senior vice-president and managing director of CBRE’s Edmonton office.

“Will the other shoe fall? I don’t know, but right now and going into 2012, we’re pretty bullish on all markets and retail definitely will be strong for the coming year.”

http://www.edmontonjournal.com/busin...621/story.html

[MolsonExport]

Canadian Tire deserves the Award. Terrible place, terrible service. I am amazed that anybody shops there. Prices are lousy, service is worse. the place is a messy maze. What is the attraction?

[freeweed]

Originally Posted by MolsonExport

Canadian Tire deserves the Award. Terrible place, terrible service. I am amazed that anybody shops there. Prices are lousy, service is worse. the place is a messy maze. What is the attraction?

Nostalgia combined with ignorance of other options.

They occasionally have something no other competitor has (I got my snow thrower there, no one else locally carried the brand) but beyond that they're a vastly overpriced, horribly laid out, confusing mess of "what kind of store are we going to be this year" kind of place. Jack of all trades, master of none. They try to cram so many different things into a single store that they rarely actually have much selection for a given item, or if they do, the one you want isn't in stock. Of course this applies to much of the retail landscape today, CT just exemplifies it. And it's where everyone over 60 shops.

Disclaimer: I don't work on cars nor do I need a 850-count socket set for anything else. I get the impression that car mechanic types might find CT more useful than I, so for those people it might make sense. Otherwise, CT was great - 40 years ago. These days I really don't understand how they stay in business (other than old people).

[SpongeG]

Canadian Tire is awful, its hard to find someone who works there and if you do they don't know much or say this is not my area and say go find somene over there

the newer stores are so big too you can walk forever before you find anyone only to have them look at you like they have no clue what you just asked

[jlousa]

I love CT, their service sucks but I know what I want when I head there. Think them buying Marks was a great synergy play. Always thought they should get Tim Hortons on board and have mini Tims stores inside them.

I can just picture a line of hipsters eating tidbits and pushing a shopping cart with rabbit ears/welcome mats/ and boxes of pot of gold around the store in furry hats trying to find an employee to take down a canoe from a shelf 20ft up.

[Black Star]

Originally Posted by SpongeG

Canadian Tire is awful, its hard to find someone who works there and if you do they don't know much or say this is not my area and say go find somene over there

the newer stores are so big too you can walk forever before you find anyone only to have them look at you like they have no clue what you just asked

I have to agree with some of the assessments here. I bought a stationary bike in the fall and it took the kid 1/2 and hour to locate in the back! Just recently I bought my boys a mini bike only because it was on sale and again it took a good 1/2 hour to find the right key to open the lock to get the bike!! I do like Canadian Tire...but service there and in many retail sectors is subpar.

[Acajack]

It is comforting to see that Canadian Tire seems to have the same service standard across the country!

That said, Canadian Tire's popularity in spite of it all comes from the fact that it has the most amazing variety of practical stuff that you just might need one day. If you need item X for your house, car, cottage, etc., they almost certainly have it. People from other countries I know just love Canadian Tire for this reason. They tell me: if you think of some obscure thigamajig that you need, betcha Canadian Tire will have it.

So although their customer service sucks, I'd say the purchasing division (or whatever you might call it) is top-notch.

[MolsonExport]

I've always been puzzled as to why people would buy chocolate (pot of gold) and/or cookies/foodstuffs from Canuckian Tire given that the place vaguely smells like rubber, iron, and motor oil.

[MolsonExport]

^I tend to go to Lowe's for Hardware and yard stuff, Costco for most everything else, and my Honda dealer for car maintenance. I just don't see a need to subject myself to the extraordinarily poor service (reaches a new low in the retail environment) of CannedTire.

If you dislike Canadian Tire, here is a site for you: http://www.canadiantiresucks.net/

[Winnipegger@Heart]

They are this half-ass general merchandise retailer that makes money, so people like it; I don't probably because I do not do repairs to vehicles, and for lighting, bathroom or kitchen hardware, home decor, I visit specialized shops or even Home Depot, Canadian Tires has a little bit of this, a bit of that, nothing stylish. I do think it is time for a logo update though.

[youngregina]

We are getting an Aeropostale in Regina!! haha.

[MolsonExport]

Confirmed this morning, the Apple Store coming to London. Masonville Mall.

[SpongeG]

CB2 rocks Queen West

Aging hipsters who recall Queen West as a nexus of early ’80s punk/new wave culture tend to look in wonder — and just a touch of wistfulness — at the studied hipness it’s acquired since then. In those days, it was home to small storefront art studios, some of whose upper floors played host to late-late-night speakeasies, alongside hangover-worthy greasy spoons, and “vintage” stores which back then described their wares by more pedestrian descriptions; to wit, old clothes and junk.

The latest entrant to the upwardly mobile mix is the first Canadian location of CB2 ( www.cb2.ca), a U.S. retailer that also owns Crate and Barrel ( www.crateandbarrel.ca), which landed in Canada a few years ago, and now has four locations — two in the GTA (Yorkdale and Square One) and one each in Calgary and Edmonton.

The new CB2 store is housed in what used to be the much-lamented Big Bop at Queen St. W. and Bathurst St. (aforementioned aging hipsters will remember even further back when it was the Holiday Tavern, a local watering hole with a certain picturesque, if time-ravaged, appeal.) It sits next door to the beautifully refurbished Burroughes Building, which houses the small independent Design Republic, which also offers home decor, often from local sources.

Alas, tempus fugit. But oldsters can take comfort in that the redesign of the building certainly is pretty, with a glass expanse that rises two stories on the west-facing side. The flood of natural light should make shopping there a welcome change from the fluorescent hell of the cavernous big box. Inside, the ghost of buildings past are reflected in small ways, such as concrete flooring, metal fixtures and original signage.

Beyond the fact that CB2 has re-thunk the space well, there are other reasons to like this plucky little retail chain, which is hoping to draw urbanites looking to create design looks in smaller spaces with affordable pieces.

The product offering is broad and includes furniture, kitchenware, art, bed and bath linens, lighting and accessories. I took my 19-year-old daughter with me for market testing purposes (also because she’s brilliant company). If she’s at the very low-end of their target age market, her reaction bodes well. She liked lots, starting with the high-colour graphic art, which includes both emerging and internationally recognized artists, sometimes in limited issue runs. Rumour has it that local designer Karl Lohnes will soon have a piece, inspired by the Jubilee Year, in CB2’s art collection.

There’s a decent-sized kitchen offering with fun tabletop items, such as perforated acrylic felt table runners (yes, you certainly could make one yourself. But will you?) for $23. Stainless steel semicircular snack bowls start at $13. We both liked the witty accessories — oversized chopsticks ($5) that function like giant clothes-pegs and plates ($5) with silly graphics of stale doughnuts and such by New York artist Dan Golden ( www.dangolden.com).

It’s also hard not to smile at Golden’s line of black and white accessories, partly because they so accurately reflect the anxieties and sensibilities of CB2’s young, urban shoppers in text and image. For example, a throw pillow ($35) features a “self-hating” elephant contemplating liposuction.

...

http://www.thestar.com/article/11218...cks-queen-west

[LeftCoaster]

maybe this will revive this thread from the dead.

Huge news out of the US which might lead to some speculation up north of the border...

GGP to Acquire 11 Sears Anchor Pads
Portfolio Totals 1.8 million Square Feet of Gross Leasable Area

Press Release: General Growth Properties, Inc. – 3 hours ago

CHICAGO, Feb. 23, 2012 /PRNewswire/ -- General Growth Properties, Inc. (NYSE: GGP - News) ("GGP") today announced a definitive agreement for the acquisition of 11 Sears anchor pads within its portfolio for $270 million. The acquisition is expected to close in the second quarter of 2012 subject to customary closing conditions.
"This portfolio represents a significant opportunity to recapture valuable real estate within our portfolio," said Shobi Khan, chief operating officer, General Growth Properties. "This acquisition also enhances several expansion and redevelopment opportunities including re-tenanting the anchor space and adding new in-line GLA. Over the next several years we anticipate adding 319,000 square feet of new in-line space, the majority at Ala Moana Center, our most productive mall with sales surpassing $1,200 per square foot. In addition, we look forward to continuing to work with Sears as they represent an important anchor tenant within our portfolio."

PORTFOLIO INFORMATION
Upon closing, GGP will own the following anchor pads. GGP anticipates Sears to continue occupying each space into 2013 until the final closing dates are determined.

Mall, Location
Ala Moana Center, Honolulu, HI
Apache Mall, Rochester, MN
Bellis Fair, Bellingham, WA
Coral Ridge Mall, Coralville, IA
Fashion Place, Murray, UT
Mall of the Bluffs, Council Bluffs, IA
Market Place Shopping Center, Champaign, IL
Provo Towne Centre, Provo, UT
Quail Springs Mall, Oklahoma City, OK
West Oaks Mall, Ocoee, FL
The Woodlands Mall, Woodlands, TX

ABOUT GGP
General Growth Properties, Inc. owns or has an interest in 136 regional shopping malls comprising approximately 140 million square feet of gross leasable area in the United States. GGP is headquartered in Chicago, Illinois, and publicly traded on the NYSE under the symbol GGP. For further information please visit the GGP website at www.GGP.com.

http://finance.yahoo.com/news/GGP-Ac...75398.html?x=0

[manny_santos]

Originally Posted by LeftCoaster

maybe this will revive this thread from the dead.

Huge news out of the US which might lead to some speculation up north of the border...

It's interesting you've posted that link, as Sears Canada seems to have a long recovery ahead after years of the brand going downhill, according to reports in the Toronto Star. The most telling thing in that article was the comments. Virtually all of the 55 comments echoed a common sentiment that I agree with: customer service at Sears in Canada sucks big time.

[davidivivid]

IKEA is investing $80M to expand its Montreal megastore, which will see its surface area jump from 258 000ft² to 469 000ft² and making it IKEA's biggest store in North America.
http://www.lesaffaires.com/archives/...ontreal/542975


Also, Harry Rosen intends to invest $20M in Montreal in order to open a new 40 000ft² flagship store.
http://www.lesaffaires.com/archives/...n-phare/542982

[Martin Mtl]

Ogilvy proposal 'fantastic' for downtown

Project combining shops, condos, hotel one of 10 planned developments

BY ALLISON LAMPERT, THE GAZETTE APRIL 4, 2012

If it comes to fruition, the proposal to redevelop the former Ogilvy department store downtown would transform de la Montagne St., north of Ste. Catherine St. W.



Photograph by: ALLEN MCINNIS GAZETTE FILES , The Gazette

A $150-million project to reinvent the landmark Ogilvy department store in downtown Montreal as part of a hotel, residential and highend shopping complex is ambitious, even for a city undergoing an unprecedented real estate boom, real estate observers say.

The Maison Ogilvy project would expand the iconic store, which would be connected to a new development on de la Montagne St. that combines ground floor shopping and underground parking with 110 condos and a 120-room hotel, a description published Tuesday by Montreal's downtown Ville Marie borough said.

The Hotel de la Montagne would have to be demolished and a parking lot would be developed for the new construction, which would be up to 16 stories high.

"If it comes to fruition, it would be a fantastic project for downtown Montreal," said Jeffrey Berkowitz, president of Aurora Realty Consultants, a retail and real estate specialist.

The project - presented to the borough Tuesday night and is contingent on city hall approval - is the brainchild of Selfridges Group Ltd., which owns Ogilvy, along with Montreal-based partner and developer Devimco Inc. The Quebec Federation of Labour's Fonds de solidarité is a financial partner.

"It's the first step in a very long process," said Jean-Sébastien Lamoureux, a Montreal-based spokesperson for Selfridges.

The 545,000-square-foot project was at one point designed to reach all the way to de Maisonneuve Blvd.

But the owner of Wanda's strip club at the corner of de Maisonneuve refused multimillion-dollar offers to sell his building to developers, so the project is going ahead without him, sources told The Gazette.

Lamoureux would not address rumours that Selfridges-owned Holt Renfrew department store would be moved into the Ogilvy's building.

The Maison Ogilvy project is one of 10 developments - with a combined 1,600 condo units and 555,000 square feet of office space - planned by private developers for downtown Montreal, the Ville Marie borough said.

In fact, some of these 10 projects, including the transformation of the Ekers Brewery on St. Dominique St. into condos, along with plans by developer Cadillac Fairview Corp. Ltd. to build an office tower on Saint Antoine St. near the Bell Centre, have already been announced.

In several cases, the projects would be conditional on making adequate sales or, in the case of office space, securing tenants willing to pay the higher net rents charged by developers for new construction.

A handful of developers, have already proposed building new office space in Montreal, but have yet to announce deals with anchor tenants.

Fuelled by historically low interest rates, condos are being built in record numbers in Montreal and other Canadian cities like Toronto. The new housing market, however, is expected to soften this year in Montreal with analysts expecting starts to drop 15 to 20 per cent compared with 2011.

alampert@ montrealgazette.com Twitter@RealDealMtl



Read more: http://www.montrealgazette.com/busin...#ixzz1rCCmQik8