JasonParis
Moderator
My hope would always be a downtown Simons. But that would only take maybe 1/3 of the floorplate.
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AlbertC
Superstar
Mall Landlords Evict Hudson’s Bay Stores for Unpaid Rent
Oct 13, 2020
According to a French language report by Marie Eve Fournier in La Presse last week, the Hudson’s Bay Company is being evicted from three Cominar-owned malls in Quebec due to non-payment of rents. The Hudson’s Bay Company says that the move by landlords is a form of intimidation and ‘bad faith’ and that the retailer is looking for resolution.
Cominar REIT says in court filings that HBC hasn’t paid rent since April at Rockland Centre in Montreal (monthly rent $86,200), Mail Champlain in Brossard (rent $110,200/month), and at Centre Laval in Laval (rent $20,500/month). Notices of default were sent in June and notices of termination followed last month. In total, damages and unpaid rents claimed amount to $3.68 million for Rockland Centre, $26.95 million for Mail Champlain, and $2.21 million for Centre Laval. All three stores in those malls are currently open.
Another French language report last week in La Presse noted that landlord Oxford Properties is suing HBC for more than $2.29 million in unpaid rents at two shopping centres including Galeries de la Capitale in Quebec City (monthly rent of $220,000) and Promenades Gatineau near Ottawa ($145,900/month rent). The same report notes that HBC had not paid rents for eight of the 11 Oxford-owned malls in Canada containing Hudson’s Bay stores.
Employees from HBC’s offices in Brampton Ontario are being moved to offices in Toronto. The company notes that it’s part of a “new way of working” as the world shifts amid the COVID-19 pandemic.
www.retail-insider.com
Oct 13, 2020
According to a French language report by Marie Eve Fournier in La Presse last week, the Hudson’s Bay Company is being evicted from three Cominar-owned malls in Quebec due to non-payment of rents. The Hudson’s Bay Company says that the move by landlords is a form of intimidation and ‘bad faith’ and that the retailer is looking for resolution.
Cominar REIT says in court filings that HBC hasn’t paid rent since April at Rockland Centre in Montreal (monthly rent $86,200), Mail Champlain in Brossard (rent $110,200/month), and at Centre Laval in Laval (rent $20,500/month). Notices of default were sent in June and notices of termination followed last month. In total, damages and unpaid rents claimed amount to $3.68 million for Rockland Centre, $26.95 million for Mail Champlain, and $2.21 million for Centre Laval. All three stores in those malls are currently open.
Another French language report last week in La Presse noted that landlord Oxford Properties is suing HBC for more than $2.29 million in unpaid rents at two shopping centres including Galeries de la Capitale in Quebec City (monthly rent of $220,000) and Promenades Gatineau near Ottawa ($145,900/month rent). The same report notes that HBC had not paid rents for eight of the 11 Oxford-owned malls in Canada containing Hudson’s Bay stores.
Employees from HBC’s offices in Brampton Ontario are being moved to offices in Toronto. The company notes that it’s part of a “new way of working” as the world shifts amid the COVID-19 pandemic.
Brief: Hudson's Bay Receives Eviction Notices from Malls, Banana Republic Shutters on Bloor
Other News: Diesel opens only Canadian store at Yorkdale, Frank And Oak looks to international expansion after acquisition, Oxford Properties supports food banks, interview with Muji President, King & Bay innovates to fight the spread of COVID-19.
www.retail-insider.com
Richard White
Senior Member
Mall Landlords Evict Hudson’s Bay Stores for Unpaid Rent
Oct 13, 2020
According to a French language report by Marie Eve Fournier in La Presse last week, the Hudson’s Bay Company is being evicted from three Cominar-owned malls in Quebec due to non-payment of rents. The Hudson’s Bay Company says that the move by landlords is a form of intimidation and ‘bad faith’ and that the retailer is looking for resolution.
Cominar REIT says in court filings that HBC hasn’t paid rent since April at Rockland Centre in Montreal (monthly rent $86,200), Mail Champlain in Brossard (rent $110,200/month), and at Centre Laval in Laval (rent $20,500/month). Notices of default were sent in June and notices of termination followed last month. In total, damages and unpaid rents claimed amount to $3.68 million for Rockland Centre, $26.95 million for Mail Champlain, and $2.21 million for Centre Laval. All three stores in those malls are currently open.
Another French language report last week in La Presse noted that landlord Oxford Properties is suing HBC for more than $2.29 million in unpaid rents at two shopping centres including Galeries de la Capitale in Quebec City (monthly rent of $220,000) and Promenades Gatineau near Ottawa ($145,900/month rent). The same report notes that HBC had not paid rents for eight of the 11 Oxford-owned malls in Canada containing Hudson’s Bay stores.
Employees from HBC’s offices in Brampton Ontario are being moved to offices in Toronto. The company notes that it’s part of a “new way of working” as the world shifts amid the COVID-19 pandemic.
Brief: Hudson's Bay Receives Eviction Notices from Malls, Banana Republic Shutters on Bloor
Other News: Diesel opens only Canadian store at Yorkdale, Frank And Oak looks to international expansion after acquisition, Oxford Properties supports food banks, interview with Muji President, King & Bay innovates to fight the spread of COVID-19.
Something tells me that HBC is in trouble.
WislaHD
Superstar
A significant downsizing is likely on the cards.
I wonder if they will move towards having one flagship store per population centre in Canada (with Toronto being exception of having more).
I wonder if they will move towards having one flagship store per population centre in Canada (with Toronto being exception of having more).
Richard White
Senior Member
With the advent of online shopping I can see the bay getting out of alot of smaller cities in Canada.
Even in Toronto I foresee alot of stores closing. Toronto is too saturated right now. They have 7 stores that I know of in Toronto which for the bay is alot when places like Nordstrom can do with 2 stores.
Northern Light
Superstar
Mall Landlords Evict Hudson’s Bay Stores for Unpaid Rent
Oct 13, 2020
According to a French language report by Marie Eve Fournier in La Presse last week, the Hudson’s Bay Company is being evicted from three Cominar-owned malls in Quebec due to non-payment of rents. The Hudson’s Bay Company says that the move by landlords is a form of intimidation and ‘bad faith’ and that the retailer is looking for resolution.
Cominar REIT says in court filings that HBC hasn’t paid rent since April at Rockland Centre in Montreal (monthly rent $86,200), Mail Champlain in Brossard (rent $110,200/month), and at Centre Laval in Laval (rent $20,500/month). Notices of default were sent in June and notices of termination followed last month. In total, damages and unpaid rents claimed amount to $3.68 million for Rockland Centre, $26.95 million for Mail Champlain, and $2.21 million for Centre Laval. All three stores in those malls are currently open.
Another French language report last week in La Presse noted that landlord Oxford Properties is suing HBC for more than $2.29 million in unpaid rents at two shopping centres including Galeries de la Capitale in Quebec City (monthly rent of $220,000) and Promenades Gatineau near Ottawa ($145,900/month rent). The same report notes that HBC had not paid rents for eight of the 11 Oxford-owned malls in Canada containing Hudson’s Bay stores.
Employees from HBC’s offices in Brampton Ontario are being moved to offices in Toronto. The company notes that it’s part of a “new way of working” as the world shifts amid the COVID-19 pandemic.
Brief: Hudson's Bay Receives Eviction Notices from Malls, Banana Republic Shutters on Bloor
Other News: Diesel opens only Canadian store at Yorkdale, Frank And Oak looks to international expansion after acquisition, Oxford Properties supports food banks, interview with Muji President, King & Bay innovates to fight the spread of COVID-19.
No inside knowledge here; but my first thought is that HBC has been looking to close a numbers of stores since at least last year (or so I heard).............but many are tied up in long-term leases that HBC from which HBC can't just walk away.
Hypothetically, it might be an interesting strategy to get the landlord to move to terminate the lease; and all you owe is the outstanding rent you would have paid anyway and no lease termination payments.
Were that the case, where rent was being paid might suggest which stores are tagged for retention.
I mean none of these rents are onerous looking for a decently performing store. Laval looks like a steal.
If they're not turning a profit in Laval at that rent; the store should close.
WislaHD
Superstar
I can't see them leaving their spots in the large shopping centres in Toronto (Sherway Gardens, Yorkdale, Fairview, Scarborough Town Centre) or their Queen Street location.
I think Eglinton Square and Bloor/Yonge are fair game though. The former is set to be redeveloped anyway.
Richard White
Senior Member
Fairview I can see them leaving. It's close to two highways and the Scarborough Town Center. It's also similar to the Markville Mall situation where they are in close proximity.
Northern Light
Superstar
There are 9 Toronto stores.
Bloor
Eglinton Sqaure
Centrepoint
Woodbine
Would be the 4 most likely to be on the chopping block.
Fairview is borderline.
Bloor
Eglinton Sqaure
Centrepoint
Woodbine
Would be the 4 most likely to be on the chopping block.
Fairview is borderline.
Richard White
Senior Member
I thought Centrepoint was in York Region?
Northern Light
Superstar
South side of Steeles is still Toronto.
Richard White
Senior Member
This is primarily a fault of how the mall is designed though. Fairview, Markville, Oshawa Centre and Square One all have The Bay located in a tucked away corner of the mall.
The only reason you will find The Bay at Fairview is because you were lost compared to malls like the Scarborough Town Centre where you have to walk right by it.
WislaHD
Superstar
As someone whose default The Bay to go to is at Fairview Mall, and with some heavy personal bias, I respectively disagree.
They serve different markets and geographies, and more often than not the reason why we would go to Fairview Mall was because of The Bay, and the rest of the mall was more of an "amenity" to that trip purpose. Further, if you park on the Hudson Bay side of the mall, you very much have to walk through Hudson Bay in order to access the mall.
In contrast, I think I have only been to Scarborough Town Centre once in my life total and that was during a Nuit Blanche where the mall was already closed anyway.
I don't know what the economics are with Fairview but I have to imagine that as one of the main anchors of the mall, being on a high growth corridor (and potentially future interchange of Sheppard and the Ontario Line), and being the local store for many nearby affluent neighbourhoods, they would be reluctant to leave, and if they were to leave Fairview then they would be in quite some crisis overall.
I agree though it is likelier they leave Fairview before Sherway, Yorkdale, or
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Towered
Senior Member
I would love if someone could explain how the hell their Woodbine location is still going...
Richard White
Senior Member
I thought Woodbine was too backwater hillbilly for the bay.