Hudson's Bay Company

[Northern Light]

Saks OFF 5TH to Shutter Store at South Edmonton Common in Edmonton

The store opened in 2016 as part of a major expansion for Saks OFF 5TH in Canada that was halted due to poor performance.

retail-insider.com

From the article above:

"Saks OFF 5TH entered the Canadian market in 2016 with plans for about 25 stores. Between 2016 and 2018 the retailer opened 18 stores in Canada and then halted the expansion — some landlords said that the retailer had been struggling in terms of sales with some locations selling less than $100 per square foot annually. Product in Saks OFF 5TH includes a range of brands and merchandise picked specifically for the outlet as well as some private-label merchandise and some clearance items from Hudson’s Bay stores, including pieces from luxury department The Room."

**and**

"So far only the South Edmonton Common Saks OFF 5TH location is confirmed to close, though we’re hearing that more closures could be coming and we’ll be providing updates."

 

[tripwire]

I don't think we have enough rich people (like China) for all these luxury brands. At the same time, the US is so close that it's easy to just go and buy down there - probably for cheaper too.

 

[Northern Light]

I don't think we have enough rich people (like China) for all these luxury brands. At the same time, the US is so close that it's easy to just go and buy down there - probably for cheaper too.

Off Fifth really isn't very luxury, it's closer to mid-range sprinkled with higher-end brands lower-tier offerings.

****

In respect of the true luxury segment, there are a lot of buyers available in Toronto and Vancouver.

But it's pretty sparse elsewhere, and if Holts is in any of the other markets, they probably have that sewn up.

In Toronto that is part of the issue, Holts has a lot of solid supplier relationships which preclude Saks from some of the exclusives they have in the U.S.

The fact that Sak's is also in the wrong place, and incorrectly sized and configured is a further issue.

That's on both CF and on Richard Baker whose understanding of retail is limited who made a real estate and cash deal to the detriment of an owned brand.

Sak's on Bloor, designed, sized, and configured properly could work.

I'd personally be disinclined, however to have one at Sherway. I think the GTA in light of having 3 Holts, probably only has room for 1 Saks.

 

[Tuscani01]

I'd personally be disinclined, however to have on at Sherway. I think the GTA in light of having 3 Holts, probably only has room for 1 Saks.

On that note - I was at Holts in Square One this weekend, and it was pretty busy! Same for the Hudson's Bay. Much busier than what I’m used to at the HBC @ The Eaton Centre.

 

[AlbertC]

After LV and Dior, the latest brand to exit the Saks Fifth Avenue at the Queen Street Bay store as a boutique concession is Saint Laurent, after a robbery happened last month that resulted in around $150,000 in stolen merchandise.

Saint Laurent Boutique Exits Saks Fifth Avenue in Downtown Toronto Following Robbery

It’s the third luxury brand boutique concession to exit the Saks flagship since December.

retail-insider.com

 

[Admiral Beez]

I don't think we have enough rich people (like China) for all these luxury brands.

It’s a funny thing, the higher my income goes the less I’m interested in luxury brands. I’ve never been into peacocking anyway, but unlike my younger self I don’t respond to marketing or groupthink on brands. Then again I don’t think I’ve bought anything besides food (and obligatory Christmas and d’day gifts) since WFH started in March 2020. The only fancy item I’d like is a new motorcycle.

 

[Richard White]

It’s a funny thing, the higher my income goes the less I’m interested in luxury brands. I’ve never been into peacocking anyway, but unlike my younger self I don’t respond to marketing or groupthink on brands. Then again I don’t think I’ve bought anything besides food (and obligatory Christmas and d’day gifts) since WFH started in March 2020. The only fancy item I’d like is a new motorcycle.

Same here.

Fashion has a shelf life of a year at most. I would be too paranoid to use a $1000 dollar suitcase or $3000 dollar Rolex on a regular basis for fear of damaging the thing beyond all repair. More to the point, I can get the same utility from low end brands that I can from higher end brands for a fraction of the cost.

When I was young, it was all about showing off but as I got older I got my head on straight and do not see the point in spending insane amounts of money on things I hardly use just to say I have them.

 

[Admiral Beez]

..as I got older I got my head on straight and do not see the point in spending insane amounts of money on things I hardly use just to say I have them.

The trick is to find a life partner who thinks the same, otherwise that figurative "closet of shoes" and its adherence to the Pareto principal will only drive resentment. I've been very lucky in that regard.

But back to the HBC. My daughter got her ears pierced recently and we took her the Queen St. store for some nice earrings. And the service in the jewelry department was excellent, helping her to find a nice set for a fair price.

 

[gabe]

It’s a funny thing, the higher my income goes the less I’m interested in luxury brands. I’ve never been into peacocking anyway, but unlike my younger self I don’t respond to marketing or groupthink on brands. Then again I don’t think I’ve bought anything besides food (and obligatory Christmas and d’day gifts) since WFH started in March 2020. The only fancy item I’d like is a new motorcycle.

Luxury brands these days are targeting the Instagram Gen Z's not the middle aged/boomer folks. I see a lot of suburban kids on the bus who believe wearing expensive clothes is the only way to dress.

 

[DirectionNorth]

Luxury brands these days are targeting the Instagram Gen Z's not the middle aged/boomer folks. I see a lot of suburban kids on the bus who believe wearing expensive clothes is the only way to dress.

People love to talk about how Gen Z will be counter-commercial. In my observations, I've seen nothing of the sort - the internet is making people the same.

 

[Northern Light]

Sak's Off Fifth shutting 2 more Canadian outlets, one out west, and the GTA location at Markville:

Saks OFF 5TH to Shut 2 More Canadian Stores in Calgary and Suburban Toronto

The announcement follows confirmation that an Edmonton location would be closing, marking three stores set to shut this year.

retail-insider.com

The shoe is dropping.............I continue to expect more

 

[Northern Light]

Retail Insider has a story on the re-make of the Hudson's Bay Vancouver flagship store.

Hudson’s Bay to Redevelop Downtown Vancouver Flagship with an Eye to the Future of Retail: Interview with President Wayne Drummond

The historic flagship will see an office tower built above, a new transit interchange, and a new tech-heavy smaller store as Hudson's Bay looks to the future of retail.

retail-insider.com

Big money play including new offices, but definitely down-sized Bay store.

 

[Northern Light]

*cross-post from the Hudson's Bay Centre renovation thread*

The Bay at Hudson's Bay Centre is closing on May 31st, 2022.

Retail-Insider has the scoop; and so does UT, as the story isn't yet online!

Hudson’s Bay to Close Bloor & Yonge Department Store in Downtown Toronto [Exclusive]

The massive bunker on Bloor was the retailer’s Canadian flagship location from 1974 to 1991. A major redevelopment of the Hudson's Bay Centre is now planned.

retail-insider.com

As to the future of that space:

A Brookfield spokesperson is quoted as follows:

“We are excited by the opportunity to re-envision and transform this key asset at one of the most important locations in the City of Toronto. We will be submitting an application to the City of Toronto for planning approvals to bring Brookfield’s vision for the future of the property in the coming months.”

 

[syn]

*cross-post from the Hudson's Bay Centre renovation thread*

The Bay at Hudson's Bay Centre is closing on May 31st, 2022.

Retail-Insider has the scoop; and so does UT, as the story isn't yet online!

Hudson’s Bay to Close Bloor & Yonge Department Store in Downtown Toronto [Exclusive]

The massive bunker on Bloor was the retailer’s Canadian flagship location from 1974 to 1991. A major redevelopment of the Hudson's Bay Centre is now planned.

retail-insider.com

As to the future of that space:

A Brookfield spokesperson is quoted as follows:

“We are excited by the opportunity to re-envision and transform this key asset at one of the most important locations in the City of Toronto. We will be submitting an application to the City of Toronto for planning approvals to bring Brookfield’s vision for the future of the property in the coming months.”

No surprise here. It's seemingly been neglected for years.

I will miss the access though - and the lack up updates does give it kind of a nostalgic vibe.

Excited to see what they can come up with for the location! I looks like a demoliton and rebuild is possible, which could have the added bonus of facilitating a Yonge station expansion.

 

[Northern Light]

We normally stick to GTA news for retailers; but I think this (potential news) is worthy.

Apparently plans are now afoot for HBC's (former) downtown Winnipeg store. Which is good to hear, as 650,000ft2 vacant is not good for any downtown!

Councillor, experts confident future of Hudson’s Bay store to be set soon

The future of downtown’s former Hudson’s Bay Company building could soon be revealed, according to those involved in the site’s planning. “I got a song in my heart that spring is coming and with it good news for downtown,” Coun.

www.winnipegfreepress.com