Shoppers continue to prioritize experience even in the face of macroeconomic uncertainty − dining, entertainment, and fitness & wellness services comprised 51% of new-store announcements this year, according to a new retail report from commercial real estate firm JLL.
Dining remains the main driver of retail expansion, with more than 40% of the opening announcements. About 30% of the total are quick-service, fast casual, and coffee shops or bakeries, with the rest casual or fine dining, said the report.
Toronto and Montréal continue to contribute the most to retailer expansion within major Canadian markets, followed closely by Calgary. Dining has contributed to Calgary’s emergence as a strong national retail node after the pandemic, with an increased depth of both national and international chains, it added.
“Restaurants are increasingly employing targeted expansion strategies, focusing on specific regions and store formats, and carefully balancing their presence in both urban and suburban markets to maximize reach. A prominent trend is the reliance on franchising or other creative models to accelerate growth, with operators often securing master development agreements,” said Paul Ferreira, Senior Vice President, Retail Brokerage, JLL Canada
The JLL report said shoppers continue to prioritize experience even in the face of macroeconomic uncertainty − dining, entertainment, and fitness and wellness services comprised 51% of new-store announcements in the first quarter of 2025. Dining remains the main driver of retail expansion, with more than 40% of Q1 opening announcements. About 30% of the total are quick-service, fast casual, and coffee shops or bakeries, with the rest casual or fine dining. Other active categories include discount grocers, gyms, and cosmetics.
Toronto and Montréal continue to contribute the most to retailer expansion within major Canadian
markets, followed closely by Calgary. Dining has contributed to Calgary’s emergence as a strong national retail node after the pandemic, with an increased depth of both national and international chains.
“Restaurants started 2025 on strong footing. Just as retail sales per capita are expected to rise, restaurant spending per capita is set to increase in the next few years,” said the JLL report. Currently, dining accounts for most of Q1’s notable site searches across major markets, which suggests that the momentum will continue.
“Toronto, Montréal, Calgary, and Vancouver have attracted the most dining concepts. This is in sync
with projections that much of restaurantspending growth will come from major cities in the most populous provinces. Good Earth Coffeehouse, Hello Nori, and WingsUp! are among the concepts that announced more locations in Q1. Other active Canadian operators include Happy Belly Food Group and Redberry Restaurants.
By far, apparel and accessories and dining lead in new mall-store announcements, added the report.
Lovisa, Uniqlo, and Mango have announced the most, followed by Hello Nori, %Arabica, and Chick-fil-A. Dining is increasingly establishing a presence in shopping centres, a notable example being Shake Shack at Yorkdale Shopping Centre.
Other active retailers include Asian beauty Kiokii and…, consumer electronics KaseMe, and home
furnishings Nespresso.
“The expansion of brands like JD Sports, L.L.Bean, Sweat and Tonic (REFORMD), and Shop Santé underscores the growing demand for athleisure apparel, wellness services, and lifestyle products.
Mall landlords continue to invest in large flagship stores, indicating confidence in their prime retail
locations and a shift towards creating destination retail experiences. Simons is opening locations in CF Toronto Eaton Centre and Yorkdale Shopping Centre.
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