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Jean-Paul Fortin Shoes Unveils ‘New Look’ Flagship [Photos]

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Upscale Quebec City-based footwear retailer Jean-Paul Fortin has opened its first location outside of the province of Quebec, at Toronto’s updated Yorkville Village. The new store features an updated architectural style, as well as the first to include retailer’s new stylized logo. 

The Toronto opening kicks off a national retail expansion that will see the retailer open stores across the country. In a recent interview, Jean-Paul Fortin’s President, Francois Monat, revealed plans to eventually open in markets such as Vancouver and Calgary, after initially entering the Ontario market. Jeff Berkowitz of Aurora Realty Consultants is the broker responsible for the expansion. 

The 2,400 square foot Yorkville Village Jean-Paul Fortin features bright lights, clear sight lines, and ample windows displaying product to passers-by. Jean-Paul Fortin worked in partnership with design firm GH+A design, and Mr. Monat praised their work. The store features marble and gold accents, giving the store a luxe look that fits in with the area. An exceptional selection of in-store brands include Stuart Weitzman, Aquatalia, Magnanni, Kate Spade, Peter Kaiser, AGL, Brunate, DVF, Ted Baker, Vince and the more upscale Michael Kors collection, among others — with collections for both women and men. Mr. Monat revealed that Bally will be the next big brand to be carried at Jean-Paul Fortin. 

The Yorkville store is also the first in the company to feature Jean-Paul Fortin’s new stylized logo, which was also recently introduced to the company’s website. Mr. Monat said that the retailers’s other stores will soon get new signage as well.

The company will also be opening more stores — Ontario will be the initial focus for the next couple of years, prior to expanding westward. The Vancouver market is a target for at least one store, and Calgary could see a Jean-Paul Fortin location as well. Mr. Monat noted that the Greater Toronto Area could easily support multiple locations, given its size.

The Yorkville Village Jean-Paul Fortin flagship is located across the hall from the centre’s newly-opened Belstaff store, which is only the second standalone location for the brand in North America. North America’s first freestanding location for Italian luxury brand Eleventy also just opened in partnership with TNT The New Trend, which is also expanding its presence in the centre. The Chase Group’s new restaurant concept Palm Lane will open this Friday directly in front of Jean-Paul Fortin, and restaurant patrons will be able to see directly into the attractive new Jean-Paul Fortin retail space. 

Founded in 1964 in Quebec City, the Jean-Paul Fortin name is a combination of its founder’s name (Paul Fortin), and the street on where its first store was located (St-Jean Street in Quebec City). The company currently has 12 locations, including eight Jean-Paul Fortin stores, three Les Pieds sur Terre (comfort-focused fashionable footwear) locations, and one Le Placard store. Of these, six are in the metro Quebec City area, five are in/near Montreal, and one is in Toronto. Jean-Paul Fortin also operates the footwear concession at the upscale Ogilvy department store in downtown Montreal. 

*All photos were provided by Ben Rahn/A-Frame Inc.

Cuisinart Debuts Boutique on Award-Winning Hudson’s Bay Home Floor

CUISINART'S FIRST HUDSON'S BAY SHOP-IN-STORE

Cuisinart has launched its first shop-in-store concept in Canada at Hudson’s Bay‘s Queen Street/CF Toronto Eaton Centre flagship in downtown Toronto. The new space is located on the flagship’s award-winning seventh floor, which is dedicated primarily to housewares. 

The shop-in-store is the first of several planned dedicated retail spaces for the brand, in partnership with Hudson’s Bay. Cuisinart occupies a centralized space on the floor in close proximity to the wedding registry and the in-store Kleinfeld Bridal boutique. Cuisinart’s presence will further enhance the flagship’s housewares floor, which won the International Housewares Association’s prestigious Global Innovation Award in 2015.

HBC and Cuisinart confirmed to us that the addition of the shop-in-store is similar to that in other top-performing department stores around the world. The Cuisinart shop-in-store will be the first to use this template as a best practice. Its prominent physical location near the wedding registry will certainly keep the brand top of mind for discerning betrothed couples.

CUISINART’S FIRST HUDSON’S BAY SHOP-IN-STORE
AWARD-WINNING 7TH FLOOR AT HUDSON’S BAY, QUEEN STREET
AWARD-WINNING 7TH FLOOR AT HUDSON’S BAY, QUEEN STREET

The dedicated shopping space debuted with a media event featuring esteemed chef Jonathan Collins and family in a demonstration of the brand’s new Precision Master Stand Mixer. The demonstration featured the ease with which the product kneads dough effortlessly and with minimal manual effort, and how its functionality is designed to be used with other Cuisinart attachments such as their pasta maker, for a completely versatile product.

Cuisinart’s shop-in-store is the first in a national rollout for the brand’s partnership with Hudson’s Bay. In 2018, similar concepts are planned in the downtown flagship locations of Hudson’s Bay in Vancouver, followed by Montreal, and thereafter into selected Hudson’s Bay stores to be announced at a future date.

Vancouver Sees Explosive Retail Growth: StatsCan Report

PHOTO: TOURISM VANCOUVER

The Vancouver region is experiencing a rapidly expanding retail market, driven in part by strong population growth, with continued success forecast for the future.

A report by Statistics Canada says retail stores in the Vancouver census metropolitan (‘CMA’) area increased their sales from $22.2 billion in 2004 to $36 billion in 2016, a rise of 62 per cent.

During the same period, the Vancouver CMA’s population grew from 2.1 million inhabitants to 2.6 million inhabitants, a rise of 19.4 per cent.

“Moreover, population projections suggest that the Vancouver CMA could see a further 26.4 per cent increase in its population in the next 20 years, which will likely increase the need for planning the location of future shopping centre developments,” says the StatsCan report.

NORDSTROM’S CF PACIFIC CENTRE STORE IS NOW THE CHAIN’S TOP-SELLING, OUTPACING ITS FLAGSHIP SEATTLE AND CHICAGO STORES. (PHOTO: CADILLAC FAIRVIEW)
Robson Street (Image: ROBSONSTREET.CA)

In Vancouver, there were 209 shopping centres in 2016. The predominant type was the neighbourhood centre, which accounted for 38.3 per cent of shopping centres in Vancouver, says the report.

“While super-regional malls are typically the largest type of shopping centre in terms of gross leasable area, few major metropolitan areas can support more than a handful, and Vancouver is no exception, with 4 super-regional malls.

An additional factor why most large metropolitan areas have few super-regional malls is that with a large portion of population growth occurring in suburbs, shopping centre developers have focused on the development of other shopping centre types like power centres, which are open-air centres between 200,000 to 1,000,000 square feet. A power centre can be comprised of several anchors, which are mainly medium- and large-scale retailers (e.g. big-box stores) that may be freestanding or connected,” says the report.

UNIQLO OPENS ITS 1ST VANCOUVER STORE AT METROPOLIS AT METROTOWN ON OCTOBER 6. MUJI OPENED IN THE SAME MALL EARLIER THIS MONTH. (RENDERING: UNIQLO)
CONSTRUCTION SIGNAGE FOR IWC AND VAN CLEEF & ARPELS ON ALBERNI STREET. (PHOTO: LEE RIVETT)

According to StatsCan, there were 9429 retail stores operating in the Vancouver CMA in 2016. Of these, 23 per cent or 2,173 retailers were located in one of the seven shopping centre types  – super-regional, regional, community, power, retail mixed-use, retail hybrid, or lifestyle. The remaining 77 per cent of retailers were either operating stand-alone stores or located in the two other shopping centre types – neighbourhood centres and convenience centres.

At the retail sector level, retailers located in a shopping centre accounted for 23.1 per cent of the Vancouver CMA’s retail store sales in 2016.

Retailers located in shopping centres accounted for almost a quarter of the retail store sales in the Vancouver CMA in 2016.

SHAPE PROPERTIES IS DEVELOPING ITS ‘AMAZING BRENTWOOD’ PROPERTY IN PARTNERSHIP WITH L CATTERTON GROUP, A REAL ESTATE ARM ASSOCIATED WITH LVMH)

Susan Nicol, general manager of the Oakridge Centre and Office Towers in Vancouver, says the retail market has been very strong in the city since she came to the city in 2014.

“There’s a growing demand for that,” she says. “We’ve been very lucky in Oakridge because I think there’s a major growth in luxury and I think that’s the difference between Vancouver and some other cities . . . We’ve certainly seen a boom in luxury . . . We define lifestyle through fashion, art, design and culture. And we create vision for luxury lifestyle in Vancouver . . . We’ve been lucky enough to benefit from that.”

The Oakridge shopping centre is 600,000 square feet with about 120 stores. At the end of June, the shopping centre sales were $1,579 per square foot. It has benefited from the explosive retail growth in Vancouver over the years.

(LA MAISON VALMONT OPENED ITS 4TH LOCATION IN THE WORLD AT OAKRIDGE IN THE SPRING. PHOTO: VALMONT)

“Generally we’re seeing consistent growth. We’ve seen large growth and now we’re just looking for that consistency here,” says Nicol.

On the shopping centre website, it states: “The redevelopment of Oakridge is a joint venture between QuadReal and Westbank, two of Canada’s leading real estate enterprises.”

But Nicol says no information is available right now about that because plans are still being worked on. In the next few months, ideas and plans will be put forward.

One of the main new tenancies at Oakridge is La Maison Valmont, which is a Swiss spa experience and skin care.

“It’s a very, very beautiful salon. This is the first location in North America. So the next location will probably be Los Angeles and then Las Vegas. Vancouver has the demographics akin to where they want to be,” says Nicol. “They’ve opened in Tokyo and Hong Kong and they have a clinic in Switzerland. It’s a very beautiful brand and that’s where our differential comes in. We’re doing that. It’s very unique.”

(‘HIGH TEA’ EVENT AT OAKRIDGE. PHOTO: SUPPLIED)

Oakridge also opened Marc Cain, a premium brand for women’s fashion.

Even existing retailers such as Hugo Boss and Harry Rosen are re-imaging the shopping experience within their own stores.

“All within the last three to four months all these things have happened that have created a really unique point of difference for us,” says Nicol.

The experience at the mall is evolving too. Last weekend, it hosted a supercar weekend. There have been fashion shows on the weekend that highlight products sold by retailers.

Oakridge Centre in partnership with Chali-Rosso Art Gallery is also presenting Definitely Dali – a stunning collection of original Salvador Dali masterpieces from September 13 to October 1.

Oakridge also has an Inner Circle club which hosts a series of luxury and lifestyle events for the premier-class shopper.

Still Time to Register For PRSM Retail Facility Management Events in Toronto and Vancouver

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There’s still time to register for PRSM’s (Professional Retail Store Maintenance Association) autumn meeting events on October 3 in Vancouver, and on October 19 in Toronto. Both will include education as well as networking [Register Here]

Two (2) Continuing Education Credits are available towards your RFMP Designation Renewal by attending this event.

The ‘Canada West’ event will be held at the Vancouver Marriott Pinnacle Downtown Vancouver on October 3. The ‘Canada East’ event will be held at the Sheraton Toronto Airport Hotel & Conference Centre on October 19, 2017. Speakers and activities are the same for both. 

Speakers will include opening remarks by Bill Yanek, CEO, PRSM Association as well as Keynote and Facilitator: Jennifer Spear, President & Creative Strategist, Clean Slate Strategies

There will also be a networking lunch and in the afternoon, Quick Connect will place retailers at their own exhibit tables during a dedicated two-hour speed-networking event. That will be followed by a networking reception that ends at 3:00 p.m.

Due to the overwhelming positive response to last year’s events, PRSM is bringing back its ‘Quick Connect’ networking component to this year’s Canadian events. Quick Connect replaces a traditional trade show event and places Retailers at their own exhibit tables where Suppliers can visit during the allotted time. Suppliers are urged to bring flyers, information and promotional items to the event.

Time’s running out, so act fast. For more information, schedule and to sign up, visit: www.prsm.com/p/cm/ld/fid=435.

*Partner content. For more information, contact craig@retail-insider.com.

Hazardous Waste in Retail Settings: Protect Your Business, Your Employees and the Environment

By Tory Clarke, Stericycle Canada

In many ways, hazardous waste is a bigger challenge for retailers than for manufacturers.

A small retail operation alone can carry a baffling array of hazardous wastes, such as paints, batteries, bleach, cleaners, detergents, pesticides, aerosol cans, fluorescent light bulbs, over-the-counter drugs, vitamins, nail polish remover, hair dye, mascara, perfume—even electric toothbrushes and hand sanitizers!

And regulators are taking notice, too. Across North America, major retailers have been slapped recently with multimillion-dollar fines for non-compliance issues that range from illegal dumping to improper record-keeping.

While the financial costs are significant, the damage to your brand perception can be worse: news outlets and social media are quick to pick up on any perceived offences made by companies large and small.

Take six steps to keep your business safe

Your hazardous waste management program must take into account all of the unique needs of your business. You will want to consider the following steps:

  1. Assessment and store setup: This includes having a qualified person or company conduct an audit of the types and amounts of hazardous wastes that your business needs to have removed
  2. Employee training: You will want to have a system in place so that all employees know their responsibilities in terms of hazardous waste, from handling and sorting to documentation. Pay special attention to seasonal fluctuations in staffing levels, such as when you bring on summer students or extra help around the holidays.
  3. Waste separation/segregation: While part of your employee training must educate staff on how to separate hazardous waste types, it should also include training on what isn’t hazardous waste. When in doubt, employees often err on the side of caution and throw everything into the hazardous waste collection area. By ensuring that recyclable and landfill materials are not going into your hazardous waste stream, you can avoid unnecessary costs.
  4. Regulatory documentation and reporting: Hazardous waste needs to be properly documented. Companies have been fined for non-compliant reporting, even if they haven’t incorrectly disposed of anything. If your business operates across several provinces, you will want a provider that offers a national network, expertise in provincial requirements and consistent standards across Canada.
  5. Safe waste transport: While Canadian retailers aren’t currently held legally accountable if their waste removal service fails to dispose of a product safely, there is still the potential for damage to your brand if a mishap occurs. Choosing a reputable waste removal service —with training in the transport of dangerous goods—can offer you the peace of mind of knowing that, once the manifest has been signed off, you have the best chance of avoiding negative publicity down the road.
  6. Compliant, sustainable destruction: Compliant, documented destruction can prevent the diversion of “grey market” goods in your community, lowering the chances of your hazardous waste ending up being resold at a steep discount. As an added bonus, some providers offer sustainable options, such as repurposing hazardous materials, fuel blending or generating clean energy via incineration.

Get help from your waste removal provider

Finally, don’t forget that a good waste removal partner should be able to help you navigate every aspect of your compliance concerns, such as:

·       Auditing and categorizing your waste streams

·       Advising on compliance issues

·       Helping to set up your hazardous waste collection area

·       Training your staff

·       Keeping track of your documentation requirements

·       Reporting on your sustainability efforts

Partnering with an expert in hazardous waste removal can help ease your workload, lower your risk of non-compliance, protect your community, help achieve your zero-waste-to-landfill goals and, ultimately, save you money.

For more information

For more information and resources on hazardous waste disposal, visit stericycle.ca/retail.

As New Business Development and National Accounts Executive for Stericycle Canada, Tory Clarke has over 25 years of experience in the hazardous and non-hazardous waste disposal industry, with specialties in the industrial manufacturing, commercial/retail product and pharmaceutical sectors. She has assisted government agencies and initiatives, such as the Canadian Food Inspection Agency, the Ontario Provincial Police’s Drug Task Force and Health Canada’s Drug Analysis Service, with secure destruction programs for confiscated goods and illegal drugs. Tory also has a strong background in federal and provincial waste regulations, and specializes in zero-landfill disposal programs.

*Partner content. To work with Retail Insider, contact Craig Patterson at: craig@retail-insider.com.

Le Creuset Announces 2 New First-to-Market Canadian Locations

(OTTAWA STORE. PHOTO: LE CREUSET / THINK RETAIL)

French cookware brand Le Creuset has confirmed that it open two more locations in Canada, both in markets where it currently lacks stores. 

In November of this year, Le Creuset will open at the Halifax Shopping Centre in Halifax. The enclosed mall is the most productive centre in the Maritimes, and one of Canada’s top malls, according to the Retail Council of Canada Shopping Centre Study, and Le Creuset will occupy about 750 square feet in the centre.

In December of this year, Le Creuset will also enter the Winnipeg market with a store at CF Polo Park. The 950 square foot boutique will be located in Manitoba’s top mall in terms of size and productivity, according to Retail Council of Canada’s Shopping Centre study.  

(PHOTO: LE CREUSET)

When both are open, Le Creuset will operate 11 stores in Canada. The company continues to seek space in Vancouver, Montreal, and in the Greater Toronto Area, ideally in the 750 square foot to 1,250 square foot range along major shopping streets, as well as in super regional malls. Le Creuset is represented in Canada by Tony Flanz of brokerage Think Retail

Le Creuset’s other Canadian stores are in Vancouver (with Canada’s largest Le Creuset location), Calgary, Edmonton, Ottawa, Toronto (2 stores), Montreal (2 stores) and Quebec City. 

Founded in Northern France in 1925, Le Creuset is best known for its colourfully-enameled cast-iron cookware. In Canada, Le Creuset is the number one bridal registry brand, and it’s consistently rated the number one or two cookware supplier to all of the company’s trading partners. It has more than 250 international mono-brand stores in 25 countries, and is distributed in about 30 countries worldwide.

Retail Council of Canada will be releasing its second annual Canadian Shopping Centre Study in November of this year, and it’s seeking sponsors for the study. Last year’s study continues to be quoted in the press — for more information on sponsorship, contact Mary Markou at: mmarkou@retailcouncil.org

Cadillac Fairview Sues Starbucks Over Teavana Closures

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On Friday September 15, landlord Cadillac Fairview filed a lawsuit against Starbucks for breach of contract in the Ontario Superior Court of Justice. The lawsuit claims that Starbucks is in breach of contract by taking steps to shutter its Teavana concept locations in 10 of Cadillac Fairview’s shopping centre properties. 

Starbucks announced on July 27 of this year that it would shutter its tea concept Teavana stores, which has 379 locations globally, including 56 stores in Canada. Starbucks said that it would close its Canadian locations first, all by the end of September.  

Cadillac Fairview is seeking several remedies as part of its claim, including $15 million in damages for breach of contract, as well as a further $5 million in punitive damages for Starbucks’ “improper”, “in bad faith” and “high handed” conduct. In addition, Cadillac Fairview is seeking costs of the proceeding on a full indemnity basis. 

A Cadillac Fairview spokesperson stated: “We can confirm that we have filed a statement of claim against Starbucks, owners of Teavana, for failure to comply with operating covenants within our lease agreements (Starbucks publicly announced their intention to close all Teavana stores and have depleted their inventories)”, going on to say, “We have filed this claim as we want our tenant to honour the operating covenants in their lease agreement and if they do not, we will exercise the lawful remedies outlined in the lease to address these defaults.” 

In the Statement of Claim, Cadillac Fairview alleges that Starbucks’ closure of Teavana is “in direct and flagrant breach of its express lease obligations governing the stores,” going on to say that “the express terms of the store leases to which Starbucks agreed required it, at all times throughout the term of the leases, to continuously and actively operate the stores, fully fixtured, stocked and staffed”. 

The Statement of Claim alleges that in the Teavana leases, Starbucks agreed that it “would at no time during the term of the leases close any of the stores”. The Statement of Claim, filed by law firm Torys LLP, notes that Starbucks had previously announced that it was investing in the growth of the Teavana brand, and that it was a “well recognized, super-premium global brand” and that tea had become a core focus for Starbucks, which is particularly known for its coffee beverages. 

The lawsuit further states that prior to Starbucks’ July 27 announcement, Cadillac Fairview was given no advance warning of the Teavana store closures, nor did Starbucks seek consent or agreement for the closures. Post-announcement, Cadillac Fairview even warned Starbucks of its duty to keep Teavana’s stores open, says the Statement of Claim. 

Starbucks Canada acquired Teavana Canada in January of 2013, and merged Teavana into Starbucks in March of 2016. Starbucks assumed the rights and obligations of the Teavana leases, including those at 10 Cadillac Fairview properties — five are in Ontario (Toronto: CF Toronto Eaton Centre, CF Shops at Don Mills, CF Markville, CF Fairview Mall, and Kitchener: CF Fairview Park), two are in Calgary (CF Chinook Centre and CF Market Mall), one is in suburban Vancouver (CF Richmond Centre), one is in Winnipeg (CF Polo Park) and one is in suburban Montreal (CF Carrefour Laval). 

Of these 10 Teavana locations, leases expire between December 31, 2019 to September 30, 2024. Starbucks is now in the process of liquidating its Teavana locations in Canada, despite warnings from Cadillac Fairview of its continued lease obligations.

The lawsuit speaks to the importance of having a diverse tenant mix in shopping centres, and how losing Teavana will lead to negative consequences. “Retail shopping centres… depend for their success on having a certain synergistic mix of retail tenants operating in them, and on the tenants complying with their obligations to properly operate their stores throughout the term of their leases. If a tenant fails to do so, it has negative consequences for the shopping centre owners/operators and other tenants, as well as the public who shop at the centres,” states the Statement of Claim. 

The lawsuit points out that there is evidence that Starbucks plans to continue retailing Teavana tea in its Starbucks-branded locations and other sales channels. The lawsuit also alleges that Starbucks hid its intention to shutter Teavana from Cadillac Fairview, which found out about the news through a public media announcement.  

Starbucks has 20 days from the date of Cadillac Fairview’s Statement of Claim to file a Statement of Defence, and it will be interesting to see on what grounds Starbucks might claim that it has justification to terminate its Teavana leases in Canada. Cadillac Fairview’s argument is extremely convincing, clearly setting out aspects of Starbucks’ alleged breach of contract. 

Such a lawsuit also isn’t unprecedented — in the United States, landlord Simon Property Group filed a lawsuit against Starbucks on August 21 of this year. Simon’s malls house 78 Teavana locations and in the Simon lawsuit, the landlord states that Starbucks “put its stock price above its contractual obligations, the viability of Simon and its shopping centres, other retailers, and consumers who count on the Teavana stores”. Simon is seeking damages, as well as an injunction, to stop Starbucks from closing its Teavana stores early. 

Le Boulevard to Redevelop Hudson’s Bay Store

Photo: Le Boulevard

One of Canada’s first shopping centres, Le Boulevard, in eastern Montreal, will undergo a major redevelopment of 100,000 square feet which anchor Hudson’s Bay will vacate in the fall of 2018.

Mitchell Moss, president of Crofton Moore, which manages the mall, told Retail-Insider the redevelopment is slated for completion in 2019.

“It is 100,000 square feet on two levels. We could do one 100,000-square-foot tenant on two levels which is possible or most likely there will be multiple tenants. Probably one or two on the second floor and three to five on the ground floor,” says Moss.

Le Boulevard, a 400,000-square-foot enclosed shopping centre,  is located at the corner of Jean Talon Street and Pie IX Boulevard. The property benefits from major exposure on Pie IX Boulevard, with easy access to highway 40, and is just a short 20-minute car ride from downtown Montreal.

Map: Le Boulevard
Le Boulevard

“We’re happy to invest. We’re happy to make it happen. We’re happy to bring in new tenants to the shopping centre,” says Moss. “It’s a huge positive.”

He says the property intersection sees more than 60,000 cars per day and more than 160,000 people live within 2.5 kilometres of Le Boulevard.

“We have a ton of traffic for a mall of this size,” he says, adding that the shopping centre has nearly eight million visitors per year.

Existing tenants include Canadian Tire, Metro Plus Supermarket, Urban Planet, Jean Coutu, SAQ (Liquor Store) Dollarama and Ardène to name a few.

The redevelopment consists of leasing possibilities ranging from 10,000 to 60,000 square feet.

Moss, who is a managing partner of the shopping centre with a financial partner, says possible uses for the redeveloped space include fashion, restaurants, fitness, home fashion.

“This is one of the first shopping centres in Canada. We bought it about 10 years ago. It was built in the late 50’s as a strip centre . . . It was enclosed in the early 70’s,” he says. “We bought this shopping centre and it was about 20 per cent vacant. We renovated the shopping centre and rented all the vacant space.

“It went from a mall that was okay with decent traffic but with lots of mom and pop tenants to a mall with around two-thirds being regional or national tenants.”

Crofton Moore has been active in the management, leasing, construction and development/repositioning of retail and office space in the Canadian real estate market for the last 20 years. The portfolio of properties currently under its management is about five million square feet which is concentrated in the Montreal and Toronto markets.

For more information, contact: 

Abie Grunspan, Vice-President, Retail Leasing, Crofton Moore

Tel: 514 845-4500 x 206, Email: agrunspan@croftonmoore.com.

[Redevelopment Website]

Why Raising the Minimum Wage in Ontario is Good for Retailers [Opinion]

Image: Walmart

By Suzanne Sears, Best Retail Careers International Inc.

Despite all the teeth gnashing about extra wage costs, there are some real positives to expect in 2018 when the Ontario raises the minimum wage to $14.00 per hour that are not just about the trickle down economics of more money in the hands of consumers to spend. Employers simply can’t fill these jobs right now at $11.40 per hour. Jobs that once “weren’t worth taking”, from the employee point of view, now will be.

From a recruiter’s’ point of view, the absolute hardest roles to fill are the very lowest paid jobs. 

Check any corporate sites or job posting boards and you will find thousands of vacancies. In Toronto, there are over 500 fresh new public postings this month for what are essentially minimum, or close to minimum wage positions…on one job board alone! Walk into any big box store or franchise outlet and you will  surely see ‘Apply Now’ signs.

The battle to fill these positions is on-going. Not only are these jobs hard to fill, but they are next to impossible to keep the turnover at less than 20%. Many retailers report up to 80% annual turnover.

When you factor in training costs for a new entry level hire (about $5,500.00 average) plus recruiting costs, these roles are vastly more expensive to fill than even slightly more senior roles.

So what is going on here? 

A full-time minimum wage position delivers $1,690.00 a month in net income. If we focus on the Toronto market, where a 1 bedroom condo is now $2,000.00 per month (July 2017), you can clearly see the problem. Rent is up 11%. Wages have not kept pace.

Take this problem one step further. Who exactly fills these roles? 

“In 2013, 39.8% of minimum wage workers were between the ages of 15 and 19; in 1997, it was 36%. 50.2% of workers in this age group were paid minimum wage in 2013, an increase from 31.5% in 1997. Statistics Canada notes that “youth, women and persons with a low level of education were the groups most likely to be paid at minimum wage.” 

It’s easy to see that it’s our women, youth and least educated that are falling behind drastically in our economy. It is now to the point where they cannot even afford to take these jobs. They can’t afford to live where the jobs are. They cannot afford the transportation to even get to work. A bus pass in Toronto is about $150.00 a month (that’s if you stay only in one zone). Let’s not even try to factor in the costs of child care. That’s just a non-starter when it comes to “minimum” wage roles.

Far from pushing these people out of the job market by reducing the numbers of jobs available to offset the wage increases, these people aren’t in the job market anyway! They are working. They are working in the underground cash economy because it’s simply not possible to accept a tax paying position.

Benefits of a $14.00 an hour job begin with an income of $2,863.00 per month. That’s nearly a living wage even in Toronto and suddenly it’s worth taking a retail job for many more people.

Vacancies and turnover are the most costly, yet controllable expense for retailers. 

Without quoting the actual M.I.T. study right now that analyzed it, a vacancy costs a retailer about 4x the base monthly salary of the person who should be in the role: costs to recruit, costs to hire, costs to train, costs in lost sales while the role is vacant, costs in lost productivity to the existing staff shouldering the excess workload.

What retailers will experience very quickly once the base level wages rise is simple….their vacancies will shrink. Related costs will go down. Sales will go up. 

The benefits to society are obvious. The benefits to retailers are even greater.

For more information on Suzanne Sears and Best Retail Careers International Inc. please visit www.brcareers.com

To connect with Suzanne directly:
Phone: +1 (289) 795-6150
Email: best-retail-jobs@live.ca

*Partner Content. To work with Retail Insider, contact Craig Patterson at: craig@retail-insider.com. 

Mall Profile: Bayview Village Shopping Centre [Feature/Photos]

Bayview Village

Toronto’s upscale Bayview Village Shopping Centre occupies a unique space in the city’s retail realm — it serves a local base of affluent shoppers with a unique variety of local and international retailers, differentiating its offerings from a range of larger regional malls. 

The formula is working. Bayview Village was recently recognized as being one of Canada’s most productive malls in terms of sales per square foot by Retail Council of Canada’s Shopping Centre Study. It’s a remarkable feat for a mall that lacks traditional large anchors found in most Canadian fashion malls — or an Apple Store, for that matter. 

Bayview Village is managed by QuadReal Property Group, an independent and privately held global real estate company with managed assets totalling more than $18-billion. QuadReal is a wholly owned company of one of Canada’s largest institutional pension fund managers from British Columbia. In November of 2013, the company paid $500 million for the centre, making it the biggest property sale of that year in all of Canada. 

(CLICK IMAGE FOR INTERACTIVE GOOGLE MAP)
Bayview Village
(CLICK IMAGE FOR INTERACTIVE MALL FLOOR PLAN)
(CENTRE COURT. THE MALL FEATURES COMFORTABLE SEATING THROUGHOUT. PHOTO: BAYVIEW VILLAGE)

QuadReal is planning a mixed-use expansion of Bayview Village, which will include additional retail and a new residential component to complement the existing 320,000 square foot enclosed regional shopping centre, which is shadow anchored by a 95,000 square foot Loblaws food store. More details regarding the expansion will follow. 
 
Bayview Village’s location is notable, boasting a catchment area that includes some of the most affluent neighbourhoods in the Greater Toronto Area. It features exceptional access from both the Bayview TTC Subway Station (Line 4) as well as from the busy 401 Freeway, Sheppard Avenue and Bayview Avenue. The area’s population is also booming with the construction of new condominium towers nearby and as well, the mall’s on-site population will eventually grow with the addition of new residential towers over the next several years. 

(2-LEVEL SHOPPERS DRUG MART. THE MALL LEVEL FEATURES AN ASSORTMENT OF UPSCALE COSMETICS, AND THE LOWER LEVEL FEATURES SHOPPERS DRUG MART’S MORE TYPICAL OFFERINGS)
(ONE OF ONLY A HANDFUL OF MASTERMIND TOYS STORES LOCATED WITHIN A SHOPPING CENTRE. MASTERMIND TOYS SEEKS OUT RETAIL SPACE IN AREAS THAT ARE AFFLUENT AND FEATURE A HIGHLY-EDUCATED POPULATION. BAYVIEW VILLAGE IS A NOBRAINER)

The 110+ retailer enclosed Bayview Village opened in 1963 and, at the time, was an open-air shopping centre catering to the local community. While other similar centres closed over the years, Bayview Village’s owners continued to invest in the centre, adding a roof in 1977 and adding a variety of unique retailers — some of which can’t be found elsewhere in Canada, or even in North America. 

(BERANI JEWELLERS FEATURES SOME OF THE WORLD’S TOP LUXURY BRANDS, INCLUDING CARTIER, GUCCI, AND BREITLING. PHOTO: PDLAB.CA)
(BERANI JEWELLERS – BEAUTIFUL STORE. PHOTO: PDLAB.CA)
(UNIQUE RETAILERS, INCLUDING BASLER’S ONLY NORTH AMERICAN STORE ON THE LEFT, AND BERANI JEWELLERS IS ON THE RIGHT)

While Bayview Village lacks traditional major anchors such as Hudson’s Bay and Sears, the mall houses locations for a number of popular retailers, as well as two grocery anchors. Mall ‘mini-anchors’ include a Chapters bookstore (30,365 sq ft), Gap/Gap Kids (13,700 sq ft), LCBO (26,000 sq ft), Shoppers Drug Mart (12,200 sq ft), and even a small branch of the Toronto Public Library. Pusateri’s Fine Foods operates an attractive 9,325 square foot store in the mall, offering upscale groceries as well as grab-and-go offerings. 

The mall’s tenant mix is unlike any mall in Toronto — or Canada, for that matter. It boasts a high concentration of “the only one in North America stores,” according to Karim Rashwan, who wrote about Bayview Village for Retail Insider in September of 2014. Betty Barclay, Luisa Cerano, Laurèl, Riani, and Basler all have mono-brand shops in the mall, all of which are the only North American outpost for each retailer. A number of other upscale retailers have only a handful of locations in Canada, with Bayview Village being one of them. These include children’s retailer Jacadi, kitchenware retailer Le Creuset, fashion retailers m0851, Andrews, Strellson, TNT The New Trend, Brooks Brothers, and Sarah Pacini, not to mention Canadian fashion brands: Pink Tartan, Mirabelli, Vivian Shyu, Judith & Charles, and Brian Bailey

(STRELLSON’S 2ND CANADIAN STORE OPENED AT BAYVIEW VILLAGE IN 2014)
(CANADIAN DESIGNER FRANCO MIRABELLI HAS ONLY TWO STORES, WITH ONE OF THEM BEING AT BAYVIEW VILLEAGE. PHOTO: MIRABELLI)
(UPSCALE MEN’S/WOMEN’S FASHION RETAILER BROOKS BROTHERS HAS A 5,500 SQUARE FOOT STORE AT BAYVIEW VILLAGE)

Bayview Village also boasts nine footwear retailers, all relatively upscale. These include David’s Footwear (carrying luxury brands such as Christian Louboutin, Manolo Blahnik and Jimmy Choo), Capezio, ECCO, GEOX, New Balance, Nine WestBrowns Shoes, and Stuart Weitzman. As well, Canada’s leading shoe designer Ron White (aka Canada’s ‘Shoe-Ru’) has a store in the mall — one of only five in the chain. 

(CANADA’S ‘SHU-RU’, RON WHITE, HAS A STORE AT BAYVIEW VILLAGE)
(MULTI-BRAND DAVID’S FOOTWEAR BOASTS SOME OF THE WORLD’S TOP LUXURY BRANDS, INCLUDING MANOLO BLAHNIK, JIMMY CHOO AND CHRISTIAN LOUBOUTIN)

Instead of the traditional mall food court (or ‘food hall’ as some malls are now calling them), Bayview Village features a collection of restaurants along its western corridor, called ‘Restaurant Lane’, featuring cuisine ranging from upscale Chinese food to Middle-Eastern to Italian. On a recent visit during a weekday noon hour, all restaurants appeared to be full. 

(‘RESTAURANT LANE’ FEATURES A NUMBER OF RETAIL AND RESTAURANT LOCATIONS, SOME WITH ‘PATIOS’ IN THE FRONT. THE ATMOSPHERE IS CASUAL, YET UPSCALE)
(PEARL RESTAURANT ON ‘RESTAURANT LANE’ WAS PACKED FOR LUNCH [FOOD WAS AMAZING]. PHOTO: PEARL)
(PHOTO: PUSATERI’S)

Overall, the mall’s interior is understated and elegant. Hallways are wide because they lack kiosks found in many malls, and lighting is kept moderate so as to not overwhelm shoppers. Ample seating is provided throughout, encouraging shoppers to take a moment to relax, be it on a sofa or a table with chairs. The centre court beside the concierge desk is notable — gigantic crystal chandeliers hang from above, adding a level of drama and grandeur to the area. The landlord has set out strict design guidelines for retailers — high quality exteriors should also appear to mimic street-front storefronts, as opposed to the typical open facades found in major shopping malls. The result is a comfortably upscale interior that is attractive, and almost ‘residential’. The residential feel of the centre is also reflected in its use of lamps, wall textures, and fixturing both in common areas as well as in washrooms. The mall therefore reflects the neighbourhood at large — elegant and upscale. 

(HARD-TO-FIND RETAILERS — BRIAN BAILEY, LAURÈL, AND VIVIAN SHYU)
(UPSCALE TORONTO-BASED WOMEN’S MULTI-BRAND RETAILER ANDREWS HAS A 5,540 SQUARE FOOT STORE AT BAYVIEW VILLAGE)

Services are an important component of Bayview Village, and the mall features a concierge desk near the chandelier centre court, and it’s not just an information service — Bayview Village’s concierge is a ‘one-stop shop’, that can make various appointments (such as manicures), restaurant reservations, arrange for car detailing while customers shop, gift wrapping, assistance carrying parcels, connecting shoppers with the mall’s personal shopper, and various other services. It’s all part of the “glam experience”, according to mall Marketing Director Melissa Evans-Lee — the target consumer is female aged 30+ with an annual household income exceeding $100,000. 

(SERVICES: VALET AND CAR DETAILING AT PUSATERI’S)
(CONCIERGE DESK AT BAYVIEW VILLAGE [USUALLY ATTENDED, BUT WE TOOK SOME OF THESE PHOTOS RIGHT AFTER THE MALL CLOSED ON A SATURDAY])
(DISPLAY CASES AT AN ENTRANCE FEATURING A SILVER PHONE THAT DIALS DIRECTLY TO THE MALL’S CONCIERGE)
(IT’S THE LITTLE THINGS: SHOE SHINE MACHINE IN THE MEN’S PUBLIC WASHROOM)

Toronto is a city with some of Canada’s biggest and busiest malls. Bayview Village stands out, as discussed above, for being a relaxed, upscale fashion centre with a unique tenant mix, as well as extensive services lacking in many larger centres. Retail Insider will now be regularly featuring shopping centre profiles, targeting different malls across the country.