Exterior of FreshCo grocery store. Photo: Supermarket News
Empire Company Limited continues to expand its FreshCo discount banner in Western Canada as the company takes advantage of consumers’ current appetite for quality at a discount price.
Empire has now confirmed 37 of approximately 65 locations in Western Canada. In December 2017, it announced plans to convert approximately 25 percent of its Safeway and Sobeys locations to FreshCo over a five-year period and it is on track with the Project Horizon commitment to open 10 to 15 FreshCo stores in fiscal 2021.
Mike Venton
Overall, the company currently has a total of 116 FreshCo stores — 22 in Western Canada and 94 in Ontario.
“Empire’s discount network has grown 23 percent since we opened our first store in the West only two years ago,” said Mike Venton, General Manager, Discount, with FreshCo and Chalo FreshCo, which are discount banners under Sobeys and the Empire umbrella.
“We are committed to delivering market share growth through Project Horizon; Alberta is ripe with opportunity for Empire to compete with a strong discount offering. We are now more than half way through our FreshCo expansion in Western Canada.”
On average, the FreshCo stores are about 35,000 square feet with a limited assortment, added Venton.
“We like to speak about our fresh foods. We try to give you fresh foods at a comparable quality to what you would see at a full serve store at discount prices,” he said. “That’s one of the big things we stand behind. It’s also one of our guarantees. One of the guarantees is if you find any fresh item in a store that is not to your satisfaction we not only would replace the product but we would also replace your money. We market it as a fresh guarantee just to give you confidence hopefully that when you shop in our stores you should feel comfortable about the quality we’re selling.
“The other thing too around us being a discounter is we give a raincheck guarantee that if something in our flyer is not there, we made a mistake, or it sold faster than we thought, we give rain checks and we add 10 percent of the value just for an inconvenience factor and we have a price match guarantee. Anything in the flyer of a competitor if you bring that to us either on your phone or a paper, we’ll match that and we’ll beat it by a penny.”
Chalo FreshCo was inspired and created to cater to the South Asian market.
“The business knew that that particular demographic was the fastest growing in Canada. There was a lot of research done actually even before my time about developing an add on or a new brand for our discount business. There’s many overlaps, meaning if you walked into a new Chalo store or a Chalo store you would find about 5,000 unique items that would cater to the demographic but you would also have a standard FreshCo embedded in the middle of that store,” said Venton.
“So everything you would get at a FreshCo you would get at a Chalo.”
The 37 FreshCo locations in Western Canada will include 1.4 million gross square feet. Click here for a full list of the 37 FreshCo store locations confirmed to date. The company said store closure and conversion costs are estimated to be approximately $11.7 million before tax and will be charged to earnings in the third quarter of fiscal 2021.
Earlier this week, Empire announced seven new locations for the FreshCo discount banner. Four stores in Manitoba and two in Alberta will open this Spring. One Saskatchewan store will open in the Summer. One Alberta store will open in the Winter of 2021/2022. There will be six Alberta store conversions and one Northern Ontario conversion.
Exterior of Chalo FreshCo. Photo: Chalo FreshCo
Since April 2019, the company has opened 16 FreshCo stores in B.C., two in Manitoba, and four in Saskatchewan. By the end of fiscal 2022, the company plans to have these 37 FreshCo stores open in Western Canada.
Across Western Canada, the FreshCo stores are primarily conversions of Safeway stores but some Sobeys are also being converted and some are brand new builds.
The six Alberta FreshCo store conversions announced this week are: Brentwood in Calgary; Millbourne Mall in Edmonton; Saddle Ridge in Calgary; Coliseum in Edmonton; Palisades Square in Edmonton; and Gateway Village Mall in St. Albert. Closures of the respective Safeway stores will start in the first quarter of fiscal 2022, and open as FreshCo stores starting at the end of the second quarter of fiscal 2022.
In Northern Ontario, the Safeway store in Thunder Bay will close in the first quarter of fiscal 2022 and re-open as a FreshCo store in the second quarter of fiscal 2022.
There are currently seven Chalo FreshCo stores with three in Western Canada and four in Ontario. A new store will be opening in Edmonton and one in Brampton, Ontario within the next few months.
“We think the runway for this banner is huge because we look at the growth of that customer base in Canada as the most aggressive growth of any customer base there is. We like to say we’ve almost perfected it — because I’d never say we perfected anything in Ontario — but a very powerful brand and we introduced it to the West and we’ve got our work cut out for us because we know who we compete against and we think we’ve got a really good opportunity for this,” added Venton.
In Western Canada as a company, Empire really had no presence of discount before. It was a full serve retailer and it wasn’t being represented in discount which is the fastest growing segment of retail. So it made perfect strategic sense, said Venton.
“We look at the market and we strategically look at where it makes sense for many reasons. What’s the demographic? The discount business is very well in multicultural markets, we look at lower averaging costs, we look at where we’re saturated with stores that are full serve, because we bought the Safeway banner a number of years ago but there’s many Sobeys that are located in very close proximity to other stores. And then we have stores that were just not performing in the full serve. A number of factors we analyze pretty closely and then we make decisions,” he said.
“Everybody’s looking for value. That hasn’t gone away. The market is getting more and more competitive. Discounters are getting better. Options for shopping discount in terms of customer satisfaction and in terms of what they find is significantly better than it was previously. I think of us in that regard and I think of competitors. We’ve just improved. One area for sure is fresh food . . . I like to think too that we appeal to smart shoppers that know value and come to us. They might be driving a BMW, who knows, but we also appeal to the customer that needs to make ends meet. And this is where they come as well. So we have quite a dichotomy of customers if you look at our base.”
Empire said it will work with the unions representing affected Safeway employees in Alberta and Northern Ontario to ensure all terms of the collective agreements are met.
“We will also work with the respective unions to provide options to impacted employees, including the opportunity to work at Safeway stores within the network or in the new FreshCo locations,” it said.
U.S.-based outdoor specialty retailer L.L.Bean is continuing with its Canadian store expansion with a location opening this year in suburban Halifax. North American Development Group (NADG) says that it is welcoming L.L.Bean to Dartmouth Crossing, with the new 15,000-square-foot store scheduled to open in mid-2021.
L.L.Bean will be Dartmouth Crossing’s newest retail tenant, joining a soon-to-open Playdium at the 518-acre commercial centre, featuring over 1.8 million square feet of retail shopping space, which includes the only IKEA east of Montreal. Plans for additional entertainment, lodging, retail, and commercial tenancies are in the works.
L.L. Bean at Dartmouth Crossing. Image: North American Development Group
L.L. Bean saw three new stores open in Canada in 2020, bringing the current total store count to four, excluding the soon-to-be Halifax location. L.L.Bean’s first Canadian store opened in Oakville Ontario in August of 2019. That was followed by openings in Ottawa, Barrie, Vaughan Mills and at CF Shops at Don Mills in Toronto last year. Oberfeld Snowcap is leading the expansion which will see as many as 20 stores open in Canada over the course of a decade in partnership with Canadian distributor Jaytex Group.
The retailer launched its Canadian e-commerce site in the fall of 2018, followed by the introduction of a Canada-specific catalogue. Despite the pandemic, L.L.Bean sales in Canada have grown. E-commerce sales are up significantly compared to 2019 and the brand has seen a two-fold increase in first-time Canadian shoppers.
Exterior of Longo’s store. Photo: Longo’s
Longo’s Ranks as the #1 Grocery Retailer in Ontario
Leger surveyed more than 13,000 Ontarians across the province to find out how they rate their in-store customer experience. Each retailer was scored on 16 dimensions, including product offerings, pricing, service quality, store experience, personalization, and other factors including curb appeal and proximity.
The study revealed that customers consistently provided high rankings for Longo’s ambiance, product quality, check-out efficiency, curb appeal, customer importance, and staff courtesy. Customers surveyed reported feeling Longo’s stores are inviting and comfortable, and that they always trust they will find good quality products.
Overall, 145 retailers belonging to 20 sectors were analyzed in the WOW Study. Each grocery retailer was assessed by an average of 400 respondents who visited one of this retailer’s stores in the past month. Data collection took place from October 18 to November 23, 2020.
Connect4Commerce
Alberta Entrepreneur Launches Initiative to Help Small Businesses During COVID-19
Alberta entrepreneur and business development expert Bruce Tannas is launching a new online marketplace to help small business owners and entrepreneurs connect, grow, sell, and learn during a difficult time — as up to 42,000 Albertan small businesses risk closure due to COVID-19, according to the Canadian Federation of Independent Business.
Connect4Commerce is an online platform for buying and selling everything from equipment to entire businesses. It’s intended to be a convenient place for entrepreneurs and business owners to find reliable business service providers such as accountants and lawyers, and features offices and buildings for sale or lease. The site is also a hub of helpful information and expert advice related to buying, selling and growing a small business.
“While there are other buy-and-sell websites, Connect4Commerce is the only one-stop-shop designed specifically for business-to-business interactions, making it more targeted and generating a highly engaged community,” said Bruce Tannas, CEO of Luna Media Inc. and founder of Connect4Commerce. “It is more important now than ever for small business owners to have serious buyers and potential clients at their fingertips.”
Kawaii Alley Opens at West Edmonton Mall
West Edmonton Mall has a new retailer: Kawaii Alley. The Japanese character shop is a family-owned business specializing in rare and popular items from Japanese cartoons, Animes, K-Pop, and more. The plushies, stationary, and accessories are designed for children, teenagers, and adults alike. This is Kawaii Alley’s first Canadian store and is located on Level Two, Phase Three of West Edmonton Mall, near the T&T Supermarket.
It’s an example of an independent retailer securing space in a leading mall, indicating some confidence in physical retail at a challenging time. Alberta hasn’t had the same lockdowns as some parts of Canada and as a result, some retailers are seeing strong in-store sales.
Recently, Retail Insider conducted a thorough photo tour of all phases of West Edmonton Mall. Splitting the tour into two parts due to the size of the mall, Phase One and Two can be enjoyed here and Phase Three and Four here.
Farm Boy logo
Ontario-Based, Empire-Owned Grocer ‘Farm Boy’ Set to Open at Front & Bathurst This Week
Downtown Toronto is days away from the opening of yet another Farm Boy grocery store location. Due to open to the public on Thursday January 28, the Front and Bathurst Farm Boy (29 Bathurst Street) will span 33,400 square feet.
Shoppers will find the usual fresh farm produce, large organic selection, and a range of hormone-free meat and sustainable seafood that the brand is well known for.
The pizza, grill and sushi stations will be up and running, and self-serve areas like the hot bar and salad bar will now be handled by staff due to COVID-19 health measures.
Click for interactive Google Map of Front and Bathurst neighbourhood
It’s been three years since Farm Boy opened its first Toronto location in Etobicoke. This Farm Boy is now the third store in downtown Toronto, following last year’s openings at Yonge and Soudan and Bay and College. It marks the first of four stores scheduled to open in Toronto this year. Upcoming locations in 2021 include Harbourfront, Dundas West and Aukland, and Dupont and Christie.
Currently the grocer has 35 stores across Ontario, with complete expansion plans to add 11 more stores in the near future, focusing on both urban and suburban locations.
Flow Alkaline Spring Water.
Canadian Company Flow Water Set for IPO Debut
Flow Alkaline Spring Water is announcing that the company will be going public with an upcoming IPO. Flow Water Inc. and RG One Corp. say that they expect that the transaction will be completed in the first half of 2021 — Flow is looking to raise a minimum of $65 million, of which $30 million has been committed from existing shareholders as part of a non-brokered financing. The remainder of the financing will be raised through a brokered private placement of subscription receipts of approximately $35 million.
Nicholas Reichenbach, Founder and CEO of Flow, stated “We are very pleased by the wave of enthusiasm we saw for our non-brokered private placement, which we ultimately upsized to $30 million. In the wake of this incredible financing round, we are ready to pursue our listing on the Toronto Stock Exchange, which we view as the first step in our life as a public company. We believe that this committed capital along with our entrance into the public markets will accelerate our growth through expansion of our omni-channel retail distribution and continued product innovation, and further strengthen our brand and competitive positioning as we aggressively target the large and rapidly-growing premium enhanced water and ‘better-for-you’ beverage markets, with our core premium alkaline mineral spring water, global award winning organic flavoured waters, and collagen & organic certified vitamin spring water infusions. ”
Flow is launching a 2021 spring and summer campaign featuring a host of celebrity investors including Shawn Mendes, NBA superstar Russell Westbrook, and Taboo from the Black Eyed Peas. Their goal is to drive mass awareness of Flow’s mission and vision and inspire the Flow movement across social media and marketing platforms, and reach consumers in all channels.
Closed business due to COVID-19 lockdowns. Photo: Dustin Fuhs
There is a growing frustration by the small business community in the country on what entrepreneurs are calling an unfair advantage for big box retailers like Costco and Walmart operating during restrictions that have been created to deal with the COVID-19 outbreak.
The Canadian Federation of Independent Business has been a very vocal proponent of governments levelling the playing field for all businesses during the implementation of a lockdown and public health measures.
Now, the Toronto Association of Business Improvement Areas, the voice of the city’s 84 BIAs, representing over 70,000 businesses, and Toronto City Councillor, Brad Bradford, representing Beaches-East York (Ward 19), have sent a letter to Ontario Premier Doug Ford outlining their concerns over this issue.
“As a community we support the increased efforts to tackle the virus, however, we are also concerned about their effectiveness to contain the spread and inconsistent impacts for small, locally-owned businesses,” said the letter.
“Under the latest emergency orders essential retailers — particularly big box stores — are able to sell non-essential items in-store, and after-hours. This puts small businesses at a disadvantage and is a public health concern as it may encourage non-essential travel.
John Kiru
“We are asking you to take urgent action by going one step further in the orders and mandating big box stores and other retailers selling essential goods to close off sections of their stores where non-essential items are displayed. Manitoba has implemented this strategy and has seen cases going down since the order went into effect. We recognize that big box stores need to be kept open to provide essentials goods for folks, especially given the varied geography and access to online shopping across Ontario. But there is also an imperative to be fair with main street businesses who have made incredible sacrifices throughout the pandemic.”
John Kiru, Executive Director of the Toronto Association of Business Improvement Areas, said the reality is that small businesses are still trying to figure out what the evidence is to shut them down and keep the Costcos and the Walmarts of the world open.
“They’ve got hundreds of people going through there. There’s no real controls. (A recent) blitz on these places shows that they’re not very responsible in meeting their obligations under the lockdown requirements. We’ve been closed for two months. Small business is up against it. We’re losing them left, right, and centre out there and nobody has ever been able to show us that shopping is an issue that has caused some of these (COVID) numbers,” said Kiru.
“The fact that we have to be closed then we suggest that what’s good for the goose is good for the gander. And these big shops that are out there, we have no problem with the essential stuff absolutely. But when you can go in there to Walmart and walk out with a 90-inch TV I don’t know how essential that is.
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Closed business due to COVID-19 lockdowns. Photo: Dustin Fuhs
A quiet Queen Street West in Toronto during lockdown. Photo: Dustin Fuhs
Shuttered Tim Hortons in Toronto. Photo: Dustin Fuhs
Shuttered Prairie Girl Bakery in Toronto. Photo: Dustin Fuhs
“So if you’re going to be serious about the lockdown, be serious about it. Shut down all non-essentials. These power centres, these power big boxes, are more than capable of pivoting and making an adjustment within their layout. They do seasonal makeovers in those stores overnight. They’d be able to push aside a few aisles, put up some fencing or rails to keep people out of that area. If we can’t open our doors, then we would suggest that since we’ve been closed others should experience it.”
Kiru said the lockdown in Ontario could be easily modified while maintaining all the safety protocols by allowing small businesses, for example, to open under appointment based shopping, with limited capacity and contact tracing.
“We believe we can be responsible and manage our stores in such a way in terms of cleaning, in terms of the amount of people that could come in. We were closed right through Christmas which traditionally is the time of year, and before Christmas as well, when you make hay while the weather is good. That’s when we have a good year and you make up that money to carry you through the rest of the year,” he said.
“Well this year we didn’t have that and here we are. (Recently) it was Blue Monday. But for small business, January and February and part of March are usually blue months because people are getting their bills from Christmas. Business on main street is traditionally tough through January and February. And compound that with the fact that we can’t open only exacerbates the situation.”
Kiru said small businesses are grateful for some of the grants and government financial assistance that exist but unfortunately it’s nowhere near enough to be able to survive.
“We’re seeing not only businesses failing but the mental impact on a number of these business people. Divorces. There definitely are issues that are stemming when people are seeing their livelihoods, their life investments into their businesses, evaporating through no fault of their own,” he said. “Not to say the government is to blame but some of the restrictions that the government’s put into place and shut us down effectively is a part of that concern that many of these people are voicing.”
Retail Insider continues its Photo Tour series of Canadian malls to provide a window into shopping centres across the country that may be continuing to grow and expand while dealing with the effects of the COVID-19 pandemic. This edition takes us to the Avalon Mall, which is the leading shopping mall located in St. John’s, Newfoundland.
We asked the team at Avalon Mall to provide us with a glimpse of the mall during a typical day in January 2021, and they went above and beyond with providing our readers a photographic experience that would be beneficial for everyone. Our thanks go out to Donna Vincent, the General Manager of Avalon Mall and her entire team in Newfoundland. We’d also like to thank Elizabeth Engram (Manager, Marketing & PR at Crombie REIT), Marcel Elliott (Director, Leasing at Crombie REIT), and the team at Crombie REIT for providing the images for this tour.
Click for an Interactive Google Map
The Avalon Mall Overview
Avalon Mall is the premiere regional shopping centre in St. John’s, Newfoundland & Labrador. It’s the largest enclosed shopping mall in the province and will offer approximately 593,000 square feet of gross leasable area (GLA) upon completion of a three-year redevelopment project. Avalon Mall is owned and managed by Crombie REIT (“Crombie”).
Phase 1 of the $112M project began in 2017 with construction of a new parking structure, providing 875 additional parking spaces for shoppers and visitors. Vehicle access to Kenmount Road was redesigned and realigned, and the redesign and phased renovation of the centre’s interior common areas began with contemporary porcelain tile and acoustic ceiling tiles.
Phase 2 includes improvements to entrances and the exterior façade. Interior upgrades continue on the main level and in centre court, corridors, and atriums with upgrades to lighting, ceiling, and tile treatments. New washroom facilities were completed near the bottom of the food court escalators in 2019 — good washrooms are important for a first-class mall. The food court has been expanded with modern finishes, additional seating and furniture, and sorting stations that allow the mall to divert organic waste to an on-site composter.
2019 saw the opening of a new 50,400-square-foot Winners and HomeSense store, and a 30,600-square-foot The Rec Room by Cineplex. There was also a large number of additional retailers that joined the centre and will be highlighted as we go through the tour.
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Avalon Mall Leasing Plans- January 2021 (Crombie REIT)
Avalon Mall Leasing Plans- January 2021 (Crombie REIT)
Avalon Mall Leasing Plans- January 2021 (Crombie REIT)
The redevelopment of the common areas are complete, with a number of retailers scheduled to open in the next couple of months. There are also a few areas that are being redeveloped in the exterior of the property, but those should be completed by the summer of 2021.
Before we show interior photos, it’s important to stress that Newfoundland & Labrador have been on the low end of COVID-19 cases, with 6 total cases in the last 14 days and 398 total cases throughout the entirety of the pandemic. This is why you’ll see guests and employees without masks or various physical distancing measures that have been implemented in provinces across the nation.
Avalon Mall – January 2021 (Photo Crombie REIT)
When we were discussing the layout of this mall tour, the idea was to show three elements:
The progress of the expansion
The features of COVID-19 pandemic safety measures for guests
Additional photos of Avalon Mall
The Expansion at Avalon Mall
The Avalon Mall Expansion Area
The photo walk begins at H&M, flowing through to Sport Chek and ending at Mountain Warehouse.
H&M at Avalon Mall – January 2021 (Photo Crombie REIT)
In December 2020, Swedish fast-fashion retailer H&M opened a 21,740-square-foot location beside a soon-to-open 15,620-square-foot Old Navy store at Avalon Mall. H&M has been quietly expanding its base of stores in Canada, seeing success with its low-cost fashion model.
Avalon Mall – January 2021 (Photo Crombie REIT)
Adding tenants is an exciting time for a mall, especially when the exit of Sears gave the team an opportunity to re-imagine the offerings. This has been the case across the country as landlords look to backfill vacated anchor spaces.
Winners Homesense at Avalon Mall – January 2021 (Photo Crombie REIT)
Winners HomeSense relocated in 2019 to a 50,530-square-foot location with multiple windows that allow guests to see inside the store upon entry into the mall. Such a frontage is rare for an off-price retailer in a strong shopping centre.
Sport Chek Construction Hoarding at Avalon Mall – January 2021 (Photo Crombie REIT)
Directly across from Winners will be a 25,600-square-foot Sport Chek location, which has a tentative opening date of March 2021. Calgary-based FGL Sports (known as Forzani Group Ltd prior to a 2011 acquisition by Canadian Tire) operates a number of brands on top of Sport Chek, including Pro Hockey Life, Nevada Bob’s Golf, Atmosphere, and Sports Experts. The Avalon Mall Sport Chek won’t be as large or comprehensive as the retailer’s mega flagships, some of which span in excess of 75,000 square feet.
Gap Factory Construction Hoarding at Avalon Mall – January 2021 (Photo Crombie REIT)
GAP Factory will be joining the wing, along with a new Banana Republic, with both stores spanning 15,730-square-feet of retail space. The construction is all-hands on deck to get these stores up and running, which you can actually see in the GAP photo. It’s a positive sign that the GAP is actually opening a store in Canada as it closes other locations, including vacating Toronto’s Mink Mile completely.
Banana Republic Factory at Avalon Mall – January 2021 (Photo Crombie REIT)Expansion Map at Avalon Mall – January 2021 (Photo Crombie REIT)Tommy Hilfiger Hoarding at Avalon Mall – January 2021 (Photo Crombie REIT)
Tommy Hilfiger will be taking a 10,320-square-foot location, with a tentative opening set for Spring 2021. The US-based fashion brand operates a network of stores across Canada, many of them in outlet/off-price centres.
This will be a high traffic spot as it’s at another entrance to the mall and will be directly beside Five Guys and three locations that aren’t confirmed yet. When you’re looking at the leasing map, it’s interesting to note that the leasing team is still filling out their roster in locations ranging from 1,400 square feet to 3,750 square feet.
Skechers Construction Hoarding at Avalon Mall – January 2021 (Photo Crombie REIT)
Skechers will be opening a 2,520-square-foot location in spring 2021. The casual footwear and fashion retailer has a network of stores across Canada in malls, outlets and big-box centres.
Levi’s Construction Hoarding at Avalon Mall – January 2021 (Photo Crombie REIT)
Levi’s will also be joining the wing with a 2,060-square-foot store, which is less than half the size of the flagship at the Toronto Eaton Centre. Opened in 2018, that location featured the Levi’s Tailor Shop, a feature that allows guests custom embroidery and hemming services. Levi’s has been expanding its direct-to-consumer strategy by opening standalone stores across Canada — it’s a trend that we will continue to see into 2021 as brands increasingly move distribution away from multi-brand retailers such as department stores.
Sport Chek and Hakim Optical at Avalon Mall – January 2021 (Photo Crombie REIT)
A great location for the new Hakim Optical, which will cover 1,700 square feet in the mall expansion. We covered how Hakim Optical has been able to secure brand-defining retail locations, including Bay & Bloor at the entrance of the Mink Mile in Toronto. Toronto-based Hakim Optical has expanded from its home base across the country with well over 150 stores.
T Kettle at Avalon Mall – January 2021 (Photo Crombie REIT)
We haven’t had the opportunity to see a T.Kettle retail location in-person yet, so this was a pleasant surprise to see a location up and running. Retail Insider interviewed Doug Putnam (CEO, T.Kettle) prior to launch. The brand took over many of David’s Tea’s former storefronts after the retailer shut most of its locations following a bankruptcy filing last year.
Tip Top Tailors, Newfoundland Chocolate Company, and Winners HomeSense at Avalon Mall – January 2021 (Photo Crombie REIT)
Next to Hakim Optical is Tip Top Tailors, which has joined the area with a substantial 3,990-square-foot location. Personally, I love seeing new Tip Top Tailor stores, as I worked at a Jack Fraser menswear store at Aberdeen Mall in Kamloops, BC when I was in University. The “Jack Fraser” name was retired in 2005 and the company decided to rename all locations to Tip Top Tailors or merge with already existing in-market stores.
This particular location features a striking facade as part of the retailer’s new store concept.
Newfoundland Chocolate Company – January 2021 (Photo Crombie REIT)
Newfoundland Chocolate Company secured the corner, with a 1,000-square-foot presence with plenty of socially-distanced seating and an open concept. The lighting design really captures the eye.
You’ll also see variety retailer Showcase, which opened a 1,200-square-foot store and directly across from our next stop.
Mountain Warehouse – January 2021 (Photo Crombie REIT)
A 6,330-square-foot Mountain Warehouse location is next, which in our 2020 article floor plans was actually split into 3 different smaller-format retail offerings. The British travel and outdoor retailer has been expanding its base of stores in Canada since entering the market in 2014.
More Expansions, Relocations, and Renovations
In this next section, we’re going to be touring locations that may not be in the new expansion wing but are still exciting to share.
Avalon Mall – January 2021 (Photo Crombie REIT)
The Rec Room opened its first in-mall location in 2019 at Avalon Mall. On top of the entertainment value, this location has been a healthy addition to the property by way of creating a full-day experience. Visitors who are going to the Rec Room may continue to spend time (and money) in the mall, which is a huge benefit vs a stand-alone location like the Rec Room at the Roundhouse across the street from the CN Tower in Toronto.
Rec Room at Avalon Mall – January 2021 (Photo Crombie REIT)Rec Room at Avalon Mall – January 2021 (Photo Crombie REIT)
Laura Secord opened its newly renovated 870-square-foot store in November 2020. This was great news as we’ve seen a number of the Quebec-based chocolatier locations close in the last few months, including Bayview Shopping Centre and Cloverdale Mall.
Laura Secord, Sephora, and Lululemon at Avalon Mall – January 2021 (Photo Crombie REIT)
This photo also shows a Sephora and Lululemon location — both retail powerhouses. Beauty retailer Sephora now operates stores across the country, and Vancouver-based Lululemon is growing its base of stores in Canada as well as beyond by taking advantage of vacated retail space by other retailers.
Ardene at Avalon Mall – January 2021 (Photo Crombie REIT)Bath & Body Construction Hoarding at Avalon Mall – January 2021 (Photo Crombie REIT)
COVID-19 Pandemic Safety Protocols
The team at Avalon Mall were very proud of their success with implementations of safety protocols during the 2020/2021 pandemic. Even though Newfoundland has been able to escape the various lockdowns and infection rates as the rest of the country, they are still making guests feel safe through the use of education and branded signage.
Drone Photos of Avalon Mall and Woodgate Plaza
Below are a number of drone photos, provided by Overdrone Services, Inc.
Avalon Mall – January 2021 (Photo Crombie REIT) Avalon Mall – January 2021 (Photo Crombie REIT) Avalon Mall – January 2021 (Photo Crombie REIT) Avalon Mall – January 2021 (Photo Crombie REIT) Avalon Mall – January 2021 (Photo Crombie REIT) Avalon Mall – January 2021 (Photo Crombie REIT) The Brick and Toys R Us at Avalon Mall – January 2021 (Photo Crombie REIT)
Wrap Up of the Avalon Mall Photo Tour (January 2020)
And that’s a wrap! Join us for more photo tours in 2021. Retail Insider is enjoying the process of exploring malls across the country during a challenging time for the industry.
Our thanks again go out to Donna Vincent, the General Manager of Avalon Mall and her entire team in Newfoundland, and the team at Crombie REIT for providing the images for this tour.
Additional Photos of Avalon Mall During the Pandemic
The team at Avalon Mall sent through a number of amazing images of the mall, outside of the new expansion wing. Feel free to scroll through the photos below to see how the property is looking in January 2021.
Avalon Mall Leasing Plans (January 2021)
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Avalon Mall Leasing Plans- January 2021 (Crombie REIT)
Avalon Mall Leasing Plans- January 2021 (Crombie REIT)
Avalon Mall Leasing Plans- January 2021 (Crombie REIT)
Guest Services at Avalon Mall – January 2021 (Photo Crombie REIT)Crombie REIT Mall Administration Office at Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Lush at Avalon Mall – January 2021 (Photo Crombie REIT)Bath & Body Works at Avalon Mall – January 2021 (Photo Crombie REIT)Dynamite and Soft Moc at Avalon Mall – January 2021 (Photo Crombie REIT)Starbucks, CIBC at Avalon Mall – January 2021 (Photo Crombie REIT)Le Chateau at Avalon Mall – January 2021 (Photo Crombie REIT)Bootlegger and Foot Locker at Avalon Mall – January 2021 (Photo Crombie REIT)Foot Locker at Avalon Mall – January 2021 (Photo Crombie REIT)Bogarts Jewellery at Avalon Mall – January 2021 (Photo Crombie REIT)Envy at Avalon Mall – January 2021 (Photo Crombie REIT)Glamour Secrets at Avalon Mall – January 2021 (Photo Crombie REIT)Saje Natural Wellness at Avalon Mall – January 2021 (Photo Crombie REIT)The Body Shop at Avalon Mall – January 2021 (Photo Crombie REIT) Sports Experts at Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Crescent at Avalon Mall – January 2021 (Photo Crombie REIT)X Store at Avalon Mall – January 2021 (Photo Crombie REIT)Lids at Avalon Mall – January 2021 (Photo Crombie REIT)Garage at Avalon Mall – January 2021 (Photo Crombie REIT)Kearney’s and Central Barber Shop at Avalon Mall – January 2021 (Photo Crombie REIT)Bell Aliant at Avalon Mall – January 2021 (Photo Crombie REIT)
Avalon Mall Food Court
Food Court at Avalon Mall – January 2021 (Photo Crombie REIT)Tim Hortons at Avalon Mall – January 2021 (Photo Crombie REIT) Flavours Indian Cuisine at Avalon Mall – January 2021 (Photo Crombie REIT)Booster Juice in the Food Court at Avalon Mall – January 2021 (Photo Crombie REIT)Food Court at Avalon Mall – January 2021 (Photo Crombie REIT)Subway and Food Court at Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall Food Court – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Journeys at Avalon Mall – January 2021 (Photo Crombie REIT) Avalon Mall – January 2021 (Photo Crombie REIT)American Eagle Outfitters at Avalon Mall – January 2021 (Photo Crombie REIT)RW&CO at Avalon Mall – January 2021 (Photo Crombie REIT)CellIcon at Avalon Mall – January 2021 (Photo Crombie REIT)Eclipse at Avalon Mall – January 2021 (Photo Crombie REIT)GS Beauty Bar at Avalon Mall – January 2021 (Photo Crombie REIT)Telus at Avalon Mall – January 2021 (Photo Crombie REIT)Koodo and Wireless Wave at Avalon Mall – January 2021 (Photo Crombie REIT)Sephora at Avalon Mall – January 2021 (Photo Crombie REIT)Little Burgundy at Avalon Mall – January 2021 (Photo Crombie REIT)The Source, Jump+ and Scotiabank at Avalon Mall – January 2021 (Photo Crombie REIT)The Source at Avalon Mall – January 2021 (Photo Crombie REIT)Samuel & Co at Avalon Mall – January 2021 (Photo Crombie REIT)Aldo Shoes at Avalon Mall – January 2021 (Photo Crombie REIT)La Vie en Rose at Avalon Mall – January 2021 (Photo Crombie REIT)West 49 at Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Jump+ at Avalon Mall – January 2021 (Photo Crombie REIT)
Exterior Avalon Mall Photos
New Parking Garage at Avalon Mall – January 2021 (Photo Crombie REIT)Avalon Mall – January 2021 (Photo Crombie REIT)Lawtons at Avalon Mall – January 2021 (Photo Crombie REIT)New Entrance at Avalon Mall – January 2021 (Photo Crombie REIT)
Window of an empty restaurant forced to close amid COVID-19 pandemic
The Fifteen Group, one of North America’s leading hospitality industry experts, surveyed its clients across Canada to get a deep understanding of what the restaurant industry is going through in these challenging times due to the COVID-19 pandemic.
And the numbers aren’t pretty.
The survey found that 98 percent of the company’s clients have had their revenues negatively impacted since the start of the pandemic and over three quarters of those report more than a 50 percent decline.
The Fifteen Group survey of clients also found:
Collectively, those surveyed spent almost half a million dollars on pandemic-specific operational changes ($490,000) with an average individual spend of $15,000;
Despite a supportive customer base and valiant efforts to reduce costs, increase profit margins, add products, rethink the restaurant experience and increase safety protocols, 50 percent of those surveyed are unsure they will survive the winter;
93 percent of restaurants laid off or terminated staff;
56 percent increased outdoor capacity;
54 percent added alcohol to their takeout menu;
40 percent created their own delivery services;
63 percent use food delivery apps; of those, 60 percent say food delivery apps are helping them survive; and
80 percent believe their customer base has been supportive.
David Hopkins
David Hopkins, President of The Fifteen Group, said most restaurant owners feel that the steps they’ve taken to protect consumers and staff are sufficient.
“They don’t understand necessarily the lockdowns or the positions governments are putting in place. There’s a disconnect there. We’ve seen that in the media to a certain degree but hearing it from our client base certainly was impactful. They think they’re doing enough, they’re protecting their guests and yet they’re not allowed to operate. I’m speaking of Ontario and some provinces,” he said.
“Forty nine percent of the respondents said they weren’t sure if they would make it through to the end of the pandemic. We knew there was a large number. We heard from Restaurants Canada that 20 to 30 percent of restaurants won’t survive but hearing it from our group was certainly substantial. Keep in mind we did this survey back in December and I would have said the outlook in December was much better than it is right now in January. Things have gone downhill fairly fast in most if not all provinces. It’s way tougher now than we thought it might be at the start of December.”
Hopkins said he was quite alarmed by the average amount that restaurant owners have spent on health and safety measures, including patio initiatives for the winter.
“The thing is that this average of $15,000 to $20,000 that restaurants have spent, well it’s not like restaurants have that money to spend in the first place. They invested those funds to try and make a solution for themselves for the six months of winter and scrape together money to make that choice and then find out that it was wasted. I think there’s a definite outcry about that,” said Hopkins. “Some people understand the indoor dining lockdown but they’re struggling with how outdoor, ventilated obviously and socially-distanced dining, is adding COVID cases.”
Hopkins said the company’s clients also believe the government needs to do more to support them during this time.
“I’ve been involved with Restaurants Canada in helping lobby governments for support. We were doing this back in April, May, June, and back then it wasn’t enough. It’s even less now,” he said.
“In restaurants, revenue is king. Revenue is what drives profitability. The sense across the board is that government is not doing enough. They’re actually doing less than they did back in the first wave even though it’s worse now.
“When we come out the other side of this, I hope that it’s almost a resetting of the industry. We’ve been encouraging restaurants that are open to put their prices up because that’s obviously a good way to combat capacity restrictions and we think the consumer will tolerate a somewhat moderate price increase. But when we went into this, margins in restaurants were razor thin to begin with so it’s not a big surprise when something like this hits they’ve got no buffers to deal with it and they’ve got no capacity to absorb it. So I hope to some degree it’s a resetting of the industry. The average profit margin in the Canadian restaurant I think is about four percent and it’s been in and around that for years.”
Hopkins said restaurant owners have been forced to run their business better, engineer their menus more smartly, to become more efficient, to take a close look at their finances to see what works and what doesn’t.
Todd Barclay
“Because of everything, they’ve had to operate their restaurants much better and it only goes to say that when the pandemic’s done if they continue to operate with that kind of mindset and be more diligent in areas where they were really sloppy before, it can only help them make more money in the good times too,” he said.
In December, Restaurants Canada said 10,000 restaurants had closed across Canada since the pandemic began in March, and almost 50 percent expect to permanently close their establishment if conditions don’t improve.
“The vast majority of Canadian consumers are concerned that restaurants in their community may not survive and feel that restaurants are an important part of their community,” said Todd Barclay, President and CEO of Restaurants Canada.
The organization said no other industry has been hit as hard as the restaurant industry during this pandemic. At the height of the crisis, an estimated 800,000 jobs were lost or had hours reduced to zero. Since then the industry has struggled to recover due to revolving restrictions across Canada, with 21 percent of the restaurant workforce not yet recovered, it said.
Woman shops online during the holiday period. Photo: Salesforce
The numbers are in and Canadians increasingly shopped online during the recent holiday season, according to a new report by Salesforce.
Salesforce, a global leader in Customer Relationship Management, said in its 2020 Holiday Shopping Report that Canada saw holiday shopping revenue growth of 70 percent in e-commerce from a year ago.
There was a massive 2170 percent growth in online Boxing Day shopping traffic and 201 percent year-over-year increase in Canadian ecommerce Boxing Day revenue;
63 percent of Canadians completed Boxing Day transactions on their mobile devices; and
Canadian shoppers spent an average of $366 on online Boxing Day orders, which is a significant increase from an average of just under $100 during Black Friday and Cyber Monday sales.
Rob Garf, VP of Strategy and Insights for Salesforce, Retail & Consumer Goods, said going into last year “if somebody told me we’d do 20, 25 percent year-over-year growth I would be happy with that number.”
“I think any retailer would be happy with that number. But with people increasing their digital footprint, not just for shopping but for eating, for medical or for finance, maybe it shouldn’t be such a surprise that we saw 70 percent year-over-year growth,” said Garf.
“It is not a surprise that we saw unprecedented growth during the holiday season. When you peel back the numbers there’s some really interesting trends that have emerged. For instance, Boxing Day not only for traffic but also for sales year over year. If you think about it, a lot of that was likely driven by gift cards that were given as gifts because people were worried that they wouldn’t get the packages, they wouldn’t get the gifts there in time for the holidays. So we saw an increase in digital gifting this holiday partly because it provides the recipients some flexibility in what they will ultimately buy but also it increases the confidence that the recipient will actually get the gift in time given all of the shipping issues that we’ve been experiencing throughout the year and most notably during the holiday.”
Garf said two different categories of retail did well during the holiday season — one category he described as health, safety, and fun; the other category being home decor.
“In home decor because there’s such a blur between your work life and your social life and your family life, and most of it is happening in the home, people are looking at the picture on their wall, or the couch they’re sitting on, or the rug that they’re walking on, and they’re saying wow this could really use a refresh,” said Garf.
“While this is the gift giving time of the year, people were not only buying gifts for others but they were buying things for themselves that really fit into those categories.”
The report revealed that the 2020 holiday shopping season (November to December) saw over $1.1-trillion in global digital revenue and a 50 percent year-over year-increase.
Other global findings include:
Digital commerce surged later in the year, despite an earlier start to the holiday season: Total Cyber Week digital sales reached $270 billion globally, while the first two weeks of December accounted for $181 billion in global sales;
Retailers with more fulfillment options came out on top: Those offering curbside, drive-thru and in-store pickup options experienced 54 percent digital revenue growth year-over-year in the five days leading up to Christmas, compared to 34 percent growth for those that didn’t;
Consumers embraced financing options: Buy now, pay later usage saw a year-over-year increase of 109 percent;
Sporting Goods and Home Goods were the hottest product categories: Revenue for Sporting Goods grew 108 percent and Home Goods grew 89 percent. Food and beverage also grew substantially; and
Retailers brace for “returnageddon”: Over $330 billion in online purchases are expected to be returned globally—30 percent of all purchases made — as a result of this holiday’s ecommerce spike.
“This digital behaviour is not like a rubber band. It’s not going to snap back any time soon even when we get through COVID . . . Over Cyber Week we saw 22 percent new digital shoppers (global) and that followed by the way the first half of the year we saw 40 per cent new digital shoppers,” said Garf.
“So what this means is new people are turning to digital for the first time and they’re seeing the access, the ease of use, and the convenience, and by the way the safety, and they’re not going to turn back to pre-pandemic shopping.
“The definition of loyalty has really changed amidst the pandemic. It’s as much about convenience and safety. So people get a taste of that and there’s a whole baseline that is set for traffic and sales that we’ll see moving forward.”
The Centre Kirkland in Greater Montreal will be redeveloped as part of a joint venture between RioCan REIT and Broccolini Real Estate Group. (Photo RioCan)
RioCan Real Estate Investment Trust entered the New Year with the announcement of two new 50/50 partnerships for the development of two major mixed-use sites in Toronto and Montreal.
RioCan, one of Canada’s largest real estate investment trusts, has a new 50/50 partnership with Fieldgate Urban for a mixed-use condominium development with the combination of respective properties along Bloor Street West in Toronto’s Kingsway neighbourhood. It also has a new 50/50 co-ownership with Broccolini Real Estate Group with the sale of a 50 percent interest in RioCan’s mixed-used development of its RioCan Centre Kirkland in Montreal.
In early January, RioCan also announced the dissolution of a co-ownership with Talisker Corporation with RioCan’s acquisition of the remaining 50 percent interest in the development component of the Queensway property in Toronto and the disposition of its 50 percent interest in the Cineplex component of the property.
Edward Sonshine
“We are very pleased to announce the completion of these transactions to further advance our exciting mixed-use developments in Toronto and Montreal. These projects are prime examples of how RioCan continues to expand its value creation opportunities based on its strong foundation of well-located properties,” said Edward Sonshine, Chief Executive Officer of RioCan, in a statement.
“We look forward to working with our two new best-in-class partners as we create long-term value and increasingly transform our portfolio of assets into transit-oriented, mixed-used communities in Canada’s growing major markets.”
RioCan owns, manages, and develops retail-focused, mixed-use properties located in prime, high-density, transit-oriented areas where Canadians want to shop, live, and work. As of September 30, 2020, its portfolio comprised 221 properties with an aggregate net leasable area of approximately 38.4 million square feet (at RioCan’s interest) including office, residential, and 16 development properties.
The Toronto mixed-use condominium project, along Bloor Street West, directly across from the TTC’s Royal York subway station, is in Toronto’s affluent Kingsway neighbourhood. The transaction involves the sale of a 50 percent interest in RioCan’s 2939 – 2943 Bloor Street West property to Fieldgate and the acquisition of a 50 percent interest in Fieldgate’s 2915 – 2917 Bloor Street West property, resulting in both partners having a 50 percent interest in the combined site. The transaction is valued at $180 per square foot buildable density. The net transaction price was approximately $8 million paid by RioCan to Fieldgate, including reimbursement of its share of development costs incurred to date.
Interactive Google Map of Toronto’s Kingsway neighbourhood
RioCan said the combination of the two adjacent sites will allow for a development project of increased scale with greater density allowance and development efficiencies. The project is expected to receive final approvals and initiate pre-sales by year end 2021 followed by condominium sales activity to be launched in the second half of 2022. RioCan will act as retail property manager and Fieldgate as construction and development manager for the project. The company is hoping to start construction in the second quarter of 2023 with completion in 2025.
RioCan said the project expands the company’s growing presence in this highly-coveted area. It is ideally located, situated in the heart of the Kingsway neighbourhood which is recognized as a prime Toronto destination with an abundance of urban amenities. The project will include about 240 units in a seven-storey condo building with about 18,000 square feet of retail at grade.
“This development, along with RioCan’s strategic assembly of three other nearby properties along this Bloor Street West corridor, provides RioCan a unique opportunity to capitalize on residential intensification within this highly attractive node,” said the Trust.
John Ballantyne
John Ballantyne, Senior Vice-President, Asset Management for RioCan, said Bloor Street West is an extremely popular area in Toronto right now. The location is right on the subway line, literally steps away from a station and very close to the Humber Valley Park area.
“It’s an area that only has become more and more popular for residents, especially I would say for people in their 20s and 30s starting up new families,” he said. “This is a younger demographic area. People who are building families. They want to be on the transit, very close to the downtown and there’s still a ton of green space all around this area. A great place to raise kids.”
Two buildings currently on the site will be demolished to build the mixed-use development.
RioCan said the sale of a 50 percent co-ownership interest in Centre Kirkland to Broccolini was for about $19 million. Centre Kirkland is an open air centre anchored by a Cineplex cinema.
“This development project will involve a complete revitalization of the site decreasing RioCan’s exposure to Cineplex with the development of a diverse mix of new buildings and replacing under utilized space with highest and best uses. As a multi-phase project, each staggered phase of the project will remain income producing prior to its development start. As a result, the partners have entered into an agreement whereby RioCan will have a 100 percent interest in the pre-development leases. RioCan and Broccolini will share costs to develop each phase as it becomes development ready. Broccolini will be the development, and construction manager and once each phase of the development is complete, RioCan will serve as the retail/residential property manager and Broccolini will manage the office components,” said RioCan.
Centre Kirkland features easy access from the TransCanada Highway (Hwy 40) and will have direct access to the Kirkland Station of the future Reseau Express Metropolitan light rail transit network that links downtown Montreal with the South Shore and the West Island via the Trudeau Airport.
RioCan built the Centre as a commercial retail property about 20 years ago. It is 42 acres with about 315,000 square feet of retail. When it was built, it was anchored by a large, at the time, new format Famous Players movie theatre which is about 88,000 square feet with surrounding commercial retail strip buildings around it.
The new mixed-use development, which will take about 15 years for full build out, will include between 2,500 and 2,800 residential units, about 240,000 square feet of office space and about 135,000 square feet of retail with a connected network of streets. The site will be about 2.8 million square feet of built space. Residential towers will range between 10 and 26 storeys as well as some townhomes, explained Ballantyne.
Construction of the REM is well underway with trains expected to be put into service gradually starting in 2022 and the Kirkland station ready in 2023-2024.
“There’s huge opportunity here to redevelop this property as a mixed-use, primarily residential site,” said Ballantyne, adding the site will have between 15 and 20 residential buildings. The residential component will be a mix between rental and condos for sale.
Demolition for the first phase of the project is targeted for late 2022 to early 2023.
RioCan said its Queensway property, which was co-owned 50/50 by RioCan and Talisker, comprises two parcels: the development land component and the Cineplex land component. The 14.6-acre Cineplex component is occupied entirely by a Cineplex cinema. Spanning 3.2 acres, the development component fronts the Cineplex component along the Queensway and is currently occupied by three Recipe Unlimited banner restaurants and a Scotiabank branch, it said.
“With the last of the leases for the four units of the development component expiring July 2022, RioCan’s best-in-class development team has already rezoned this component to permit a 500,000 square feet mixed-use development,” said the Trust.
“RioCan has acquired the remaining 50 percent interest in the development component, which the Trust now owns 100 percent post this transaction. RioCan has also disposed of its 50 percent interest in the Cineplex component, which Talisker now owns 100 percent post this transaction. The development component is valued at $80 per square foot of zoned density and the Cineplex component is valued at a capitalization rate of 6.95 percent based on in-place net operating income in the Cineplex component. The net transaction price was $9.3 million paid by RioCan to Talisker.
“The Queensway development component is located at the corner of Islington Avenue and the Queensway in the west end of Toronto. This property is minutes away from the TTC’s Bloor subway line and Mimico Go Station as well as in close proximity to major highways and directly off an exit from the Queen Elizabeth Way (QEW) highway. The Queensway area has been subject to new high-rise residential development given its proximity to conveniences including transit, schools, retail outlets and an easy commute to Toronto’s downtown core. As a mixed-use condominium development, this project contemplates approximately 460,000 square feet for residential use and approximately 40,000 square feet for retail use. With zoning approval in place, construction is currently anticipated to commence in 2022. In addition, RioCan is in discussions with potential capital partners, where RioCan would serve as development manager for the project.”
“Fashion is a form of art, and as Canadians, we have the fundamental right to exercise our freedom of expression through the clothing we wear, create, design, sell and/or purchase. To successfully achieve this, we have to create an environment that allows these individuals to succeed,” said Mathi, who is based in Ottawa.
“As a Black woman, I wanted to create a platform to change the stigma around Canadian fashion, and put my efforts to create equal opportunity for a better future in the industry,” said Tesfamicael, who is based in Toronto.
They are Co-CEOs and Co-Founders of the initiative.
The two entrepreneurs believe Canada has the potential to become a fashion powerhouse and reclaim Canadian fashion from international influences. They say fashion is crucial to our national identity and our diverse population. Looking at the successes of dominant global allies in the fashion industry, the opportunities for Canada are exponential. Canada Fashion Network’s mission is to build a community for the Canadian fashion industry and strengthen the impact of Canadian fashion in the global economy. The network is open to all supporters, fashion enthusiasts, photographers, videographers, makeup artists, stylists, models, influencers, and investors.
Lidia Tesfamicael
Luxi Mathi
Mathi is a Canadian makeup artist with Luxi Management since 2018. The company is a marketing firm that helps Canadian businesses. Tesfamicael is a fashion designer, who makes custom clothing for clients, and a marketing expert.
“While I was working on the business of creating Lidia Daniel I had a lot of questions and concerns. Friends of mine had group discussions to talk about it, on how we can improve Canadian fashion and I found that everyone had the same concern . . . We started Ottawa Fashion Network with little events and networking events to get people to work together,” said Tesfamicael. “Luxi and I started it and we had a group of people that we worked with to really try and be creative and find ways to answer the questions of why the development of fashion is slow in Canada.”
The Network plans to address commonly faced issues in the industry, including the lack of community support, fashion related carbon emissions, cultural awareness and appropriation, representation, financial aid, job opportunities, recognition, resources, safety, sustainable fashion, and technology.
The Canada Fashion Network campaign images.
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The Co-Founders said last year’s critical shortage of personal protective equipment (PPE) showed us that the need for “Made in Canada” fashion and production is essential.
“We wanted to connect the dots and help people who are passionate about something, help them be profitable because that’s another problem in Canada in fashion. Becoming profitable and turning that passion into a business,” said Mathi.
She said Canada can become a fashion powerhouse.
“Canadians are very proud of their own identity and we’re so diverse. It’s important for us to have and give people the same opportunities as if you were to live in the States or the UK because we are seeing that other countries have more opportunity in fashion and the numbers show it if you look at their income in the fashion industry in comparison to Canada,” said Mathi. “Canada is very strong but they haven’t kind of created their identity with fashion. Their income in fashion is a lot lower in comparison when we look at the stats. But the research is very limited . . . It’s an industry that needs to be built.”
Tesfamicael said the Canadian fashion industry really needs to be nurtured from the ground up.
“We’re encouraging everyone to tell us their experiences, tell us their concerns, get involved with each other in a more inclusive and exciting way. For us our job is to really create the market research and figure out what’s the best approach. This is our approach,” she said. “So far it’s already affecting so many people. Everyone’s excited that’s heard about it. We feel the more that we talk about it people will start remembering and have value with Canadian fashion because it’s not being talked about in the media, it’s not being talked about anywhere else.
“Our efforts are to try to bring more excitement, bring more content. Just a better outcome and a better future for the Canadian fashion industry.”
All proceeds of Canada Fashion Network will be invested in raising awareness, conducting research, advocating for Canadian fashion on a national and international level, and finding solutions to issues while creating job opportunities and resources for Canadians.
The two have put out a call to action on their social media platforms, asking the community to get actively involved by filling out a survey, signing a petition, donating and sharing their personal stories and experiences. The goal of this first step is to spark a conversation about Canada’s fashion industry and its future.
