Ocgrow Group is moving into the luxury hospitality sector with the launch of a new hotel division, marking a significant expansion for the Calgary-based real estate developer as it looks to capitalize on rising tourism demand and shifting market conditions.
The company has introduced Ocgrow Hotels & Resorts, anchored by its flagship premium brand, Ocgrow Reserve, with its first suites now operating within the firm’s large-scale Greystone development in Cochrane.
Founder and CEO Harish Consul said the move follows years of evaluating the hotel sector and waiting for the right market conditions to align.
“We’ve been looking at the hotel industry for 20 years, and it hasn’t been the right time,” Consul said in an interview. “With COVID well behind us, room rates are rising, and there’s a lot of demand from international arrivals, especially in Alberta.”
Harish Consul
Strategic timing drives entry into hospitality
The decision reflects a broader strategy to diversify Ocgrow’s business beyond its core real estate operations, which include development, ownership and management.
Consul pointed to strong tourism trends and economic growth in Alberta as key drivers behind the expansion.
“We’ve got record growth, record venture capital and tech and the entire ecosystem,” he said. “People have really made a mind-shift here, and we’re seeing incredible interest in hotel rooms and finally really tourism for Alberta.”
The company’s first hotel offering is located within Greystone, a 150-acre master-planned community where Ocgrow is the largest developer and landlord. The development includes several thousand residential units and approximately 500,000 square feet of commercial retail space.
Consul said the overall Greystone project is about 65 to 70 per cent complete, with multiple residential and commercial components already occupied or operating.
“It’s really exciting. It’s one of the fastest-growing regions in Canada,” he said.
Pilot project tests demand for luxury suites
The Ocgrow Reserve suites are housed in a newly built structure within the Terez rental project at Greystone. The building includes 154 suites, with 76 currently designated under the Reserve brand as the company tests market demand.
“We’re also testing the market to see how much absorption and interest,” Consul said, adding the company has flexibility to increase the number of hotel units as needed.
The suites are positioned as high-end, all-suite accommodations aimed at visitors attending events at nearby facilities, including the SLS Centre, as well as families and travellers seeking premium lodging options in the area.
Consul described the concept as more than a traditional hotel offering, emphasizing technology and wellness as differentiating features.
“We’re really tech-focused. So we have AI-enabled hotel rooms,” he said. “There’s no more keys. It’s wireless entry with facial recognition.”
The company is also integrating wellness and longevity programming into the guest experience, which Consul said reflects growing global demand for health-focused travel.
“It’s really an experiential luxury hospitality service that we’re adding in addition to just a basic hotel room,” he said.
Ocgrow Group photo
Global expansion plans underway
While the initial launch is centred in Cochrane, Ocgrow is already pursuing an international growth strategy for its hotel division.
Consul said the company is in negotiations and site acquisition discussions in several global markets, including Dubai, Goa in India and coastal Portugal.
“We’re building a global hospitality brand headquartered in Calgary with a very extensive international strategy already underway,” he said.
He added that Western Canada, particularly the Calgary region and Cochrane, will remain a primary focus alongside international expansion.
“We’re very bullish on Cochrane,” Consul said.
The company’s global ambitions are supported by its existing international relationships through its venture capital activities, which Consul said provide access to opportunities in key markets.
Core real estate business remains central
Despite the push into hospitality, Consul said Ocgrow will continue to prioritize its real estate operations, which form the foundation of the business.
“We do the full stack,” he said. “We buy, build, manage, and asset management internally.”
At Greystone, that integrated approach includes residential projects such as Vertos and Terez, as well as commercial developments like Greystone Place, which is already home to a range of retail tenants.
The community also features amenities including parks, waterfront pathways and services such as daycare, medical and retail facilities, contributing to its positioning as a new urban hub within Cochrane.
Consul said the combination of real estate development and hospitality allows the company to enhance the overall destination experience while capturing additional value from visitors.
Ocgrow Group photo
Looking ahead
As Ocgrow advances its hotel strategy, the company will be closely monitoring demand and refining its model based on performance at its initial location.
Consul said the launch represents a major milestone for the company as it enters a new sector with long-term growth potential.
“This marks another major growth expansion for Ocgrow as we enter the luxury hospitality sector,” he said. “Ocgrow Reserve sets a new benchmark for premium accommodations and creates a powerful offering for guests and event organizers alike.”
With additional projects in the pipeline and international opportunities under review, he said the company is positioning itself to scale its hospitality platform in the years ahead.
“It’s very exciting for Calgary, very exciting for us,” Consul said.
Retail Council of Canada recognized retailers, brands, product innovators, and industry leaders through two major awards programs held as part of RCCSTORE2026 in Toronto this week.
The awards celebrated achievements in customer experience, sustainability, product development, supply chain modernization, merchandising, talent development, and leadership across Canada’s retail and grocery sectors.
RCCSTORE is Canada’s largest retail conference, bringing together retailers, suppliers, technology providers, and industry experts for educational sessions, networking opportunities, and discussions on emerging trends shaping the industry. Retail Insider attended the conference, where topics including artificial intelligence, retail crime, customer experience, employee development, and operational efficiency were among the recurring themes.
Kim Furlong
Those same themes were reflected in many of this year’s award recipients.
“The ERA winners represent the best of what Canadian retail has to offer; those retailers who are investing in innovation, reimagining the customer experience, and setting the standard for the industry,” said Kim Furlong, President and CEO of Retail Council of Canada. “Nights like this matter. This is the sector coming together to recognize the companies executing at the highest level.”
Excellence in Retailing Awards Recognize Industry Leadership
The 2026 Excellence in Retailing Awards highlighted retailers making investments in customer experience, sustainability, supply chain innovation, merchandising, and employee development. The awards were presented during a sold-out gala event held in conjunction with RCCSTORE2026.
Among the notable winners was Staples Canada, which received recognition in the In-Store Experience & Design category. The retailer has been investing in a new generation of stores, including its Burlington concept location, which features redesigned merchandising, expanded technology and learning departments, a dedicated seasonal area, open sightlines, and an enhanced service hub intended to improve customer engagement and navigation.
Pet Valu earned recognition for Supply Chain Innovations following several years of investment in distribution infrastructure and logistics modernization, while Sobeys Inc. was honoured for Environmental Leadership.
The awards also recognized Loblaw Companies Ltd. for Loss Prevention, Walmart Canada for In-Store Merchandising, IKEA Canada for Pop-Up Experience & Design, and la Vie en Rose for E-Commerce Experience. Farm Boy Company Inc. received the Philanthropic Leadership award, LCBO was recognized for Talent Development, and both Indigo Books & Music Inc. and RONA earned honours in the Retail Marketing category.
RCCSTORE2026 Awards. Image: RCCSTORE2026 Awards
Awards of Distinction Honour Retail Leaders
Some of Canada’s most respected retail leaders were also recognized through RCC’s Awards of Distinction program.
The 2026 recipients were Michael Brownstein of Brown’s Shoes, Deb Craven of Longo’s, Alex Miller of Couche-Tard, and Jillian Harris of The Jilly Box. According to RCC, the awards recognize individuals whose influence extends beyond their own organizations and contributes to the broader advancement of the retail industry.
The organization also awarded Retail Education Scholarships to sixteen students pursuing careers in retail, with five students receiving additional specialty awards sponsored by industry partners.
Canadian Grand Prix Awards Celebrate Product Innovation
RCC also presented its 33rd annual Canadian Grand Prix New Product Awards, recognizing innovation across food, grocery, household, health, pet care, and consumer packaged goods categories. The program honoured 41 category winners representing a broad cross-section of products sold through Canadian retailers.
The Grand Prix winners included products from major retailers and consumer brands such as Metro, Loblaw Companies Limited, Sobeys Inc., Federated Co-operatives Ltd., Pattison Food Group, Café William, Demetres, Kraft Heinz, Happy Planet, Maple Lodge Farms, Saputo, and Calgary Co-operative Association.
Several special accolades were also awarded. Federated Co-operatives received the All-Canadian trophy for its Blueberry Sea Buckthorn Fruit Spread, while Demetres was recognized for Excellence in Ethnic Product. OHME! earned the Innovation and Originality award, Café William received recognition for Innovative Packaging, and Loblaw Companies was honoured for Overall Consumer Value for its President’s Choice Probiotic Yogurt for Gut Health.
Lifetime Achievement Awards Presented
As part of the Canadian Grand Prix gala, RCC presented Lifetime Achievement Awards to Cara Keating, CEO of PepsiCo Canada, and Sandra Sanderson, Chief Marketing Officer of Empire Company Limited.
“Cara Keating and Sandra Sanderson have spent careers pushing this industry to be better,” said Furlong. “Their contributions have made Canada’s grocery sector stronger, more innovative, and more dynamic, and that deserves to be recognized.”
Together, the winners recognized during RCCSTORE2026 offered a snapshot of the priorities shaping Canadian retail today. From experiential store design and e-commerce innovation to sustainability, product development, supply chain efficiency, and workforce development, the awards highlighted how retailers and brands continue to invest in growth while adapting to changing consumer expectations and operating environments.
Welcome to the Daily Synopsis by Retail Insider. We released 8 articles today covering prominent developments in Canadian retail and property investments.
T&T Supermarket is expanding with a new 40,000-square-foot store at CF Sherway Gardens set to open in Summer 2027, generating about 120 jobs in a space formerly occupied by Saks Food Hall by Pusateri’s. Smart Investment Ltd., led by MEC owner Tim Gu, acquired McAllister Place mall in Saint John for $64 million with plans to improve tenant mix and community value. Meanwhile, Walmart Canada launched Walmart+, a membership program featuring unlimited same-day delivery and a Crave subscription aimed at boosting customer convenience.
Jacques Pérusse and daughter Valérie are scaling Teaology nationally through major pharmacy chains, capitalizing on clean beauty trends and elevating pharmacy retail’s prestige beauty presence. Additional coverage includes Best Buy’s insights on cautious but selective consumer spending, Charcoal Group’s continued expansion amid restaurant sector challenges, HG Vintage’s cautious growth in vintage fashion sustainability, and Toronto hosting significant downtown spending surges linked to Taylor Swift’s Eras Tour.
Lululemon on Robson Street in Downtown Vancouver. Photo: Lee Rivett.
Few Canadian retailers have achieved the global success of Vancouver-based Lululemon. Since its founding in 1998, the company has grown from a single yoga-inspired apparel store into one of the world’s most recognizable athletic and lifestyle brands, helping to define the athleisure category and building a global retail footprint of more than 800 stores.
Now the retailer is confronting a more difficult environment.
Lululemon reported first-quarter revenue of US$2.5 billion, up 4 per cent from a year earlier, but the results revealed growing pressure in North America, where sales declined in both Canada and the United States. The company also lowered its outlook for the year and acknowledged that weaker customer traffic, product challenges and negative commentary surrounding the brand have affected performance.
The results come at a pivotal moment as the company prepares for a leadership transition, responds to increasing competition and works to restore momentum in the market where the brand was born.
Canadian Sales Decline as North America Weakens
While Lululemon continues to generate strong international growth, particularly in China, its North American business remains under pressure.
Revenue in Canada declined 3 per cent on a constant currency basis during the quarter, while U.S. revenue fell 4 per cent. Comparable sales across North America decreased 6 per cent.
Management lowered its full-year guidance and now expects revenue of between US$11 billion and US$11.15 billion, representing flat to slightly negative growth compared to the previous year.
The revised outlook marks a notable shift for a company that spent years delivering consistent growth and regularly exceeding expectations. During the earnings call, executives devoted significant attention to initiatives aimed at rebuilding traffic and improving sales trends in North America.
“We faced a few headwinds and a moderating sales trend,” said Meghan Frank, Interim Co-Chief Executive Officer and Chief Financial Officer.
For many Canadian shopping centre owners and landlords, the performance is noteworthy. Lululemon remains one of the country’s most productive apparel retailers and occupies prominent locations in many of Canada’s highest-profile shopping destinations.
Lululemon at 1035 Ste-Catherine O in Montreal. Photo: Maxime Frechette
Management Acknowledges Traffic and Product Challenges
One of the most notable aspects of the earnings call was management’s unusually candid assessment of the business.
Executives attributed the slowdown largely to weaker traffic and product launches that failed to generate the anticipated consumer response.
Frank said the company experienced a decline in traffic late in the first quarter and into the second quarter. Management believes negative commentary in both traditional and social media affected customer perceptions of the brand and contributed to softer performance.
The company also acknowledged that several recent product launches did not perform as expected.
Retailers rarely discuss unsuccessful product introductions in such direct terms.
“As we closed Q1 and entered Q2, we faced a few headwinds and a moderating sales trend,” Frank said. “We experienced spikes of negative commentary in the media and on social channels with regard to our brand, which had an impact on traffic and overall top-line performance.”
Recent months have brought several challenges for the retailer. Earlier this year, Lululemon temporarily paused online sales of products from its Get Low collection following customer complaints regarding product transparency during movement.
The company has also been dealing with public scrutiny stemming from a governance dispute involving founder Chip Wilson.
Wilson, who founded Lululemon and remains one of Canada’s best-known retail entrepreneurs, launched a proxy challenge earlier this year and publicly criticized aspects of the company’s direction. The dispute was resolved in late May after Lululemon agreed to add two new directors supported by Wilson.
Competition Continues to Intensify
The North American slowdown is occurring against a backdrop of increased competition in the premium activewear market.
For years, Lululemon largely defined the category. Today, consumers have more choices than ever.
Los Angeles-based Alo Yoga has expanded aggressively across Canada since entering the market in 2022. The retailer now operates stores in major Canadian markets including Toronto, Vancouver, Calgary, Ottawa and the Montreal region. Most recently, Alo opened at Oakridge Park in Vancouver, one of Canada’s most closely watched retail developments and a project located in Lululemon’s home city.
Industry sources also indicate that California-based Vuori has been actively pursuing Canadian retail opportunities as part of its broader expansion strategy.
Neither Alo nor Vuori were identified by management as contributors to recent weakness. However, the premium activewear category has become considerably more competitive than it was during much of Lululemon’s rise. The category the company helped create now includes several well-capitalized brands targeting similar consumers with premium products and growing physical store networks.
Alo Yoga at the Corner of Bloor and Bay streets in Toronto, May 25, 2026. Photo: Craig Patterson
International Markets Continue to Drive Growth
While North America remains challenged, international markets continue to perform strongly. Revenue in Mainland China increased 30 per cent during the quarter, while comparable sales rose 13 per cent. Lululemon continues to project approximately 20 per cent annual growth in China for the full year.
The company now operates 816 stores globally and plans to continue expanding internationally, with a significant portion of future store openings expected to be located in China and other international markets.
The contrast between North America and international markets highlights how the company’s growth profile is evolving. Markets that were once viewed as emerging opportunities are increasingly becoming primary drivers of expansion.
A New Chapter Begins in September
The coming months will bring another significant transition. In September, Heidi O’Neill will assume the role of Chief Executive Officer following a lengthy career at Nike, where she held senior leadership positions spanning product, consumer and marketplace operations.
She will be based in Vancouver and take over leadership of the company at a time when investors and industry observers are closely watching Lululemon’s ability to regain momentum in North America.
Her appointment comes shortly after the resolution of the proxy battle involving Wilson and amid growing questions about how the company will balance international growth with efforts to strengthen performance in its core market.
Rebuilding Momentum
Management emphasized that it is already taking action. The company plans to increase marketing investment, accelerate product development timelines, expand community-focused activations and improve its ability to respond more quickly to consumer demand through supply chain enhancements.
Executives also highlighted investments in technology and artificial intelligence initiatives aimed at improving operational efficiency.
“We are not sitting still,” Frank said during the earnings call. “We are moving with urgency to make the necessary adjustments to reaccelerate momentum, particularly in North America.”
In August, Lululemon will bring back its SeaWheeze Half Marathon and Festival in Vancouver, one of several community-focused initiatives the company is using to deepen engagement with consumers and strengthen brand affinity.
Whether those efforts are enough remains to be seen.
What is clear is that Lululemon is entering a new phase in its evolution. The company that helped pioneer modern athleisure is navigating increased competition, changing consumer expectations and a leadership transition, while working to restore momentum in the North American market that fueled its rise from a Vancouver startup to a global retail powerhouse.
In the ever-evolving landscape of the rental market, the need for thorough tenant verification has never been more crucial. Landlords and property management companies face the daunting task of selecting reliable tenants from a pool of applicants, which can significantly impact the success of their rental business.
One of the most common steps in this process is performing a credit check for landlords to evaluate an applicant’s financial responsibility and payment history. However, traditional tenant verification methods, including the common practice of conducting background and credit checks for renters, are increasingly proving to be inadequate. This article explores why these methods are broken and offers insight into more effective approaches for tenant verification.
The Inadequacy of Background Checks
At the heart of tenant verification lies the background check. This process typically includes a review of an applicant’s rental history, credit history, and criminal record. Many landlords rely on abackground credit check for renters to assess a prospective tenant’s financial responsibility, reliability, and overall suitability for a rental property. However, this method has significant shortcomings.
Firstly, many background checks fail to provide a comprehensive picture of a tenant’s financial responsibility. A credit score might reveal past financial troubles, but it doesn’t account for changes in an individual’s circumstances, such as job loss or medical emergencies.
Moreover, inaccurate credit reporting can misrepresent a potential tenant’s financial standing. A tenant with a solid payment history could be unjustly categorized by a single missed payment or an outdated credit report.
Secondly, traditional background checks do not always consider the tenant’s behavior as a resident. While a criminal record check might reveal past offenses, it often overlooks the context. Someone might have made poor choices in the past, but may have since changed their life circumstances.
Conversely, applicants with clean records may have other underlying issues. Without understanding the full context of an individual’s history, landlords risk making decisions based solely on incomplete data.
The Slow and Cumbersome Process
Another drawback of traditional tenant verification is the slow and cumbersome nature of the process. Background checks often take several days or even weeks to complete, leaving landlords in a time-sensitive position.
In a competitive rental market, a slow approval process can result in lost opportunities as better tenants may secure housing before a landlord has a chance to finalize their decision.
This delay can frustrate well-qualified tenants who might be eager to sign a lease agreement. Not only does this cause a vexing experience for landlords and applicants alike, but it also discourages potential tenants from the drawn-out waiting period, leading them to move on to properties that offer a more streamlined application process.
The Growing Need for Modern Solutions
The rental industry has changed significantly over the past decade. Digital applications, online banking, remote employment, and evolving fraud techniques have created new challenges that traditional screening methods were not designed to address.
To meet these challenges, landlords are increasingly adopting technology-driven verification tools that improve efficiency, strengthen fraud detection, and provide a more complete understanding of applicant risk.
Modern screening solutions help landlords access information faster, verify applicant data more accurately, and make more informed leasing decisions without adding administrative burden.
The rest of the article (digital screening tools, alternative data, AI-powered analytics, and relationship-building) can remain largely unchanged because those sections already flow naturally into the discussion of modern screening solutions. This approach makes the article more credible, professional, and aligned with a landlord audience while naturally setting up AI as the next evolution in tenant verification.
1. Digital Tenant Screening Tools:
With the rise of digitalization, landlords can utilize tenant screening platforms that streamline the verification process. These platforms typically offer integrated services that combine credit checks for landlords, rental history verification, and criminal background checks into a single, easy-to-use interface.
By harnessing technology, landlords can receive results in real time, eliminating the lengthy waiting periods associated with traditional checks.
2. Alternative Data Sources:
Traditional credit checks often fail to paint the full picture of an individual’s financial responsibility. By tapping into alternative data sources, such as insights from payment histories on utilities, internet services, or even rental payment histories, landlords can assess a tenant’s reliability more effectively.
Such comprehensive evaluations can provide a broader understanding of an applicant’s financial habits and current abilities.
3. AI-Powered Predictive Analytics:
Employing artificial intelligence and machine learning can revolutionize tenant verification. Predictive analytics can analyze patterns and trends in tenant behavior to predict potential risks.
By assessing a tenant’s likelihood of defaulting based on historical and behavioral data, landlords can make more informed decisions. This method goes beyond surface-level data and provides insight into a tenant’s capability of maintaining responsible tenancy.
4. Tenant References and Testimonials:
While traditional background checks can overlook important tenant behavior, gathering references from previous landlords can shed light on an applicant’s character and reliability.
Encouraging applicants to provide testimonials from former landlords can speak volumes about their rental history. This approach highlights not only how reliably tenants paid, but also their behavior as neighbors and their overall impact on the rental community.
Building Relationships and Community
Beyond technology, the future of tenant verification should also focus on creating a collaborative relationship with tenants.
A successful landlord-tenant relationship is built on trust, communication, and a sense of community. By engaging with potential tenants on a personal level, landlords can better understand their needs and motivations.
Conducting in-person interviews, meeting applicants at the property, or even hosting community events can foster an atmosphere of openness. This approach not only aids in tenant verification but also encourages long-term positive relationships that benefit both parties.
Conclusion
The challenges posed by traditional tenant verification methods emphasize the need for a transformative approach in the rental market.
Embracing modern tenant verification services, utilizing alternative data, integrating technology, and focusing on relationship-building can significantly enhance the tenant selection process.
As landlords adapt to the changing environment and embrace innovative methodologies, they will not only improve their chances of finding reliable tenants but also contribute to healthier, more vibrant rental communities.
The future of tenant verification is not just about assessing risk; it’s about understanding people and fostering positive experiences for everyone involved.
T&T Supermarket Inc., Canada’s largest Asian grocery retailer, is expanding its Ontario footprint with a new location at CF Sherway Gardens, one of Toronto’s premier shopping malls, located at 25 The West Mall in Etobicoke.
The 40,000-square-foot store is expected to open in Summer 2027 and will be situated on the lower level of the mall, said the company.
T&T Supermarket will occupy the lower-level grocery and food hall space formerly operated by Pusateri’s Fine Foods, which had run a food hall concept in conjunction with the Saks Fifth Avenue department store above. Pusateri’s closed its CF Sherway Gardens location in January 2023, while Saks Fifth Avenue ceased operations on June 1, 2025, as part of the broader closure of Hudson’s Bay-owned retail banners in Canada.
CF Sherway Gardens offers a curated mix of fashion, dining and entertainment experiences. The addition of T&T Supermarket adds a new dimension to the shopping experience, giving customers opportunities for authentic Asian food discovery. Customers can also enjoy T&T’s signature “grocerant” experience, which combines the convenience of grocery shopping with restaurant-quality meals at supermarket prices, said the company.
CEO Tina Lee
“I’ve been getting requests from customers to bring T&T to Etobicoke for a while,” said Tina Lee, CEO of T&T Supermarkets. “After the positive response to our CF Fairview Mall location, Sherway Gardens was the perfect opportunity to continue collaborating with Cadillac Fairview to replicate that success. This location checks all the boxes—it’s in the former Pusateri’s space, has covered parking, and is conveniently located just off Highway 427 and the Gardiner. It’s a wonderful location that we expect to draw customers from a huge radius.”
“We’re extremely proud to extend our partnership with T&T with a new store opening at CF Sherway Gardens,” said Sal Iacono, President and CEO, Cadillac Fairview. “With a shared vision to enhance the retail experience, T&T’s unparalleled offerings will be a highly celebrated addition to the community.”
Sal Iacono
The grocery store chain said shoppers will be able to discover thousands of Asian grocery products, including fresh fruits and vegetables, live seafood, premium meats, and popular Asian snacks. The store will also feature T&T’s signature self-serve hot food bar, fresh sushi, bakery items, ready-to-eat meals, and a dedicated Asian beauty section carrying popular K-beauty and skincare brands.
This fall, T&T will also open its largest Ontario store at RioCan Empress in North York and Gilmore store in Burnaby, B.C. The CF Sherway Gardens store will be T&T’s 17th location in Ontario and is expected to create approximately 120 jobs in the local community. Interested applicants can visit T&T’s careers page at www.tntsupermarket.com for more information.
T&T image
T&T Supermarket is Canada’s largest Asian grocery retailer, operating more than 39 stores across British Columbia, Alberta, Ontario, Quebec, Washington, and California. Founded in Vancouver in 1993, T&T is led by second-generation successor and CEO Tina Lee.
It’s not yet known what will happen with the former Saks Fifth Avenue space directly above TNT, or the space formerly occupied by Sport Chek beside it.
One of Atlantic Canada’s largest shopping centres has changed hands as Smart Investment Ltd., led by Mountain Equipment Company (MEC) owner Tim Gu, has acquired McAllister Place in Saint John, New Brunswick, for $64 million. The transaction marks the second-largest retail property sale in Canada so far this year and signals the continued appetite among investors for dominant shopping centres that serve as retail and community hubs within their markets.
The acquisition follows Smart Investment’s purchase of Garden City Shopping Centre in Winnipeg and reflects a strategy focused on dominant community malls in secondary Canadian markets. While many conversations surrounding retail real estate in recent years have centred on the growth of e-commerce and changing consumer habits, Gu believes physical retail continues to play a critical role in how consumers interact with brands and communities.
Tim Gu
Gu has become increasingly visible within Canadian retail circles following his involvement in MEC’s return to Canadian ownership. Through Smart Investment and other business interests, he has built investments spanning retail, apparel manufacturing, consumer products, commercial real estate and shopping centres. His experience as both a landlord and retailer has shaped a perspective that differs from many traditional shopping centre owners.
For Gu, the acquisition represents an opportunity to apply that perspective to an asset that has served as a commercial and community hub for generations.
“What attracted us to McAllister Place was its strong position in Saint John,” Gu told Retail Insider. “It is a dominant retail destination, has loyal customers, and has been an important part of the community for many years.”
He added that Saint John itself was a key factor in the decision.
“We also like Saint John as a market. It has a strong community, good people, a stable local economy, and we believe there is long-term growth potential.”
A Landmark Property in Atlantic Canada
Located on Westmorland Road in Saint John’s east side retail district, McAllister Place has served as the region’s dominant enclosed shopping centre for decades. Opened in 1975, the property has undergone several significant transformations over the years as retail trends and consumer expectations have changed.
Saint John remains one of Atlantic Canada’s most important retail and commercial markets. As New Brunswick’s largest metropolitan area and a major port city, it serves consumers from across southern New Brunswick and has long attracted national retailers seeking regional market coverage. McAllister Place has historically been at the centre of that retail landscape.
The approximately 400,000-square-foot centre today houses roughly 100 retailers and service providers. Current tenants include Sephora, SportChek, GoodLife Fitness, American Eagle, Roots, Dollarama and The Brick, among others. The centre’s occupancy currently stands at approximately 91.8 per cent, according to Gu.
The property underwent a major renovation in 2009 and later expanded following the closure of Sears Canada, a redevelopment that helped modernize the centre and reposition it for a changing retail environment.
For decades, McAllister Place has functioned as Saint John’s primary enclosed shopping destination, adapting through multiple waves of retail change. The centre has navigated the expansion of power centres, the growth of e-commerce, shifting consumer habits and the collapse of major department store chains while maintaining its role as a key shopping and community destination for the region.
McAllister Place in Saint John, NB. Photo: National Retail Investment Group
Building a National Shopping Centre Platform
The McAllister Place acquisition appears to be part of a broader strategy for Smart Investment.
Gu confirmed that the company is actively looking at additional shopping centre acquisitions across Canada.
“Yes, we are open to acquiring additional enclosed shopping centres in Canada,” he said. “Our strategy is focused on dominant community malls in secondary markets, where the centre plays an important role in the local economy and daily life.”
The acquisition follows Smart Investment’s purchase of Garden City Shopping Centre in Winnipeg and suggests the company is building a portfolio focused on community-oriented retail properties across Canada.
The purchase is notable because it comes at a time when investment activity in the shopping centre sector has become increasingly selective. While weaker retail properties have struggled in some markets, dominant regional and community shopping centres continue to attract capital because of their established customer bases, strategic locations and redevelopment potential.
Across Canada, owners continue to invest billions of dollars into shopping centres through redevelopments, mixed-use projects, food halls, entertainment concepts and residential intensification. Rather than disappearing, many centres are evolving into broader community destinations.
‘There Are No Bankrupt Industries’
Gu’s confidence in shopping centres stems from a broader belief about retail itself.
“There are bankrupt companies, but there are no bankrupt industries,” he said.
While some retailers have disappeared in recent years, Gu argues that consumer demand for shopping, dining, services and experiences remains strong. The challenge, he says, is ensuring that both retailers and shopping centres continue evolving alongside changing customer expectations.
“My core belief is that retail is not disappearing, it is evolving,” he said. “Physical retail still matters, especially when it works together with online channels. The future is not online versus offline. The future is omnichannel.”
Retail Experience Shapes Ownership Philosophy
One factor that differentiates Gu from many traditional shopping centre owners is his background.
His business interests span apparel manufacturing, consumer goods, retail operations and commercial real estate. In recent years, he became part of the investor group that acquired Mountain Equipment Company and returned the outdoor retailer to Canadian ownership.
That experience has influenced how he views shopping centres and landlord-tenant relationships.
“Owning MEC has made me believe even more strongly in the value of physical retail stores and physical footprint,” Gu said.
“Stores are not only places to sell products. They are places where customers experience the brand, feel the product, understand the quality, and build trust.”
MEC’s return to Canadian ownership generated significant attention across Canada’s retail sector. For Gu, the experience provided a firsthand look at how retailers evaluate markets, negotiate leases, build customer relationships and balance physical stores with digital channels. Those lessons are now influencing how he approaches shopping centre ownership and tenant relationships.
“It helped me understand more clearly what retailers need from landlords: traffic, flexibility, customer experience, strong operations, and a true partnership mindset.”
Gu believes that perspective gives Smart Investment a different approach to shopping centre ownership. Rather than viewing a property solely through the lens of occupancy and rent, he argues that successful centres depend on helping retailers succeed over the long term.
Unlike many institutional owners that manage large numbers of properties across multiple markets, Smart Investment plans to take a direct and active role in McAllister Place.
“Smart Investment will directly manage the property through our property management platform,” Gu said. “We will also take a very hands-on ownership role.”
That approach contrasts with the more institutional ownership structures common among large shopping centre portfolios and reflects Smart Investment’s intention to be directly involved in leasing, operations and the property’s long-term evolution.
McAllister Place in Saint John, NB. Photo: National Retail Investment Group
Looking Beyond Traditional Retail
The acquisition also includes a significant long-term redevelopment opportunity.
The shopping centre occupies approximately 79 acres, of which only a portion has been developed. Existing approvals allow for approximately 526 residential units on excess lands associated with the property.
While Gu emphasized that any redevelopment decisions remain in the future, he acknowledged the site’s potential.
“We do see redevelopment potential over time, but we need to carefully study the market condition, local demand, timing, and what is best for the community and the property.”
Across Canada, excess shopping centre lands have become increasingly valuable as owners explore opportunities to add residential density and create mixed-use environments that support retail activity. McAllister Place appears well positioned to participate in that trend over the long term.
At the same time, Smart Investment is focused on strengthening the existing shopping centre.
Gu said the company is evaluating opportunities to improve the tenant mix and bring additional uses to the property.
“We are looking at opportunities for new retailers, tenant upgrades, and stronger food, service, and experiential uses.”
The emphasis on experiences reflects changing consumer expectations. Shopping centres increasingly compete by offering reasons to visit beyond purchasing products, including restaurants, health and wellness services, events, entertainment and community gathering spaces.
“A mall today cannot only be a place to sell products,” Gu said. “It should also be a place for food, services, events, experiences, local connection, and community life.”
A Long-Term Vision for Saint John
The acquisition comes nearly two years after McAllister Place was first brought to market and follows a period of portfolio repositioning by Primaris REIT. The Toronto-based real estate investment trust has completed several major acquisitions in recent years while selectively disposing of assets as part of its capital allocation strategy.
For Primaris, the sale aligns with a broader strategy of portfolio optimization that has seen the company acquire larger regional shopping centres while selectively disposing of certain assets. The transaction also demonstrates the continued investor interest in well-located retail properties despite years of speculation about the future of enclosed malls.
For Smart Investment, however, the focus is firmly on the future.
Gu said success will not simply be measured by occupancy levels or financial performance.
Instead, he hopes the shopping centre strengthens its role within the community while continuing to evolve alongside changing consumer expectations.
“Five years from now, success would mean McAllister Place is more stable, more active, and more valuable to Saint John,” he said.
“That means strong occupancy, a better tenant mix, more customer traffic, more community uses, and stronger confidence from tenants, customers, employees, lenders and the local community.”
While the acquisition of McAllister Place represents a significant investment in Atlantic Canada, it may also provide insight into Smart Investment’s broader ambitions. With shopping centre ownership now spanning Winnipeg and Saint John and additional acquisitions under consideration, the company appears to be building a portfolio around a conviction that dominant community malls remain important economic and social anchors in Canadian cities. In an era when many retail properties are being reimagined, Gu is betting that the strongest shopping centres still have considerable room to evolve and grow.
BEST BUY EXPERIENCE STORE, CALGARY. PHOTO: BEST BUY
Canadian retailers continue to grapple with a consumer who is more selective, more value-conscious, and increasingly deliberate about discretionary purchases. Yet despite ongoing economic pressures, shoppers are still willing to spend when products offer meaningful innovation, practical benefits, or a compelling reason to upgrade.
Those were among the key messages from Best Buy‘s latest quarterly results, offering insights that may resonate well beyond the electronics sector. The retailer, which maintains a significant presence across Canada through its Best Buy and Best Buy Express banners, reported first-quarter revenue of US$8.9 billion and comparable sales growth of 2 per cent. However, the most relevant takeaway for many Canadian retailers may have been management’s assessment of consumer behaviour. According to company executives, consumers remain cautious and highly focused on value, but they have not stopped spending.
“We see a customer who is still spending but is value focused and attracted to sales moments,” said Best Buy CEO Corie Barry during the company’s first-quarter earnings call. “While customers continue to be thoughtful about big-ticket purchases, they are willing to spend on high price point products when they need to or when there is technology innovation.”
The comments align with what many Canadian retailers have reported over the past year. Consumers continue to face affordability pressures, elevated housing costs, and broader economic uncertainty. At the same time, retail spending has proven more resilient than some industry observers expected. Rather than pulling back entirely, shoppers appear to be carefully evaluating purchases and prioritizing products they view as necessary, useful, or worth the investment.
Image: Best Buy Canada Ltd
Technology Categories Continue to Show Strength
Best Buy’s strongest performance came from computing, mobile phones, gaming, and services. Chief Financial and Strategy Officer Matthew Bilunas said computing delivered its ninth consecutive quarter of comparable sales growth, while mobile phones recorded a fifth straight quarter of gains. Gaming also performed better than expected during the quarter.
The strength of those categories suggests consumers remain willing to spend on products that play an important role in their daily lives. Whether for work, communication, entertainment, or education, technology continues to be an area where many shoppers are willing to allocate discretionary dollars.
Replacement cycles are also contributing to demand. Many consumers who purchased laptops, tablets, and other devices during or shortly after the pandemic are reaching the point where upgrades are becoming increasingly relevant. Best Buy executives cited replacement demand as one factor supporting continued growth in computing.
The results reinforce a trend seen across much of retail: consumers have become more selective, but they are still willing to spend when they perceive clear value and practical benefits.
Consumers Are Not Rushing Purchases
One of the more interesting observations from the earnings call involved what Best Buy is not seeing.
Analysts questioned whether concerns about rising technology costs and potential supply chain disruptions were encouraging consumers to accelerate purchases ahead of possible price increases. The company said there is little evidence of that behaviour.
“It’s actually very interesting in our research around the consumer. We are not seeing any indicators that would say the customer is pulling forward purchases,” Barry said.
Instead, Best Buy described consumer behaviour as largely consistent with recent quarters. Customers continue to respond to promotions and sales events, but they generally shop within predetermined budgets and remain disciplined in their purchasing decisions.
That pattern may sound familiar to retailers across Canada. Many merchants have reported consumers spending more time researching products, comparing prices, and waiting for promotional opportunities before completing purchases.
Housing Market Pressures Continue to Affect Appliances
Not every category performed equally well.
Incoming CEO Jason Bonfig said appliance sales remained under pressure due to a stagnant housing market and an intensely competitive retail environment.
The comments are particularly relevant for retailers operating in home-related sectors. Housing market activity remains closely tied to spending on appliances, furniture, renovation products, home décor, and other household purchases. When fewer consumers are moving or undertaking major home projects, retailers often feel the effects.
Bonfig said Best Buy has been testing initiatives involving pricing, marketing, inventory availability, and delivery speed in an effort to improve performance in the category. The company has recently seen signs of improvement, although housing-related challenges continue to influence demand.
Innovation Continues to Drive Spending
If there was one recurring theme throughout the earnings call, it was the continued importance of innovation.
Best Buy reported strong growth in several emerging categories, including AI glasses, health rings, handheld gaming devices, 3D printers, and collectibles. Combined sales for those categories doubled compared with the same period a year earlier.
The results support management’s view that consumers remain willing to spend when they encounter products that offer meaningful new capabilities or experiences. In a retail environment where shoppers are scrutinizing purchases more carefully, innovation can provide a powerful reason to buy.
For retailers, that lesson extends beyond technology. Whether through new products, enhanced services, or improved customer experiences, businesses that can clearly communicate value and differentiation may be better positioned to capture consumer spending.
What Retailers Can Take Away
Best Buy’s latest quarter offers a useful reminder that consumer caution does not necessarily mean consumer retreat.
Shoppers remain focused on value. They are comparing options, watching their budgets, and taking more time to make purchasing decisions. Yet they continue to spend when they believe a product or service delivers meaningful benefits.
For Canadian retailers, the challenge is increasingly about earning those dollars rather than simply waiting for consumer confidence to return. Success may depend on delivering a convincing combination of value, innovation, relevance, and practical utility.
Best Buy’s experience suggests that consumers are still spending. They are simply becoming more intentional about where they spend and what they choose to buy.
Walmart Canada announced Thursday the launch of Walmart+, what it describes as a first-of-its-kind membership program that goes beyond delivery for Canadians, bringing together unlimited same-day delivery from store, free shipping with no order minimum from Walmart.ca and a subscription to Crave – for $8.97 per month or $89 annually.
The retailer said Canada is the first Walmart market outside of the United States to launch the membership. It said the program offers everything customers love about Delivery Pass, which launched at the same everyday low price of $89 in 2023, plus more. Existing Delivery Pass members will automatically become Walmart+ members.
She said Canadians will be able to access a unique membership offering that combines unlimited grocery and general merchandise delivery with benefits beyond retail.
At launch, benefits include:
Unlimited free same-day delivery from store on orders over $35, at the same everyday low prices available in our stores. Members even save on Express Delivery, which arrives in 2 hours or less.
Free shipping with no order minimum on thousands of items from Walmart.ca and the Walmart app.
A subscription to Crave Standard with Ads: From acclaimed Crave Originals like Heated Rivalry, Project Runway Canada, and Shoresy, to exclusive HBO and Max Originals, popular CTV and Noovo series, blockbuster films and more, it’s is the only membership to offer Crave as an embedded benefit at no additional cost. Plus, members can access select live sports, including competitions from marquee leagues across Canada and around the world.
“Crave is built around bringing Canadians premium entertainment that fits naturally into their everyday lives,” said Steve Cummings, Vice President, Subscription Sales and Partnerships, Bell Media. “Through Walmart+, we’re making that experience even more accessible by pairing Crave’s premium content lineup, with one of the country’s most compelling membership offerings. It’s an exciting opportunity to reach audiences through a service that delivers value and convenience, every day.”
Andrew GoSteve Cummings
“For the first time, we’ve unlocked free shipping with no order minimum, arriving as soon as the next day, for thousands of items on Walmart.ca,” said Andrew Go, Vice President, eCommerce and Marketing, Walmart Canada. “This benefit is only available through Walmart+ and is going to transform how Canadians shop with Walmart, giving them even more convenience, value and flexibility every day.”
The retailer has more than 400 stores across Canada.
For Jacques Pérusse, the beauty industry has never simply been a business. It has been part of his family history for generations.
Long before clean beauty became a global trend and before specialty beauty retailers transformed the cosmetics industry, Pérusse’s step-grandfather helped bring Lancôme to Canada in 1947. Years later, Pérusse himself would build a decades-long career helping launch and grow prestige beauty brands across the Canadian market, working with names such as Christian Dior, Guerlain, Roc, Bioderma, and Decléor.
Today, alongside his daughter Valérie Pérusse, he is helping shape another chapter in that story through Montreal-based Sovanic Inc., the company behind the Canadian expansion of Italian skincare brand Teaology.
What began in 2019 as a small operation run from Pérusse’s dining room following his retirement has evolved into one of the more notable clean beauty growth stories in Canadian pharmacy retail. Teaology products are now sold nationally through retailers including Shoppers Drug Mart, Rexall, London Drugs, Jean Coutu and others, along with Brunet and Familiprix locations across Canada.
Canada has also become Teaology’s top global market, according to Pérusse, even as the brand expands internationally into more than 30 countries.
“The beauty industry runs in our veins,” said Pérusse during an interview with Retail Insider.
Valérie Pérusse, left, with Jacques Pérusse
A Family Legacy in Beauty
Jacques Pérusse, Président of Sovanic Inc.
Pérusse’s career has closely mirrored the evolution of Canada’s beauty retail landscape over the past half century.
His father operated a beauty distribution business during an era when department stores dominated prestige cosmetics and fragrance sales in Canada. Beauty counters at retailers such as Eaton’s, Simpson’s, Holt Renfrew, Ogilvy, Woodward’s, and Hudson’s Bay introduced international luxury brands to Canadian consumers long before Sephora or online beauty shopping existed.
Pérusse joined the family business in the mid-1970s and later helped grow a portfolio of brands that eventually attracted acquisitions or Canadian subsidiaries from multinational beauty companies.
“We would build brands and bring them to a certain level,” he said. “Eventually, they would fly on their own.”
That long history in prestige beauty retail eventually laid the groundwork for Teaology’s Canadian expansion years later.
After briefly retiring, Pérusse reconnected with Italian industry contacts Paolo Bevegni and Cecilia Garofano, founders of Teaology. The conversations eventually evolved into a partnership to help scale the brand internationally, with Canada becoming a priority market.
At roughly the same time, Valérie Pérusse was returning from maternity leave after the birth of her two sons and re-entering the family business. The timing unexpectedly created a new father-daughter partnership that blended decades of beauty industry experience with a younger generation’s understanding of modern skincare consumers.
“My father has decades of experience in the beauty industry,” said Valérie Pérusse. “I bring a more modern, consumer-focused perspective, especially around clean beauty trends, social engagement, and how younger consumers connect with brands today.”
Today, Valérie oversees much of the communication and storytelling strategy around Teaology in Canada, focusing heavily on authenticity, transparency, and direct consumer engagement.
“We focus heavily on authenticity and transparency with both beauty advisors and consumers,” she said.
Photo: Teaology
Teaology’s Position in the Clean Beauty Market
Founded in Italy in 2015, Teaology built its identity around a patented formulation process that replaces water, typically the main ingredient in skincare products, with concentrated tea infusions rich in antioxidants and nutrients.
The formulations incorporate ingredients such as matcha, green tea, black tea, white tea, and blue tea.
“What makes Teaology unique is that the brand replaces water with tea infusion,” Valérie Pérusse explained.
The brand’s positioning has aligned closely with broader shifts in consumer purchasing behaviour, particularly growing interest in ingredient transparency, cleaner formulations, and sustainability-focused products.
Teaology carries certifications including B Corp, EWG Verified, vegan formulations, and Yuka certification, while also using packaging initiatives that incorporate sugarcane waste materials.
“Consumers are becoming far more informed about the ingredients in the products they use,” said Valérie Pérusse. “Those certifications help reassure consumers before they even ask questions.”
The company’s growth has also coincided with continued expansion of the prestige and clean beauty categories in Canada. According to Circana, Canada’s prestige beauty market continued growing through 2025, supported by resilient demand across skincare, fragrance, and hair care categories.
Teaology Display, Image: Teaology
Building Through Pharmacy Retail
Teaology’s Canadian rollout began cautiously.
The company initially tested the market through TSC before gradually expanding into pharmacy retailers. Early traction at Quebec pharmacy banner Brunet helped create momentum for broader distribution with Jean Coutu, Familiprix, Rexall, London Drugs, and eventually major expansion with Shoppers Drug Mart.
“We had to start slowly because we were newcomers to the market,” Jacques Pérusse said.
The pharmacy channel ultimately became central to Teaology’s Canadian strategy. Pérusse said the company intentionally pursued a prestige-oriented positioning within pharmacy retail environments rather than mass-market distribution.
“We want to be accessible in price, but we don’t want to be perceived as mass,” he said.
That strategy also reflects how beauty retail has evolved in Canada over the past two decades.
As department store beauty floors have declined, pharmacy retailers have significantly expanded skincare and cosmetics assortments, increasingly competing with specialty beauty chains and digital platforms for prestige-oriented beauty consumers.
Pérusse believes Canadian pharmacy retailers still have opportunities to evolve further, particularly around experiential beauty retail and curated merchandising.
He pointed to Familiprix as one example, noting that the retailer created dedicated “ethical beauty” sections focused specifically on cleaner formulations and certified products.
The Changing Face of Beauty Retail
Pérusse has witnessed enormous changes across the beauty industry during his career, from the dominance of department stores to the rise of specialty beauty chains, Amazon, and digital commerce.
One of the most significant transformations, he said, was the early rise of Sephora in North America.
Pérusse recalled that many major beauty conglomerates initially refused to supply Sephora when the retailer first expanded into the United States. As a result, Sephora relied heavily on smaller emerging brands to fill shelves during its early years.
“They became market leaders by turning beauty retail into a discovery experience,” he said.
He also believes the Canadian market still lacks enough beauty retail space following the decline of major department store operators.
“Consumers deserve more choice, and brands need more opportunities to connect with shoppers,” he said.
At the same time, he sees digital commerce becoming increasingly critical to the future of the beauty industry.
Teaology is now investing heavily into e-commerce infrastructure, digital growth, and Amazon expansion as consumer shopping behaviour continues evolving globally. The company recently hired new leadership focused specifically on accelerating digital business internationally.
Looking ahead, Teaology plans to continue strengthening its Canadian and Italian operations while preparing for future expansion into the United States.
For Pérusse, adapting to retail evolution has been one of the defining lessons of his career.
“You can never stop evolution,” he said. “You can only adapt to it.”
