Retail Insider has been informed that Hudson’s Bay Company-owned off-price chain Saks OFF 5TH is shutting two more Canadian stores after we reported last month that one of the retailer’s Edmonton stores would be closing. Saks OFF 5TH will continue to run 15 stores in Canada for the time being according to the retailer.
In Calgary, Saks OFF 5TH will close its 26,600 square foot store at CF Market Mall where it has operated since August of 2018. The store sits on a standalone pad on the property owned by landlord Cadillac Fairview. Saks OFF 5TH will continue to operate a store in the Calgary market at CrossIron Mills.
In Markham north of Toronto, Saks OFF 5TH will close its 26,275 square foot CF Markville store that opened in March of 2018. The store will be replaced by a location for French sporting goods behemoth Decathlon according to sources. Saks OFF 5TH will continue to operate several other stores in the Toronto market.
Saks OFF 5TH confirmed to Retail Insider that staff at both stores set to close were informed of the closures prior to Retail Insider releasing this report.
We reported last month that Saks OFF 5TH is in the process of holding a sale prior to the closure of its store at South Edmonton Common in Edmonton. Product not sold prior to the store’s closure will be moved to the Saks OFF 5TH location at CrossIron Mills near Calgary according to a source at the store.
A statement provided by the retailer following our report last month said, “After careful consideration, Saks OFF 5TH has decided to close its South Edmonton location. Through the regular course of business we continually evaluate store performance and other factors, and, from time to time, may determine it necessary to close a store. We expect this store to close to the public in April 2022. Customers can continue to shop with us at Saksoff5th.com and at our other locations.”
“We are committed to offering support and assistance to our team impacted by the closings. Eligible associates will receive appropriate employment separation packages and transfer opportunities will be explored where feasible,” the statement went on to say.
Saks OFF 5TH entered the Canadian market in 2016 with plans for about 25 stores. Between 2016 and 2018 the retailer opened 18 stores in Canada and then halted the expansion. Some landlords said that the retailer had been struggling in terms of sales with some locations selling less than $100 per square foot annually.
In Canada, Saks OFF 5TH currently has stores in the Vancouver, Calgary, Edmonton, Winnipeg, Ottawa, Toronto/Southern Ontario, Montreal and Quebec City markets.
The retailer competes with other off-price retailers operating in Canada including TJX banners Winners and Marshalls as well as Nordstrom Rack which entered Canada with its first stores in 2016.