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- Job Counter Manager - Hudson's Bay
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Last week we reported that Barry Sternlicht of Starwood Capital was bidding on Saks, and that he was the frontrunner. Sternlicht since dropped his bid after his business partner decided against the deal. We reported on the three potential Saks buyers , including Hudson's Bay, Sternlicht and an unknown Middle-Eastern purchaser.
With Sternlicht out of the race, only two potential purchasers remained. Hudson's Bay may find it difficult to make Saks succeed in Canada. Excluding Saks' Manhattan and San Francisco flagships, Holt Renfrew stores achieve considerably higher sales per-square-foot than most Saks stores. Not to mention, Holt Renfrew has exclusive distribution agreements with many designers already carried at Saks' American stores.
Saks' outlet concept ' Off 5th ' is also expected to come to Canada. Off 5th carries both discounted merchandise from Saks' full-priced stores, as well as products purchased specifically for the outlet store. HBC has been contemplating a potential Saks purchase for months and we're re-posting our analysis of some possible locations for Saks in Canada.
Newer American Saks Fifth Avenue stores are generally in the 80,, square foot range.
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Hudson's Bay has 90 Canadian stores. Several are in Saks-worthy locations. Although we'd only expect Toronto, Calgary and Vancouver to get Saks stores, we've do a more comprehensive metro-area breakdown of possible full-line or shop-in-store Saks Fifth Avenue locations via HBC. Greater Toronto Area. The store's current low ceilings might be remedied by a demolition and reconfiguration of the interior retail space, though this would certainly be an expensive challenge. If Saks were to carve out, say, a , square foot portion of Yorkdale's Bay, that would still leave , square feet for the primary tenant.
A full-sized Saks is less likely because of Hudson's Bay's smaller size. Downtown Calgary already includes a , square foot Holt Renfrew store that will soon expand. Anchor space at Oakridge could be somewhat flexible and as far as we're aware, Hudson's Bay will occupy a newly-built north-anchor space at Oakridge. It is located on what is arguably Canada's most upscale retail strip.
Speculation has been rampant as to who might lease the space. ACT7 of Urban Toronto has discovered which tenant has finally secured the space, and we'll announce who the tenant is tomorrow.
The space is narrow and under 1, square feet. This poses a challenge for merchandising, especially for a clothing retailer.
And in fact, we've been informed that the new tenant at 89 Bloor Street will sell clothing. The vacant retail space has gained plenty of online attention. Jacob Ritka of The Grid Toronto wrote on its continued vacancy last year, and it has been discussed at length on the discussion forum at Urban Toronto.
We can confirm that the tenant will be none of these. Check back tomorrow when we'll announce who the new retail tenant will be for 89 Bloor Street West. First Name. Last Name. Included will be Canada's first Hudson's Bay Outlet store, which will carry clearance merchandise from Hudson's Bay stores.
Job Counter Manager - Hudson's Bay
For a complete list of retailers opening August 1st, please refer to our previously published article about the Toronto Premium Outlets. We'll report back following this event, which we're sure will be very busy. Sternlicht's bid for Saks could win partly because he would keep Saks management 'as is', whereas HBC would hire new Saks management as well as possibly expand Saks into Canada. The third bidder for Saks is speculated to be a Middle Eastern sovereign wealth fund.
Few details on its identity or bidding price are known. Last month we first reported on HBC's potential purchase of Saks. We subsequently discussed possible Canadian Saks locations that could either be located within existing Hudson's Bay stores, or be free-standing. We'll keep you updated with any new developments. Thank you to a source who wishes not to be named for forwarding us this article source from the New York Post. Many cities worldwide already have massive Apple flagships that are both roomy and architecturally interesting not to mention massively productive.
A source tells us that Canada is on the map, especially Downtown Toronto and Vancouver. A source with the company a personal friend of this author, since relocated to California tells us that Apple is actively seeking space in Downtown Toronto for at least one if not two large Apple Store flagships. San Francisco will get a large glass block Apple store on a prominent site in the popular Union Square shopping area top picture in this article. It has just appointed a general manager who will oversee Canadian operations.
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