How does their exit impact the Canadian retail market?€¦ · Retail vacancy rate to remain below...
1
FOR MORE INFORMATION Ross Moore Director, National Research 604.662.5101 [email protected] Missing the Target. How does their exit impact the Canadian retail market? Why did Target fail to connect in Canada? What’s the impact on landlords/REITs? Who will want Target’s space? What does this mean for foreign retailers considering Canadian locations? Misunderstood Canadian shoppers Location & product supply-chain issues Fiercer-than-anticipated competition E-Commerce savvy Canadians Physical store constraints In-store and brand experience not the same, compared to US stores Retail vacancy rate to remain below 5.0% in most Canadian cities New opportunities for retailers to adjust their placement and for others to enter Canada No reason for panic – burden is shared by multiple landlords Target accounts for a small portion of REIT operating incomes This decision says more about Target than it does the Canadian retail market Canadian retail fundamentals remain relatively solid Opportunities in a market that has offered infrequent openings in the past Read CBRE’s Canadian Market Outlook 2015 www.cbre.ca/marketoutlookcanada2015
Transcript of How does their exit impact the Canadian retail market?€¦ · Retail vacancy rate to remain below...
FOR MORE INFORMATIONRoss MooreDirector, National [email protected]
Missing the Target.How does their exit impact the Canadian retail market?
Why did Target fail to connect in Canada?
What’s the impact on landlords/REITs?
Who will want Target’s space?
What does this mean for foreign retailers
considering Canadian locations?
Misunderstood Canadian shoppersLocation & product supply-chain issuesFiercer-than-anticipated competitionE-Commerce savvy CanadiansPhysical store constraintsIn-store and brand experience not the same, compared to US stores
Retail vacancy rate to remain below 5.0% in most Canadian cities
New opportunities for retailers to adjust their placement and for others to enter Canada
No reason for panic – burden is shared by multiple landlords
Target accounts for a small portion of REIT operating incomes
This decision says more about Target than it does the Canadian retail market
Canadian retail fundamentals remain relatively solid
Opportunities in a market that has offered infrequent openings in the past
Read CBRE’s Canadian Market Outlook 2015www.cbre.ca/marketoutlookcanada2015
