The coronavirus pandemic has left its mark on many businesses around the world, however, the city of Edmonton seems to be rising to the challenge.
Alberta’s capital seems completely unphased, and even thriving amidst the crisis – its success continues to be driven by strong retail and increasing interest from foreign and domestic CRE investors.
So, if you were looking for the right Canadian city that can bring a great return on investment, Edmonton might just be it.
One Door Closes, Another One Opens
It’s not surprising that many retailers across Canada have had to indefinitely close their doors during the coronavirus lockdown. This, paired with last year’s closures of Forever 21, Lowe’s, and Home Outfitters, among others, might have left some concerned, but unnecessarily.
The retail vacancy rate in Alberta’s capital was barely at 4% last year, and even now, Edmonton retail is reaching new heights.
The West Edmonton Mall received a new renowned tenant, Japanese famous fashion retailer Uniqlo. They also received a popular winter clothing manufacturer, Canada Goose, has begun prepping a 5,000-square-foot space in Edmonton, and a new service centre is being constructed also in Edmonton for Mayfield Toyota.
In addition to these retailers, Alberta’s cannabis retail policies are also attracting retailers all across the province, and they’re seeing an unprecedented rise in cannabis retail locations.
It’s Not Only Downtown Edmonton That’s Thriving
While traditionally, most retailers have been focusing on downtown for their new locations, this isn’t the case in Edmonton. The entire city is undergoing a retail revolution, and new shopping centers and locations are being opened all around.
In South Edmonton Common, there’s now a new Nordstrom Rack and Saks Off 5th, a new Canadian Tire, and even a large Ikea. The Southgate Centre has some of the highest sales per square foot in all of Canada, and over $130 million was just recently invested in Londonderry Mall.
The City of Edmonton Blossoming
There are major construction plans in various locations in Edmonton, thanks to the Valley Line transit. The Bonnie Doon Shopping Centre is set to be transformed into a huge mix-use district with plenty of public spaces, new senior housing locations, more retail space, and more residential units, which will draw in better foot traffic.
A new shopping centre is also being planned at Millwoods Town Centre with thousands of new housing units and retail and restaurant spaces.
Summary
The city of Edmonton continues to boom despite the pandemic. The reason, they have low retail vacancy, positive return on investment, and as a result they continue to attract both foreign and domestic CRE investors.
With so many new retail spaces, construction, and transformation plans, now’s the best time to invest in Canadian retail. Contact ReDev for learn about the opportunities available.