Microsoft Corp. (Nasdaq:MSFT) is the latest in a long line of U.S. retailers to open stores in B.C., where mall-sales-per-square-foot are substantially higher than they are in both the U.S. and elsewhere in Canada.
The company opened pop-up stores in Metropolis at Metrotown and in Oakridge Centre on October 26 and is rumoured to be considering opening a permanent retail location in Metro Vancouver in 2013.
Microsoft also last week opened pop-up stores in Toronto and Edmonton and plans to open a permanent location in Toronto next month.
Much fanfare greeted Nordstrom Inc.'s (NYSE:JWN) September announcement that it plans to open outlets in Vancouver, Toronto, Ottawa and Calgary. Anticipation is also building for Target Corp.'s (NYSE:TGT) rollout next year of at least 125 Canadian locations that will each employ up to 200 staff.
Less coverage greeted the arrival of Williams Sonoma-owned (NYSE:WSM) homeware store West Elm, which opened on September 13 on South Granville in the site that Shoppers Drug Mart (TSX:SC) vacated last year for new digs across the street.
Other U.S. retailers that opened their first B.C. stores earlier this year include:
•Home furnishers Crate & Barrel's sibling CB2, which opened in mid-February at the revamped Pacific Palisades on Robson Street;
•Clothing store J. Crew, which opened at the former Tommy Hilfiger location on Robson Street in April; and
•Fashion retailer Express, Inc. (NYSE:EXPR), which opened in Pacific Centre in July.
TJX Companies Inc. (NYSE:TJX) opened its first Marshalls fashion store location in Canada in 2011. It has since opened another six stores in Ontario.
"They will open the first two Marshalls stores in the Lower Mainland next year, including one in our Highstreet in Abbotsford," said Brian Nosko, who is director of leasing at Shape Properties, which is developing Highstreet.
Other U.S. retailers rumoured to be considering opening Canadian stores include fashion retailers such as Ann Taylor (NYSE:ANN) and Kate Spade. In addition, retailers such as Tony Burch and Dick's Sporting Goods (NYSE:DKS), which recently opened in Toronto, are believed to be scouting locations in other Canadian cities. •
Sales per square foot for non-anchor tenants in malls (2011)
Category B.C. Canada U.S. (US$)
Apparel $457 $446 $352
Furnishings $1,552 $1,080 $917
Food service $926 $867 $546
Jewelry $1,199 $1,119 $991
Average* $657 $584 $418
*average of all sales per square foot figures
Source: International Council of Shopping Centres
