Yorkdale Shopping Centre has surpassed $1 billion in annual sales, or roughly $2.7 million per day, putting it on track to potentially become North America’s top-selling retail centre.
The milestone was reached after Yorkdale’s announcement of a $331 million, 298,000-square-foot expansion that will begin construction in January 2014 and will be anchored by American clothing retailer Nordstrom. This new development follows on the heels of a $220 million expansion boosting the mall’s size to 1.6 million square feet and 7,400 parking spaces that was completed last year.
“Achieving that goal, it underscores the strategy we have implemented of attracting the right retailers,” said Anthony Casalanguida, the general manager. He explained that striking the right mix of high-end shops, which pay roughly $350 to $375 in rent per square foot, was key as well as carefully planning Yorkdale’s expansions.
Recently, Oxford Properties, Yorkdale’s landlord, bought back its lease from anchor tenant Sears. Now, Quebec retailer Maison Simons is eyeing the 190,000-square-foot spot. Though Casalanguida could not comment on prospective tenants, he said that Yorkdale may also consider potentially expanding the Sears site and adding on to the empty land currently surrounding it.
“We have over seven acres of land to play with,” he said. “Now it’s more of a strategic, long-term vision of what the property should [be].”
Yorkdale will examine its growth strategy as the Nordstrom expansion is built over the next three years. Michael Noble, a planner with City of Toronto, City Planning Division who has handled Yorkdale’s recent expansion proposals, said that the mall may expand within “fairly permissive” limits. It may reach up to three storeys in height, but must retain at least one parking space for every 20 square metres of gross leasable floor area.
“It’s a big site and it’s meant to be a major institution,” said Noble. “There’s a lot permitted on the site.”
Yorkdale may reach $2 billion in sales by 2018, said Casalanguida.
