Lowe's Canada acquires 13 former Target locations
2,000 new jobs could be created as a results of openings, retailer says
Home improvement retailer Lowe's has acquired the leases for 13 former Target locations in Canada, and plans to open up new stores that could employ as many as 2,000 people.
The chain said it purchased the retail storefronts, as well as Target's former distribution hub in Milton, Ontario, for $151 million at an auction of the leases run by the court-appointed monitor overseeing the former retail chain's insolvency.
Earlier this year, Target announced it would close all of its stores in Canada, less than two years after opening. All of the chain's 133 stores were closed by mid-April.
Although declining to list the specific locations until the deal officially goes through, Lowe's said it will be opening new stores in markets where it is currently "under-penetrated" since opening up shop in Canada in 2007.
"Lowe's carefully evaluated the available sites and bid on locations that we believe best complement our existing store base or provide access to new markets where we believe the Lowe's brand and offering will be well received," a company spokesman told CBC News via email.
Lowe's currently has 38 stores spread across Alberta, B.C., Ontario and Saskatchewan, and employs about 6,000 people in total in Canada.
"These additional locations will accelerate our expansion across the country, enhancing our presence in Western Canada and strengthening our base in Ontario," company president Sylvain Prud'homme said in a press release. "We are excited to bring Lowe's to more customers in more communities in Canada, further demonstrating our commitment to this important market."
The deal is subject to court and regulatory approval but, if all goes well, will be finalized by the end of next month.
- A previous version of this story incorrectly reported that the chain has a presence in Alberta, B.C., Ontario and Quebec. In fact, they have stores in Alberta, B.C., Ontario and Saskatchewan.May 11, 2015 1:03 PM ET