Billionaire Ruby Liu from British Columbia has recently taken possession of a retail space previously owned by Hudson's Bay at the Tsawwassen Mills mall located in Delta, B.C. This store, a former Saks OFF 5th, marks the initiation of Liu's ambitious plan to transform the property into a unique cultural, tourist, and retail destination.
On Thursday, Liu, along with approximately twelve staff members, celebrated the acquisition of the keys in a low-key ceremony that attracted only a few onlookers. They held up signs proclaiming "The Bay handover to Ruby Liu" while posing for videos and photographs. The 3,000 square meter store is the smallest of three Hudson's Bay leases Liu is permitted to takeover through an Ontario court overseeing bankruptcy proceedings.
The court has approved her acquisition of these leases within her mall properties in Delta, Victoria, and Nanaimo for a total cost of $6 million. Additionally, Liu has expressed interest in acquiring another 25 Hudson's Bay leases across Canada. However, during recent court proceedings, landlords have expressed concerns about Liu's plans and their lack of detailed disclosures regarding her intentions.
Speaking via a Mandarin interpreter, Liu outlined her vision for these locations, stating that she intends to classify them into flagship or standard retail stores, naming them after her. The decision on which locations will become flagship stores will depend on factors such as location, current foot traffic, and sales performance.
According to Liu, traditional retail operations could commence in three to six months. However, the flagship locations will require further improvements and renovations before opening. Landlords representing major retail property firms like Cadillac Fairview, Oxford Properties, and Primaris communicated to an Ontario judge that they are "troubled" by their negotiations with Liu, citing unproductive interactions and a lack of meaningful information sharing.
This month, Liu sent a letter to landlords of the 25 leases she aims to acquire, projecting a $84 million budget for renovating those properties and an additional $96 million to enhance inventory over the next eight months. Liu disclosed that she has already engaged with over 50 former Hudson's Bay suppliers who are willing to sell or consign products to her, although the names of these suppliers were not disclosed.
On Thursday, Liu clarified that any alterations made to the retail spaces, apart from conventional retail operations, would be conducted with the landlord's approval. "Because we are taking over the lease, we are adhering to the land use specified in the lease, operating as a modern department store. Any changes I’m discussing will be contingent upon the landlord's support," she noted.
Liu has previously indicated that her retail spaces would not only offer apparel, jewelry, and cosmetics but also include children's play areas, entertainment options, dining experiences, and zones designated for cosplay—an activity involving dressing up as fictional characters. Given this ambitious vision, the evolution of Liu's retail operations will be closely watched by both stakeholders and consumers alike.
