“Ottawa is of particular interest to retailers. The average household income is $98,000 and more than 40 per cent of households bring home more than $100,000 annually, making the capital one of the wealthiest cities in the country. Ottawa shoppers spend more than $15.3 billion on retail annually.
Ottawa shops collect, on average, $475 per square foot in retail sales annually. Other Canadian cities see shoppers spend between $250 and $350 per square foot of retail space on an annual basis.”
When I spoke with the CEO of a large, trans-national REIT specializing in shopping and power centres about their holdings in Ottawa, he told me, “Bruce don’t even bother bringing us any offers for our Ottawa properties. They’re not for sale. Here’s why– the day after you sell one of those for me, I’ll come to you and ask you to find me a comparable piece of property for the same money you just got for us and which increases in value at 8% p.a. or better. Can you do that?”
“Probably not,” I answered.
ps. Ottawa Senators president, Cyril Leeder, reminded me that Bass Pro Shops was one of the retailers Terrace Investments Ltd (the original parent company of the Sens) targeted to become part of what we called West Terrace (the lands around Canadian Tire Centre) and is now the Kanata West Concept Plan. We were just a generation too soon.
West Terrace LUP (Land Use Plan)
Kanata West Concept Plan