Music and entertainment retailer HMV Canada plans to close its Toronto Eaton Centre location by the end of this year, citing high real estate costs. The company said it has opened and closed a number of stores over the last decade as part of a long-term real estate strategy. HMV Canada is a portfolio investment of British private equity firm Hilco Capital. In July 2011, Re:Capital Canada, a Hilco affiliate, acquired it from the United Kingdom’s HMV Group Plc. Last year, Re:Capital Canada bought Tilley Endurables.
hmv Canada Closes Its Toronto Eaton Centre Location
TORONTO, ON–(Marketwired – October 20, 2016) – hmv Canada, the country’s premiere retail destination for music and entertainment announces today that it will close its Toronto Eaton Centre location by December 31st, 2016.
“Unfortunately, the high real estate costs for this property have made it challenging to operate a profitable store. Given hmv Canada operates its 26,000 square foot Flagship location across the street at Yonge & Dundas, it was a sensible decision,” notes Harvey Berkley, Chief Financial Officer, hmv Canada. “Toronto Eaton Centre has long been a jewel in the crown for hmv and if the right location were made available, naturally we would love to return,” said Nick Williams, President and CEO, hmv Canada.
hmv Canada has opened and closed a number of stores over the last decade as part of its long-term real estate strategy. Most recently, new locations opened in Guildford Town Centre & Tsawwassen Mills. hmv currently operates 102 stores across Canada in conjunction with its e-commerce site hmv.ca and its digital download service hmvdigital.ca.
About hmv Canada
hmv Canada’s first store opened in 1986, from which it has grown to become a Canadian entertainment market leader with 102 stores from Newfoundland to British Columbia, including flagship locations in Toronto, Vancouver, Edmonton, and Montreal. hmv Canada is an innovator in its market, launching in 2009 hmvdigital.ca, its digital music store, in 2010, the pure customer rewards program, which has attracted over 1.5 million paid cardholders. hmv has been named Canadian Music Retailer of the Year for the past 21 years, and has also been recognized as the Canadian Entertainment Network DVD Retailer of the Year. In July 2011, Re:Capital Canada, a subsidiary of Hilco Capital, acquired hmv Canada from the UK’s HMV Group plc.
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Photo courtesy of Reuters/Luke MacGregor