TORONTO – A B.C. billionaire hoping to launch a new department store chain in former Hudson’s Bay and Saks Canada spaces estimates she can have at least 20 locations up and running within 180 days of signing leases, but landlords aren’t on board with her plan.
The timeline is one of many highlights in a package prepared by Ruby Liu’s lawyers and obtained by The Canadian Press.
It was sent in early June to landlords of 25 leases she wants to take over. Lawyers for several, including Cadillac Fairview, Oxford Properties and Primaris, told a judge on Monday they’ve been “very troubled” with their interactions with Liu and have had “no productive discussions, no meaningful disclosure.”
The 55-page package consists of a nine-page letter with several hallmarks of a business plan; it outlines everything from Liu’s leadership experience to her hiring plans and is accompanied by a spreadsheet that offers prospective balance sheets and earnings forecasts.
However, the bulk of the document is made up of prior court filings describing the general sales process for Bay leases, as well as a list of tenants at three malls Liu owns in British Columbia.
Linda Qin, a spokesperson for Liu, did not refute the contents of the document. She said the team they’re running is “confident in our ability to successfully revitalize these retail spaces and fulfill our mission.”
“Since April, we have been actively advancing operational work at the store level and have made meaningful progress,” Qin wrote in an email.
Liu maintains she has landlord support and is confident that if she gains approval to buy the leases, the opposing group will welcome her.
Once she has the leases, she plans to develop a new department store she will name after herself and market with a scarlet jewel motif, a nod to her name.
She has told The Canadian Press her retail stores would stock apparel, jewelry and makeup but also feature kids’ play spaces, entertainment offerings, dining experiences and areas for cosplay — the practice of dressing up as fictional characters.
However, it’s unclear whether the Bay’s leases allow for any uses other than a Bay-like department store and Liu’s materials say she will take on the leases on an “as is, where is” basis.
“Ms. Liu is not asking for lease-related concessions and will comply with lease terms,” her lawyer said in the letter.
The document traces Liu’s path from a high school student working in Harbin, China to an entrepreneur who opened and managed six restaurants in Shenzhen. By the time she had two kids, she had made the leap into real estate, where she co-developed a mall.
In February 2019, it says the shopping centre was sold for $1.25 billion and she moved to B.C., where she bought and runs Woodgrove Centre in Nanaimo, Mayfair Shopping Centre in Victoria and Tsawwassen Mills in Delta. On Monday, a court allowed her to purchase the three leases the Bay had in those properties for a total of $6 million.
The letter Liu sent to other landlords shows she has budgeted $84 million to revamp properties covered by Bay leases she wants to obtain. In the Bay’s final years, its stores gained a reputation for having broken escalators and malfunctioning air conditioning and sound systems.
Another $96 million will be spent to ramp up inventory over the course of eight months. The document says Liu has met with more than 50 former Bay suppliers who are willing to sell or consign product to her. It does not name any of the suppliers.
“Based on our ongoing discussions, we foresee no issues with product availability,” Qin said.
Yet Cadillac Fairview, one of the Bay’s landlords, said it has not received any “evidence of retail management expertise, established supplier relationships, logistical/ecomm capabilities, or robust and realistic financial projections — elements that are foundational for even a single retail store, let alone 28 stores of this size.”
“Our sole meeting was brief, as she was unprepared to discuss her plans or present a business plan,” CEO Sal Iacono said in a statement.
Despite multiple requests, Liu has “not provided a meaningful business plan or other requisite information to support her intentions,” he said. “That is something that any prospective tenant would do.”
The information Liu provided in the package shows she expects to lose $32.5 million for the balance of 2025, if she is able to obtain leases and open as planned. By 2026, she foresees a $31 million profit, followed by $35.5 million in earnings in 2027. Sales over those three years will reach $867 million, the plan says.
To help her reach these forecasts, she expects to hire key execs and managers within 30 days of getting leases. Within 90 days, she says she will have hired thousands of staff and ordered inventory she forecasts will arrive by the 150-day mark.
“I really want her to succeed, but I just have too many questions,” said Elisha Ballantyne, a Toronto-based retail consultant.
Ballantyne was part of the team that brought Target to Canada in 2013. Target’s unsuccessful foray north of the border came after the U.S. retailer bought the leases of hundreds of Zellers outlets in 2011, when that banner began winding down.
She recalls that Target, which eventually left the country in 2015, spent $10 million per property on renovations. Even with an experienced team and an existing supplier network to tap into, the supply chain was a challenge, as was hiring.
The company started to bring on staff 15 months before opening.
“That was far too rushed and ran into so many problems, so how is she going to do this in six months?” Ballantyne questioned.
Liu’s letter says she has already reviewed more than 500 resumes from current and former Bay employees. At least 10 store-level managers, who have more than a decade of experience at the Bay, have committed to helping.
The letter says Wayne Drummond, a former Bay president, has also been “assisting with everything from securing suppliers and inventory to reviewing product mix.”
Liu predicts she will need between 2,500 and 3,000 employees to open.
While Cadillac Fairview said it supports her goal of creating retail jobs in Canada, they feel that ambition “would be much better served if CF and the other professional landlords could proceed with securing established retailers with proven track records to occupy these former HBC boxes.”
“This approach would provide real retail careers in firms that offer stable employment with proper training, benefits, and career progression in a professional retail environment,” Iacono said.
This report by The Canadian Press was first published June 25, 2025.
