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IKEA to break ground on full-size Halifax store this summer

 21 January 2016      

BURLINGTON, Ontario (22 January 2016) - IKEA will burst on to the retail scene in Atlantic Canada for this first time ever, when its breaks ground for its latest full-size store in Halifax at some point this summer, part of its recently announced growth plan to double it Canadian store count over the next decade.

Located at Dartmouth Crossings, a local retail power centre, IKEA Canada said the store will take roughly 14 to 16 months to build once the ground has been broken. When finished, it will be approximately 328,000 square feet (30,500 square metres) in size. It will contain all of IKEA's best known in-store features including a restaurant, Market Hall, a full showroom, and a SMALAND playroom.

The Canadian branch of the global home furnishings giant also said it will offer customers a complete range of services such as product pick-up, home delivery, assembly, planning, returns and exchanges and online sales support.

"IKEA is thrilled to be bringing a store to the Halifax marketplace, we have for a long time, considered Halifax to be a key market for expansion," said Stefan Sjöstrand, president of IKEA Canada. "We look forward to serving the Halifax market and are confident that we will have a positive impact on the community as well as the economy through directly and in-directly creating nearly 500 jobs."

Related Story: IKEA Canada sets growth planRelated Story: IKEA Canada sales up 11.9% in FY2015

The Halifax location, he added, is intended to be the most sustainable IKEA store in Canada, with a particular focus on energy efficiency and waste avoidance. Key features of the building will include a rooftop solar photovoltaic installation to provide electricity to the store, geothermal energy generation system to support heating and cooling needs, as well as 100% LED lighting throughout the store.

Waste management equipment will also be installed to maximize material recycling and diversion from landfill, and a free take-back service will be offered for household batteries and light bulbs to ensure the hazardous materials contained are recycled responsibly.

"IKEA's vision is to create a better everyday life for the many people, and we are determined to have a positive impact on people and the planet," Sjöstrand said. "IKEA Halifax will be constructed and operated with sustainability in mind, and will also be a destination to find solutions for a more sustainable life at home."

Sjöstrand also said as part of its drive to become a strong leader in the local retail market, IKEA will conduct some 100 home visits in the Halifax area, interviewing people to get an understanding of their needs and frustrations in and around the home. "The new store will reflect the market with relevant, affordable home furnishing solutions and local architecture," he said, adding, "Our intention is not to mirror what people have in their homes today, but to help people live a better everyday life at home and show them new ideas to solve their needs."

The drive to double to full-size store count to 24 by 2025 doesn't include IKEA's program to build ten smaller format pick-up locations over the next few months. Two of these opened recently in London, Ontario and Quebec City and four more are under construction in the Ontario cities of Kitchener, St. Catharines, Windsor and Whitby - all of which are expected to open shortly.

For the fiscal year ending August 31, 2015, IKEA Canada has revenues of $1.79 billion, a gain of 10.4% over the prior year. It intends to double sales to $3.5 billion by 2025, in tandem with its parent company's stated goal of boosting worldwide revenues to €50 billion over the coming three years.

IKEA Canada, which will celebrate its 40th anniversary in this country during 2016, currently operates 12 full-size stores, an e-commerce virtual store, and two pick-up points. It hosted 25 million visitors to its stores last year as well as 75 million visitors to its web site at IKEA.ca.


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