Leyad's Strategic Retail Acquisitions and the Future of Retail Real Estate in Canada

The Canadian retail real estate landscape is undergoing a profound transformation, driven by shifting consumer priorities and macroeconomic pressures. Amid this volatility, Leyad has emerged as a strategic acquirer of undervalued assets, leveraging demographic growth, infrastructure investment, and evolving retail formats to position itself at the forefront of the sector. By aligning its acquisitions with the realities of 2025’s consumer climate—where affordability and necessity-based spending dominate—Leyad is not only capitalizing on short-term opportunities but also building a resilient portfolio for long-term value creation.

Shifting Consumer Dynamics and Retail Real Estate Challenges

Canadian consumers in 2025 are navigating a delicate balance between economic pragmatism and aspirational spending. PwC Canada’s Voice of the Consumer report reveals that 76% of Canadians are deeply concerned about food costs, with 62% opting for cheaper imported goods despite a stated preference for local products [1]. This tension between national pride and affordability underscores a broader trend: consumers are increasingly prioritizing price over brand loyalty, particularly in essential categories like groceries and household goods.

Simultaneously, the retail real estate sector is adapting to declining foot traffic in traditional malls. RE/MAX Canada’s 2025 Commercial Real Estate Report highlights a sector-wide pivot toward mixed-use developments, which integrate retail with residential and service-based offerings to create vibrant, walkable communities [4]. For example, the redevelopment of Eastgate Square in Hamilton and the experiential upgrades at CF Chinook Centre in Calgary reflect a shift toward purpose-built retail environments that cater to convenience and curated experiences [4].

Leyad’s Strategic Acquisitions: Aligning with Market Realities

Leyad’s recent acquisitions demonstrate a keen understanding of these dynamics. From 2023 to 2025, the firm has aggressively expanded its retail portfolio, targeting undervalued assets in high-growth markets. In 2024 alone, Leyad executed a $126 million acquisition spree, securing properties such as Cornerstone Prince Albert in Saskatchewan and Garden City Square in Winnipeg [1]. These locations are strategically positioned in markets experiencing demographic growth and infrastructure investment, with strong tenant anchors like Sobeys and Rona providing stability [1].

The firm’s foray into mixed-use development further illustrates its forward-thinking approach. The $140 million acquisition of Pen Centre in St. Catharines, for instance, emphasizes potential for residential and commercial integration, aligning with RE/MAX’s forecast of demand for multifunctional spaces [3]. Similarly, Leyad’s purchases of St. Albert Centre, Londonderry Mall, and Reed Crossing in Alberta reflect a focus on necessity-based retail in suburban markets, where consumers are less susceptible to e-commerce disruption [2].

Leyad’s sustainability initiatives also enhance its competitive edge. By incorporating energy-efficient technologies and green certifications into its developments, the firm not only reduces operational costs but also appeals to a growing segment of environmentally conscious consumers [1]. This dual focus on financial and social value creation strengthens its partnerships with local communities and governments, ensuring alignment with regional priorities [1].

Future Outlook: Navigating Uncertainty with Foresight

While global trade uncertainties and domestic inflation continue to impact consumer behavior, Leyad’s strategy positions it to weather these challenges. The RBC Consumer Spending Tracker notes that while essentials spending remains volatile, categories like dining and entertainment have shown resilience [2]. Leyad’s diversified portfolio—spanning retail, industrial, and hospitality—allows it to hedge against sector-specific risks. For example, its acquisition of Hotel & Spa Lac Brome in Quebec marks a strategic entry into non-traditional real estate, tapping into the growing demand for experiential travel [1].

Moreover, Leyad’s expansion into Western Canada, including the opening of a new Edmonton office, underscores its commitment to capitalizing on Prairies’ demographic and economic growth [2]. This regional focus aligns with PwC Canada’s recommendation for retailers to prioritize operational efficiency and innovation, such as automation in distribution and streamlined supply chains [1].

Conclusion

Leyad’s aggressive acquisition strategy is a testament to its ability to identify and act on undervalued assets in a rapidly evolving market. By addressing the dual pressures of affordability and sustainability, the firm is not only securing immediate returns but also laying the groundwork for long-term resilience. As Canadian consumers continue to navigate economic uncertainties, Leyad’s emphasis on necessity-based retail, mixed-use development, and community partnerships positions it as a leader in the next phase of retail real estate evolution.

Source:
[1] Leyad's Aggressive Retail and Real Estate Expansion in Canada: Strategic Positioning in a Shifting Market, [https://www.ainvest.com/news/leyad-aggressive-retail-real-estate-expansion-canada-strategic-positioning-shifting-market-2507/]
[2] Henry Zavriyev Affirms Long-Term Commitment to the Prairies with Strategic Retail Investments and New Regional Office, [https://www.newswire.ca/news-releases/henry-zavriyev-affirms-long-term-commitment-to-the-prairies-with-strategic-retail-investments-and-new-regional-office-883006211.html]
[3] Leyad buys Niagara's Pen Centre mall for $140M, [https://renx.ca/leyad-buys-niagaras-pen-centre-mall-for-140m]
[4] Canadian retail market responding to consumer preferences, [https://retail-insider.com/retail-insider/2025/06/canadian-retail-market-responding-to-consumer-preferences-re-max-report/]