Loblaw Cos. Ltd. said it plans to open 70 new stores across the country this year, including dozens of pharmacies and discount-format locations.

The Brampton, Ontario-based retailer said the $2.4 billion investment, part of its broader plan to spend $10 billion by 2030 to expand and remodel stores and build distribution centres, will create an estimated 9,700 retail and construction jobs across Canada this year.

Loblaw Cos.’ brands include President’s Choice, No Name, Loblaws, Shoppers Drug Mart, T&T, No Frills and Real Canadian Superstore.

The company’s expansion plans include 31 new No Frills and Maxi hard-discount grocery stores and 34 new drugstores under the Shoppers Drug Mart and Pharmaprix banners. Loblaw also said it plans to renovate 191 stores and to continue building its 1.2 million-square-foot automated distribution centre in Caledon, Ontario.

The growth of the chain’s discount and pharmacy store footprint comes “at a time when Canadians are struggling with affordability and access to healthcare services,” the firm said in a statement.

Grocery prices are up more than 30% in the country since late 2019, led by a 55% jump in coffee and tea and a nearly 50% increase in meat, according to a research report by TD Cowen.

The Loblaw expansion could provide a boost for Canada’s retail property market, which has remained resilient despite such factors that have cut into consumer spending such as high interest rates and a sluggish job market.

Canada’s retail vacancy rate is 2.5%, up from 1.8% a year ago, with vacancies especially tight in suburban neighbourhood shopping centres anchored by grocery and drugstores, according to a CoStar analytics report.

Ontario is slated to see the largest chunk of the Loblaw investment, with 27 new stores and 3,775 retail and warehouse jobs, followed by Western Canada with 24 stores and 3,400 jobs.

Quebec is targeted for 15 stores and 1,985 jobs, with four stores and more than 600 jobs going to Eastern Canada, the company said.

Loblaw, Canada’s largest retailer with 2,500 stores and largest private-sector employer with 220,000 workers, did not respond to a request for the precise locations of the planned stores and renovations or other details about its expansion.

Source CoStar. Click here for the full story.