Thunder Bay is about to raise its first generation of Toys "R" Us kids.
A Toronto-based developer on Thursday confirmed the international toy retailer has inked a deal to come to the city, with construction of a new 36,000-square foot store expected to get underway next week on the last parcel of available land at the Thunder Centre.
Jennum Properties Inc. spokesman Toby Singlehurst said the building will be the first phase in a much larger project.
"We purchased this property to build a retail development with mixed tenants, all in the large-format category," Singlehurst said, reached by phone on Thursday. "Typically the sizes will be larger than 20,000 square feet for space. Our first tenant, which is signed, is Toys "R" Us Canada Ltd.
"They've given us the go-ahead to build a 35,000 to 36,000 square foot retail building and we're intending to build that and get it open before Christmas this year."
Ultimately, company officials hope to expand the property to have 110,000 square feet of retail space. Singlehurst said they expect the price tag for the entire project to come in at about $20 million.
"We'll be using as many local trades as we can to do the work. So I hope that most of that investment is taking place right in the market," said Singlehurst, who couldn't provide the number of jobs that either the initial construction or the retail outlet would provide.
Mayor Keith Hobbs, a self-described fan of big-box stores, said he's glad to see a company like Toys "R" Us arrive in the city, to help stop millons of dollars draining from the local economy.
"I've harped on this infinitum that we need to stop this out-shopping. Why do people go to Duluth? Theyr'e going to Duluth because there's a Costco, a Sam's Club, a Toys "R" Us, those big stores they like to shop at," Hobbs said. "Why doesn't Thunder Bay have those stores so we can stop that out-shopping? People will maybe shop here if they have the choice. And competition is good too."
Singlehurst said the secondary phases of the development will be on hold until agreements with other tenants can be confirmed. He did not elaborate on who they might be.
"Toys "R" Us will be contructed by itself, initially, and then as we lease out the additional phases of the development we'll build them up for those tenants. We'd like to do it just in two phases, but we'll see. It depends on how quickly we can lease them."
Toys "R" Us operates nearly 70 stores in Canada, according to the company's website, and 868 outlets in the United States. The latter number also includes Babies "R" Us stores.
