Fossil Inc. Reports Record 3rd Quarter Results

November 10, 2011

Fossil Inc. reported earnings for the 13 week (3rd quarter) and 39 week (Nine month period) periods ended October 1/11, and the results were fantastic, and exceeded Wall Street's expectations/forecasts. Here's a snapshot of the results:

Third Quarter Results (2011 vs 2010)

- Net sales increased 22.7% to $642.9 million compared to $523.8 million
- Gross Profit rose 20.3% to $359.5 million compared to $298.7 million
- Operating income increased 6.8% to $118.8 million compared to $113.3 million
- Global retail comp sales increased by 14.1% (8th consecutive quarter of double digit same store sales)

Nine Month Period Results (2011 vs 2010)

- Net sales increased 30.6% to $1.74 billion compared to $1.33 million
- Gross Profit rose 28.9% to $973.3 million compared to $755 million
- Operating income increased 31.2% to $297.6 million compared to $226.9 million

Congratulations to Fossil. Keep up the great work.

I am also pleased to report that Fossil Inc recently announced a strategic partnership with Karl Lagerfeld to design, develop, and distribute a line of men's and women's timepieces under the Karl Lagerfeld lable. Karl Lagerfeld is an icon for creativity and a beacon for the spirit of fashion globally. The exciting collaboration will leverage Fossil's design and distribution expertise with the essence of creativity and style that is synonymous with the Karl Lagerfeld brand. The first timepiece collection is scheduled to be launched in spring 2013 under the name of Karl Lagerfeld.

In other Fossil news, the company recently opened at Fairview Park in Kitchener, Ontario, and continue to look at Canada, for growth opportunities. Super-regional malls and high pedestrian street-front locations will be considered. Size required is 1500 sq.ft.

Fossil products are sold in 123 countries. The company operates 360 company owned stores.

For more information, please visit Fossil's website at

Canadian Retail Scene Continues to Sizzle

November 07, 2011

I am usually sending out blogs on our clients and their successes. This blog will be a little different.

I am fascinated by the continuing invasion of US and international retailers to Canada. The volume of retailers seeking space in Canada is staggering, and demand in the top properties, far outweighs the supply of available space. This is quite a contrast when compared with the retail landscape in the US and Europe, where demand is not great, and the supply if not plentiful, more than meets the level of demand. It's not surprising that US and European brands are flocking to Canada; sales are typically 25% higher and top-line profits more than exceed forecasts and projections. With this in mind, the love affair with Canada seems to be at its peak. Here's a short list of international brands that have recently or will soon open their 1st Canadian locations:  Microsoft, J Crew, Ted Baker, Bare Escentuals, Tory Burch, Free People, Kate Spade, Pinkberry, Pull-in, Express, Johnson & Murphy, Justice, Target...etc. While I can probably easily add another 20 retail brands to this list, I think you get the picture.

Pursuant to the above, I have attached the following articles for your review:

1. Competition fierce for retailers to get into high end malls (Montreal Gazette - October 29, 2011)
2. Higher mall rents come with higher sales ( - Sept 1, 2011)
3. Chinook Centre sales measure up to best (Calgary Herald - Oct 21, 2011)
4. US retail interest hikes rental rates on Ste.Catherine (Montreal Gazette)
5. Coach becomes latest retailer to enter Winnipeg market (Winnipeg Free Press - August 8, 2011)

For those of you considering entering Canada, these articles will provide a wealth of useful information.

Think Retail has developed and successfully implemented Canadian market entry strategies for many of today's top super-brands. We secure AAA retail locations annually, in all Canadian market from Vancouver to Newfoundland. Yorkdale, West Edmonton Mall, Toronto Eaton Centre, Robson Street, Rideau Centre, Carrefour Laval to Vaughan Mills - our clients have locations at the 50 yard line of these top retail centres\streets. If your company is looking to open in Canada, we'd like to share our experience and resources with you. We're offer valued added programs, initiatives and solutions to ensure the success of your Canadian real estate program.

I will be attending the ICSC conference in New York on December 5-6 and would be pleased to meet with you and exchange ideas and insight to the Canadian retail climate. Please contact me to schedule a meeting.

Hot Fudge Hat Trick - 3 New Stores to Open

October 31, 2011

Branded fashion accessories specialist, Hot Fudge has confirmed 3 new store openings for the province of Quebec.

In March 2012, Hot Fudge will open at Place du Royaume, in Chicoutimi. The store will be 1000 sq.ft and is strategically situated at the mall's 50 yard line, next to Bentley and facing Garage and Jacob. Place du Royaume is owned by Primaris, and is the top performing centre in Quebec's Saguenay region (350,000 people). The centre is approximately 600,000 sq.ft with 180 stores. Thanks to Nat Weinstein for his help and efforts in completing this transaction. Nat keeps the process simple and is always a pleasure to work with.

In May, Hot Fudge opens in Montreal's south shore at Promenades Saint-Bruno. The 1500 sq.ft store will be on the upper level adjacent Geox, Le Chateau, and Jack & Jones. Promenades St.Bruno (owned by Cadillac Fairview) is 1 million square feet, with approximately 200 stores. The centre is anchored by Simons, The Bay, Sears, and Zellers (soon to be Target). In terms of performance, Promenades Saint-Bruno is the #5 shopping centre in Quebec, with sales of approximately $534 psf. Thanks to CF's Dave Azran, with whom this deal was negotiated and concluded. Dave is very passionate and I find his enthusiasm refreshing and contagious. Keep up the good work Dave.

Finally, in July, Hot Fudge will opens its first store in Montreal, at the Montreal Eaton Centre. The premises will be 1165 sq.ft (35 ft frontage) is ideally positioned at the heart of the metro level, adjacent Sirens and Stitches, facing Body Shop and Laura Secord. Montreal Eaton Centre is located in downtown Montreal,  and boasts approx 26 million annual visitors - #1 in Quebec. Furthermore, with sales of $675 psf, Eaton Centre is the #2 performing mall in the province of Quebec. This deal would not have been completed without the efforts of Eric Fortier, Leasing Director for Ivanhoe Cambridge. Eric is very talented and looks to be a star on the rise at Ivanhoe. He certainly has the right stuff.

In addition to the above, Hot Fudge would like to open one more store in Quebec, in 2012. Markets of interest include: Laval, Anjou, and Quebec City. Size required is 1350-1500 sq.ft.

At the moment, Hot Fudge operates two stores - Place Laurier and Les Rivieres. To date, these locations are performing exceptionally well and have strongly resonated with it brand-starved, core demographic (15-25).  
For more information on Hot Fudge, please visit their Facebook page at

On a personal note, I'd like to congratulate Hot Fudge owner, Joey Labrecque and his wife Genevieve, on the birth of their new daughter, Mandy (their 4th girl).

Pull-in Set to Revolutionize Canadian Retail Scene

October 25, 2011

We are pleased to announce that French underwear and swimwear specialist, Pull-in, have now confirmed their plans to open retail stores in Canada. Pull-in is a 20 store retail chain based in Hossegor, France, who design and wholesale, their own brand of upscale underwear, bathing suits, and lounge wear for men, women, and children. The company was founded in 2000, by uber-talented french designer and entrepreneur, Emmanuel Loheac.

Pull-in products and designs are influenced by the latest trends and yet high tech in their use of top quality fabrics. Further, Pull-in designs have revolutionized the conservative world of lingerie, with their uniquely fresh and creative, colourful prints. Pull-in has a list of celebrity ambassadors and athletes, including: Mickey Rourke, Dion Phaneuf, Snoop Dog, Jennifer Love Hewitt, Paris Hilton...etc .

Pull-in will open their first two Canadian store locations, in 2012, and are focused on the province of Quebec. Super regional malls and high pedestrian street-front locations (such as St.Denis) will be considered. Size required 600-1200 sq.ft. The company expects to open in Toronto in 2013. Currently Pull-in operates stores in France, Belgium, and the US.

For more info, please visit Pull-in's website at

On the Move - Lole Lights Up Bayview Village

October 17, 2011

We are pleased to announce that Lole has opened at Bayview Village in Toronto. The new store marks Lole's first in an enclosed mall format. The premises are 1350 sq.ft and incorporate all of the great features introduced by this unique retailer: Living Wall, iPad\Social Wall, Community Table, Lole Pantry...etc. The store looks fantastic and is off to a great start.

There are now four Lole stores operating in Canada (2 in Europe). For 2012, Lole will continue to expand. A total of four (4) new locations are scheduled. Further, the company is seeking to open its first location(s) in Alberta as well as, continuing to pursue opportunities in Ontario. Size required is 1250-1750 sq.ft. Both super regional malls and high pedestrian street-front locations will be considered.

Lole stores specialize in the sale of technical, versatile and feminine fashion apparel for urban woman. Further, all stores offer free exercise meet-ups twice weekly at the local park. Tea and fruits are served daily at each store location. Whether it's time to shop, listen to lectures given by yoga\pilates specialists, nutrition experts, or participate in the Lole and Friends Program, there is always something exciting happening at Lole.

Lole is owned by Quebec based, Coalision Inc. (owners of Orage and Paradox), whose combined sales are approximately $100M. Coalision itself, is majority owned by Kilmer Capital (whose CEO is Larry Tanenbaum of Maple Leaf Sports & Entertainment).

Bayview Village Shopping Centre is an upscale shopping mall in the North York area of Toronto, catering to affluent customers.  The centre has a total GLA of approximately 422,000 sq.ft, and 110 stores, including Pusateris, Restoration Hardware, Browns, Banana Republic, Steilmann, Mendecino, Geox...etc. Average sales psf are a very impressive $700 psf.

I'd like to thank Donna Percival at Orlando Corporation for all of her help in completing the transaction . Donna is both very talented and passionate and is doing a great job bringing top upscale fashion brands to this unique centre.

For more information on Lole, please visit their website at Also, please download the LolePop App at the iTunes store.

Watch Station Announce Plans to Open in Canada and Website Launch

October 13, 2011

We’re excited to announce the launch of

Watch Station is the expert curator of the world’s most coveted watch brands. The site aims to create an appealing and dynamic shopping experience by delivering only the very best in style and design.
Take a few minutes to explore the new site:

For the launch, the Watch Station team have brought together an incredible collection of timepieces from their most-loved brands—Fossil, Emporio Armani, Michael Kors, Diesel, Marc by Marc Jacobs, DKNY, Adidas and Michele to name just a few.
While you’re there, don’t miss The Journal, an editorial take on the watch world, as well as The Editor, a smart search function designed to match you with the perfect timepiece.
I am further pleased to share with you that Watch Station will open store locations in Canada, in 2012. Markets of interest include Toronto, Montreal, and Vancouver. Size required is 1000 sq.ft. Super regional malls, outlet centres and high pedestrian street-front locations will be considered. Desired co-tenants include: Coach, Lululemon, Aritzia, Apple, Armani Exchange, Browns, Michael Kors, Sephora...etc.

In other Watch Station news, Watch Station Outlet opens next month at Las Vegas Premium Outlets.

For more information and to discuss opportunities for Watch Station, please contact me.