Lowe’s takes over 13 Target leases in Canada

At 13 big-box locations in Canada, Lowe’s is picking up where Target left off.

Lowe's Canada plans to acquire the leases of 13 former Target Canada locations and to purchase Target's Milton, Ontario distribution center for a total purchase price of approximately C$151 million (US$125 million).

The deal came as part of a real estate auction following Target's decision to cease operations in Canada.

“Since opening stores in Canada in 2007, we have developed a successful model for providing the Canadian customer with outstanding service and quality products for the home," said Sylvain Prud'homme, president of Lowe's Canada. "These additional locations will accelerate our expansion across the country, enhancing our presence in Western Canada and strengthening our base in Ontario. We are excited to bring Lowe's to more customers in more communities in Canada, further demonstrating our commitment to this important market."

 Mooresville, North Carolina-based Lowe’s operates 38 stores in Ontario, Alberta, Saskatchewan and British Columbia with more than 6,000 employees.

The store sites are located across Canada, many in markets where Lowe's is underpenetrated. The distribution centre in Milton, Ontario is strategically located to serve Lowe's current and future stores, according to the number-two U.S. home improvement chain.

The proposed acquisitions are subject to court approval in Target Canada's proceedings under the Companies' Creditors Arrangement Act and certain other customary conditions. Completion of the court run process is expected by June 30, 2015.