Edmonton retail market report

01. Edmonton leads retail spend, driven by rising income and population growth

Consumer spending in the Edmonton region continues to rise on a nominal basis. The city leads Canada in per capita retail expenditures, driven in part by well-paying jobs in the energy sector. As interest rates continue to decline, spending is expected to accelerate. 
Edmonton remains among the top metro areas for disposable income and housing affordability, positioning it to outperform other major Canadian cities in retail sales growth while continuing to attract interprovincial migrants.
 

02. Childcare demand reshapes retail real estate landscape

The rollout of federal–provincial childcare funding has provided relief of up to $30,000 for childcare programs through federal grants; which has fueled quick absorption of the available commercial real estate suitable for conversion. Market dynamics have shifted: there is a growing prevalence of non-profit and preschool-only operators over traditional full-day, for-profit models—especially those requiring outdoor space. From a leasing standpoint, inquiries and leads from traditional childcare tenants have noticeably declined due to provincial grant caps.

 

03. Lease provisions face new legal risks in light of competition act reforms

Recent enforcement trends by the Competition Bureau have placed increased scrutiny on exclusivity clauses and restrictive covenants in retail leases. These provisions are now considered presumptively anti-competitive, particularly when they involve broad geographic scope, indefinite terms, or protections favoring dominant tenants—conditions that may substantially lessen competition in local markets. While grocery anchors have been the primary focus, these guidelines apply across all retail sectors, signaling a broader shift in regulatory oversight impacting property controls and leasing strategies.