HDS Retail makes big contract gains in Toronto and Ottawa

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HDS Retail North America, part of the French Hachette group, has been awarded two separate concessions to operate 32 news and gifts stores and five bookstores at Toronto's Lester Pearson International airport

The stores are part of the airport's expansion plan over the next few years, with phase one of the new international terminal due to open in October 2003. The contracts are for seven years with a three year option. HDS has also been selected as the retail master developer for Ottawa International airport's new terminal opening in October 2003. The combined contracts are worth an estimated $30m in annual sales.

The Toronto stores will showcase new concepts featuring a strong Toronto theme. HDS has partnered with several sub-tenants and local media companies like City Pulse TV, CITYTV, The Toronto Star and Toronto Life magazine to bring a strong local flavour to the airport. The company will also open a Virgin music concept at the new terminal. President of HDS Retail North America Scott McMaster told TRW: "We will be introducing the Café Press and our own Virgin travel-retail brand in both airports. In Toronto the average store size is more than double that previously. The airport will have an airside street scene scenario and 85% of the space is airside."

In Ottawa the new contract is the first for the Hachette Distribution Services group in the retail master developer role. Here HDS will operate Virgin Music and the first Relay Books in North America. The remaining stores will be operated by local subtenants. The contract includes a total of 12 locations covering 9,000sq ft (836sq m).

• For a full report on the Toronto airport development see the Canada report in the November 1 issue of Duty-Free News International.