The Changing Spatial Structure of Retailing in the GTA

The rate and scale of retail change of power centres within the GTA is shown in Figure 4. The growth in the number of suburban power centres between 1996 and 2006 was driven by rapid growth in new suburban residential subdivisions. These locations provide the necessary mix of relatively low-cost land and large parcels of land available for development.⁵

The rapid evolution of power retail is illustrated by the Highway 400 and Highway 7 power node (Figure 5). This node grew from less than 250,000 sq. ft. of retail space in 1996 to more than 2 million sq. ft. in 2005, expanding from a single power centre to four. The scale of change is the equivalent of adding two super-regional shopping malls at the intersection. What makes this growth even more astounding is the opening in November 2004 of the Vaughan Mills Shopping Centre within a few kilometres of the same intersection, adding an additional 1.2 million square feet (with additional development potential in nearby parcels). By 2006, there was over 5 million sq. ft. of retail within a five-kilometre radius of the intersection of Highways 400 and 7.

The change in retail space within the GTA between 1996 and 2006 is shown in Table 3. Of particular note is the change in the number and square footage of power centres, which increased from 24 in 1996 to 79 in 2006, representing the addition of over 19 million sq. ft. of retail space. In 1996, power centres accounted for 4.4 percent of all retail space in the GTA; by 2006 this proportion had increased to 16.5 percent.

In contrast, there was little change in the major regional and super-regional centres, except for the addition of Vaughan Mills, and the renovation of several other centres. Most shopping centre growth was in the form of new suburban community and neighbourhood centre developments in the suburbs, also reflected in the growth of additional suburban retail strips. The number and size of freestanding stores also increased, largely because of the development of major grocery, pharmacy, warehouse, and discount department stores.

The final column in Table 3 indicates how the share of total retail sq. ft. for each format changed between 1996 and 2006. While shopping centres retain the largest overall share, power centre square footage has increased dramatically, and the share of most other formats has declined.

Tables 4 and 5 show total retail square footage and power retail square footage by municipality across the GTA between 1996 and 2006. In terms of absolute growth, the largest increases occurred in Toronto (10.6 million sq. ft.), Brampton

Tables 4 and 5 show total retail square footage and power retail square footage by municipality across the GTA between 1996 and 2006. In terms of absolute growth, the largest increases occurred in Toronto (10.6 million sq. ft.), Brampton (4.8 million sq. ft.), Vaughan (4.4 million sq. ft.) and Mississauga (4.3 million sq. ft.). Toronto accounted for one-fifth of all power retail square footage in the GTA in 2006, concentrated mainly within the suburbs (and 45 percent of the GTA's total population). However, Toronto's contribution to total retail square footage in the GTA decreased from 52 percent in 1996 to 46 percent in 2006 (Table 4). Table 6 shows the percentage change and per-capita amount of retail space, indicating strong suburban growth.

Figure 4: Retail locations in the GTA: 1996 and 2001

5. The speed of change is also related to the fact that big-box stores are simple structures that can be built relatively quickly. In some cases, these large, warehouse-like structures are considered "interim" land uses, since they can also be demolished easily to make way for more permanent buildings or more intensive land uses.

6. A lifestyle centre is structurally and functionally different from a power centre. Lifestyle centres usually serve an upscale market, contain a mix of activities, and are designed to replicate some of the pedestrian facilities found in traditional downtowns -- that is, they tend to look like main streets or villages rather than malls or big-box centres.