Empire is accelerating its Canadian real estate expansion, targeting more than 25 new stores in fiscal 2027 in a program expected to grow its retail footprint by about 2%.

The parent company of Sobeys, FreshCo, Farm Boy and Longo’s had previously planned more than 20 openings. Management said during its first-quarter earnings call that its development pipeline is running ahead of the company’s original real estate plan.

Empire expects to spend roughly $850M in capital this fiscal year, with about half directed toward renovations and new-store expansion. The company spent $220M during the first quarter, including on renovations and new construction.

Discount stores remain a major focus. Empire opened its first two FreshCo locations in Atlantic Canada in August and expects another 13 FreshCo openings across Western Canada, Ontario and Atlantic Canada during fiscal 2027.

The expansion extends across several banners. Empire also added four Quebec stores through its acquisition of Mayrand Food Group and has new Farm Boy, Longo’s and IGA locations in its pipeline.

Management said recently opened stores are meeting or exceeding expectations, supporting a faster rollout as Empire fills gaps in its national store network.