Primaris REIT is moving ahead with a $19-million redevelopment of the former Hudson’s Bay store at Galeries de la Capitale in Quebec City, part of a plan announced Thursday to convert the vacant anchor space into a new multi-tenant retail and restaurant wing.

The project will bring several new tenants to the former department store, including Quebec-based retailer Imaginaire, which will open a 30,500-square-foot flagship on the first floor. The location will be the retailer’s largest store and is expected to open in spring 2027.

Restaurant-bar ZIBO! has also committed to approximately 5,500 square feet as part of the redevelopment.

The second floor of the former Hudson’s Bay will be divided into spaces for multiple retailers and restaurants. Plans also call for a new exterior entrance and washrooms, with spaces expected to be delivered through 2027.

The 163,000-square-foot Hudson’s Bay store closed in June 2025. Primaris then regained control of the space and has been working to re-lease and reposition the former anchor.

The project is part of a broader effort by Primaris to repurpose former Hudson’s Bay locations across its Canadian shopping-centre portfolio. As Connect CRE previously reported, the REIT said in June that 84% of its former HBC space, representing approximately 881,400 square feet, had either been leased or was deep in negotiations.

The strategy could significantly increase the value of the former HBC space for Primaris. Across its portfolio, long-term leases covering approximately 608,500 square feet are expected to generate $14.9 million in annualized rent once tenants are open and operating, about four times the $3.7 million previously generated by HBC.

The Galeries de la Capitale investment is the largest at the shopping centre since Primaris acquired the property in October 2024.

Primaris is also examining longer-term opportunities to add rental housing to the property, although no residential development has been formally announced.

Other upcoming openings at Galeries de la Capitale include a 50,000-square-foot Les Ailes de la Mode store and a 3,750-square-foot Lululemon.

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