SASKATOON – Construction of a massive wholesale mall in Dundurn will begin in late fall, and the mega-facility will be open for business 18 to 24 months later, according to the CEO of the company behind the project.
Many in the Saskatoon area have expressed skepticism that such an ambitious project – which would be among the largest malls in the world – could actually happen, but Brightenview Development CEO Joe Zhou says there is no reason to doubt his company.
“We are committed to moving this project ahead,” Zhou said in an interview on Tuesday. “Take a little bit of time and watch, and see how it works out.”
“We are here for good,” Zhou added. “It’s based on a solid business plan.”
The company plans to start construction with the 300,000-sq.-ft. Dundurn International Exhibition Centre, which is expected to contain 350 shops, followed by another two buildings covering 300,000 and 400,000 sq.-ft.
The 350 showrooms will go up for sale “like condos,” Zhou said, to owners of small-to medium-sized factories in China and other Asian countries. Once they buy in, Brightenview will help them build their businesses with marketing, accounting, web and translation services, he said.
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Brightenview also has plans for marketing its space to corporate buyers from across North America, Zhou said.
All shops in the first phase will sell products related to construction and home improvement, in part because so much construction is planned for the regional economy, he said, predicting local construction firms will flock to Dundurn for deals on bulk items like lighting and bathroom fixtures from Chinese factories.
“It will be the first direct-buy option,” Zhou said. “We will have all the up-to-date, trendy products.”
Zhou would not name the investors behind the project’s $130 million initial phase, but said they are all Canadian citizens, some of whom immigrated from China.
“Our owners are Canadians,” he said. “We’re not talking about foreign investors who said, ‘Go do this.'”
Zhou said at least two jobs for locals will be created for each of the 350 shops, in addition to the foreign entrepreneurs themselves, who will move to Canada to establish companies. Dundurn was selected because of its road and rail links, the province’s favourable tax regime, and the long-term economic prospects of the region, Zhou said.
Another major factor that pushed Brightenview to choose Dundurn is the Saskatchewan Immigrant Nominee Program (SINP), which makes it relatively fast and easy for foreign entrepreneurs to immigrate to the province, he said.
To qualify, applicants must have a business plan, a net worth of at least $300,000, and a “good faith” deposit of $75,000.
Zhao said hundreds of Chinese and Asian business people and their families will move to the Dundurn area in the coming years. As a gesture to the citizens of Dundurn, he said Brightenview will help pay for the construction of a $7.5 million community centre in the town, including a new hockey rink, a library and other facilities.
Zhou said he understands why people may have trouble believing the Dundurn mega-project will actually happen, given its ambition.
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