A B.C. judge has halted billionaire Ruby Liu’s high-profile attempt to take over dozens of shuttered Hudson’s Bay stores across Canada, ruling that major mall landlords cannot be compelled to accept her as a tenant.
Liu, who made her fortune in China’s real estate sector, purchased the leases for 28 Hudson’s Bay locations for more than $69 million after the iconic retailer failed to secure a buyer for its struggling stores. Her plan was to transform the spaces into a chain of modern department stores — a bold attempt to revive large-scale retail in an era dominated by e-commerce.
However, Justice Peter Osborne ruled on Friday that mall landlords would not be forced to approve Liu’s takeover for the remaining 25 locations not already in properties she owns. The decision cited “significant concerns” about Liu’s financial capacity and her ability to meet the lease terms.
Opposition from major landlords — including Cadillac Fairview, Oxford Properties, and Ivanhoé Cambridge — played a key role in the ruling. They argued that Liu’s proposed timeline for launching the new stores was unrealistic and questioned her ability to fund the $400 million project, especially given that her existing mall ventures had accumulated $19 million in debt over the past two years.
Hudson’s Bay, once one of Canada’s most storied retail brands, filed for creditor protection in March before announcing the closure of all remaining stores following nationwide liquidation sales.
In a May press release, The Bay described Liu’s proposed venture as “a new modern department store concept in Canada” — a vision now on hold pending further legal or financial developments.
The court’s decision casts doubt on the future of Liu’s ambitious retail revival, marking another chapter in the decline of the country’s traditional department store era.