The LCBO says, claims that it plans to sell 250 locations are not true.
"LCBO confirms earlier statements today by Minister Charles Sousa that it has no plans to reduce the size of its 654-store network through the sale of LCBO-owned locations. In fact, LCBO is investing in expanding both the size and scope of its retail network to further improve customer service," it says in a news release.
The Request for Proposal posted publicly by the LCBO is for “as needed” real estate brokerage services that will help it manage future transactions such as leases, rentals and property sales as part of its long-term business plans.
"Prior to this RFP being issued, LCBO acquired such services through individual requests for quotations. This RFP will help ensure that LCBO has a single brokerage service it can access as needed going forward and represents a continuation of its standard business practices. The LCBO currently owns 228 of its retail properties, and the remaining 426 of its store locations are leased. Since 2006, the LCBO has sold 31 of its retail locations, the vast majority of which have been replaced with newer and larger stores," continues the release.
The LCBO will be issuing an amendment to the RFP to ensure the extent of service is clearer.
Kelsey Ingram, Press Secretary to the Minister of Finance Charles Sousa told BayToday that, "Despite what MPP Fedeli has said there is no intention to sell 250 LCBO stores. It is common business practice for the LCBO to manage its real estate portfolio to adjust to the changing needs of its customers. For example, the LCBO may change a store’s location in order to expand or better serve their customer base. The RFP, posted publically by the LCBO, is for “as needed” real estate brokerage services that would handle all transactions, including leases and rentals on behalf of the LCBO for a five-year term.
Original story
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Ontario PC Finance Critic Vic Fedeli is demanding answers in the Legislature today after he exposed an LCBO document detailing plans to sell 250 store locations.
The document dated February 24 – one day before the Ontario budget was released -- outlines a Request for Proposals (RFP) issued by the LCBO seeking a real estate vendor to sell the store locations right across the province.
“Section 3.2.1 states ‘the LCBO’s main intention is to sell properties’ and 3.2.3 says the LCBO will consider leasing out properties that are deemed unsaleable or if they can generate high revenue from a tenant,” Fedeli said in Question Period.
(See the northeast Ontario part of the list in our photo gallery.)
“Speaker, can the Minister tell us just how much money he expects the sale to bring in for the province, what will happen to these LCBO locations, and how many jobs will be cut or otherwise affected as a result of the sale?”
Fedeli added in a news release, that after failing to receive a direct answer to the question, he noted that it’s curious that this RFP went out before the budget was released, yet none of the details on locations or jobs affected or financial impacts of this plan were included in the budget.
“Is this more Liberal furniture-burning to heat the home? Is this another part of the Liberal plan to balance their budget? I ask the Minister - why were you keeping details of this sale of LCBO stores secret from the people of Ontario?” Fedeli asked.
