Based on coverage from WSJ, Reuters, The Star, and BNN Bloomberg.
Loblaw is putting serious money on the table this year, announcing a $2.4 billion investment aimed at adding new stores, freshening up older ones, and expanding the behind-the-scenes supply chain that keeps shelves stocked. The company says the plan will also create about 9,700 retail and construction jobs across the country.
The move comes as many Canadians continue to hunt for lower prices at the checkout, a shift Loblaw itself points to after inflation-era sticker shock changed shopping habits.
Loblaw’s $2.4B Canada investment plan
Loblaw says the $2.4 billion will be spent in 2026 to expand and renovate its store network and to strengthen its supply chain. Reuters also frames it as an effort to “boost its store network and supply chain” while creating jobs tied to retail and construction.
This year’s planned investment is higher than the $2.2 billion Loblaw announced for the previous year, according to Reuters.
The company describes this as the second investment under a broader five-year plan to spend $10 billion by 2030.
70 new Loblaw stores planned through 2026
Loblaw says it plans to open 70 new stores across Canada through 2026, with a clear tilt toward its value and pharmacy businesses.
The breakdown provided by the company includes: - 34 Shoppers Drug Mart and Pharmaprix locations, described as pharmacies and care clinics - 31 “hard discount” grocery stores under No Frills and Maxi
That mix tracks with where Canadian shoppers have been heading: more discount trips and more private-label goods as household budgets stay under pressure.
Ontario and Quebec see biggest expansion
By province and region, Loblaw says the biggest store growth is set for Ontario and Quebec: - Ontario: 27 new stores - Quebec: 15 new stores - Western Canada: 24 new stores - Eastern Canada: 4 new stores
In its release, Loblaw also attaches job estimates to those regional plans, including more than 3,775 jobs in Ontario, more than 1,985 in Quebec, more than 3,400 in Western Canada, and more than 600 in Eastern Canada.
191 store renovations and Caledon distribution centre
New stores are only part of the plan. Loblaw says it will renovate 191 existing locations this year.
It’s also continuing work on a large automated distribution centre in Caledon, Ontario. Loblaw describes the facility as roughly 1.2 million square feet. Reuters similarly notes the company is progressing construction of its automated distribution centre in Caledon.
For shoppers, that kind of investment is meant to translate into smoother inventory flow and fewer gaps on shelves, especially as retailers try to run leaner operations without running out of key items.
What this means for Canadian shoppers and workers
Loblaw is leaning into two things Canadians talk about a lot right now: affordability and access, especially when it comes to discounted groceries and pharmacy services. The company says the expansion and construction work should create about 9,700 jobs tied to retail and construction.
Loblaw is also set to report its fourth-quarter results on Wednesday, which will give investors and consumers a clearer read on how the business is performing as Canadians keep tightening their grocery budgets.
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