Loblaw still not saying how much it paid for GTH property in 2007
Loblaw confirmed in a statement Wednesday that it “purchased” land at the Global Transportation Hub (GTH) when it moved its distribution centre there.
“In 2007, Loblaws purchased the GTH property in order to build a one-million-square-foot distribution centre. We have since invested more than $200 million into the site, creating more than 600 jobs in the area and growing our already significant presence in Saskatchewan,” read a statement from the company.
A followup question asking specifically how much the land was purchased for was not immediately answered.
At a 2011 sod-turning event at the GTH for Loblaw ’s new facility, then-premier Brad Wall said the anchor tenant having a presence at the inland hub was “a gamechanger for us.” He called it “one of the most important economic development projects for, I think, generations.”
But it has always been unclear as to how much — if anything — the company paid for its land at the GTH.
The minister responsible, Don Morgan, has repeatedly cited a confidentiality agreement as to why the province could not disclose what, or even if, Loblaw paid for the land.
NDP MLA and GTH critic Cathy Sproule says Loblaw could have paid a “nominal” amount for the land, and the province should still “clear the air” over the purchase.
“The Sask. Party often says they don’t pick winners and losers, so if (Loblaw) did get a spectacular deal on the land, then that’s to their advantage over other companies. Hiding behind a non-disclosure agreement, as the minister has, furthers that sense of picking winners and losers,” she said, noting the province has disclosed how much other companies have paid for land at the GTH.
“This almost raises more questions than answers, because now the question really is, how much did they pay? Was it fair market value?”
On Wednesday, following weeks of questions about the deal, Morgan confirmed he had spoken to Loblaw.
He also encouraged reporters to ask Loblaw about it, telling them, “those are questions you can and should put to Loblaws, and they may well have an answer for you.”