Doors locked at The Bay in Coquitlam after rent default in latest blow for HBC

The Hudson's Bay Company store in Coquitlam, B.C.,closed its doors to customers on Sunday after its landlord said the company had defaulted on itsrent.

It's the latest blow to HBC, which has operatedin Canada since the late 17th century. The company has struggledto pay its bills in other parts of the country, as well.

Still, the closure of the store in the Coquitlam Centre Mall came as a surprise to many shoppers who arrivedto pull on locked doors.

"Pretty shocking ... TheBay has been around since what?" said Annette Borrows.

Retail analysts say the store closure is a sign of mounting revenue losses across the industry amid the pandemic.

"We've seen Hudson'sBay Company really trying to stay relevant, and it's tough," saidDavid Ian Graywith retail consultancyDIG360. "And they've been struggling with that pre-COVID."

In October, HBCannounced plans to close its flagship store in Winnipeg in February. The company hasoperated out of thesix-storey buildingat the corner of Portage and Memorial for nearly a century.

At the time, the company said changes in consumer behaviour, such as shopping online, was one reason for walking away from the landmark site.

Earlier this month, a judge in Ontario ordered HBCto pay half the rent owing at one of its stores aftera landlordattempted to evict the retailer. The store at Hillcrest Mall in Richmond Hill, Ont., owed seven months ofrent.

Gray says the pandemic has accelerated HBC'sfinancial troubles.

"What's happening is that retailers, in particular non-essentials, especially fashion, have just been decimated," he said.

"It's not Hudson'sBay Company, but all of them. We're not buying as much fashion, but also we're really restricted on closures, openings."

In Coquitlam, HBC's landlord, Pensionfund Realty Limited, posted a sign on the store that said it hadn't received payment for more than a month.

In a statement, HBC said it's looking for a fair solution with its landlords across North America.