Marketing agency Mitchells to sell off movie, video game and book business in Canada
Mitchells Fish Market and Movie Studio will close its doors in 2019.
The company said it is closing all its stores and is not planning to invest in new retail locations.
The retail operations will be phased out in 2019, the company said in a statement to CBC News.
“We are not making any additional investments in our business and we have decided to phase out all of our retail stores and our movie and video game retail operations,” the statement said.
The news comes as Mitchells is battling with rising rents and the impending retirement of its longtime owner, Michael Burt, who passed away in August.
The closure comes as a result of the city’s rental crisis and a lack of inventory, said Mike Muellbauer, the general manager of Mitchells.
“The city’s market has been collapsing for a number of years and Mitchells has been struggling to get the supply up,” he said.
“Our inventory is limited.
We’ve seen some retailers closing and the market is not really in a good place.”
The Mitchells restaurant, bar and video arcade will remain open.
The restaurant is one of several Mitchells stores that will close, Mueller said.
There are more than 300 locations across the country, Muesller said, and the company will keep adding new locations to its existing locations.
“Mitchells has built its brand and has been a major player in the entertainment industry,” he added.
“With this move, we’re moving our business to a different area and we’re not putting as much of our focus on the retail business.”
Mitchelles said it has already been working with landlords to reduce rents and that the company is exploring options to expand.
“This is a very challenging time for the company, and we are committed to continuing to help our clients move forward and be successful,” the company’s statement said, adding that it will offer its employees a severance package.
Mitchell is the third entertainment and film company to announce its closure.
The National Film Board and Canadian Broadcasting Corporation announced in January they would close the Canadian Broadcasting Company and the Canadian Film Institute.