The Manitoba government is stepping up to challenge property agreements held by Sobeys, asserting that these arrangements are stifling competition within the grocery market. Announced on Thursday, the province is taking its case to the municipal board following the enactment of a law last year that prohibits the use of “restrictive covenants” in property sales, which can prevent new grocery stores from opening near existing ones.
Government’s Stand Against Property Controls
Mintu Sandhu, the minister responsible for public service delivery, voiced strong concerns over what he termed “predatory property controls.” He stated, “Each and every one of these predatory property controls is against public interest. Because when we let a company like Sobeys block competition, it makes it easier for them to raise prices.” The province is specifically targeting four Sobeys-owned properties, with hopes that a decision from the municipal board will be reached within six to eight weeks.
Premier Wab Kinew highlighted that, since the new legislation was introduced, all major grocery chains have relinquished their property controls—except
