The latest development is that Sunterra’s Red Deer Bower Place market closed on September 26, 2026, leaving the company with five Calgary markets and one Edmonton market while the broader Sunterra group remains in court-supervised restructuring and a sale/investment process.[1][2]
Current situation
- Sunterra has been operating under the Companies’ Creditors Arrangement Act (CCAA) since 2025, giving it protection from creditors while it restructures.[3][4]
- In April 2026, the Alberta Court of King’s Bench approved a sale and investment solicitation process for much of the Sunterra portfolio, including its Alberta agriculture, meat-processing, and grocery operations. KPMG Corporate Finance is the sales adviser and FTI Consulting is the court-appointed monitor.[2][1]
- The first phase received confidential, non-binding letters of intent; the next stage is assessing those submissions and seeking binding bids. A recapitalization by the Price family remains one possible outcome.[1][3]
Store closures
|
Location |
Status |
|
Downtown Edmonton, Commerce Place |
Closed May 29, 2026, after more than 30 years. [5] |
|
Red Deer, Bower Place |
Closed September 26, 2026, after five years. [1][2] |
|
Calgary |
Five markets reported still operating. [1][2] |
|
Edmonton, Lendrum |
Reported still operating, along with catering services. [5][1] |
Why it happened
In January 2026, Justice Michael Lema found that Sunterra’s Canadian and U.S. entities engaged in large-scale cheque kiting and held the company liable to U.S. lender Compeer Financial for about US$35 million. The court also found president Ray Price personally responsible.[6][3]
Sunterra sought leave to appeal, but the Alberta Court of Appeal denied that request in April 2026, leaving the lower-court ruling in place.[7]
What to watch
The key question is whether the CCAA process produces a buyer, investor, refinancing, or Price-family recapitalization that keeps some or all of the remaining Sunterra businesses operating. No announced sale or rescue transaction appears to have been completed as of the latest reporting.[3][1]
⁂
What is the latest status of the sales process
The sales process has completed Phase 1, but there is no publicly announced successful buyer, binding offer, or court-approved sale transaction as of the latest available reporting. The process remains at the stage where qualified Phase 1 bidders would be invited to make binding offers in Phase 2.[11][12][13]
Where the process stands
- On April 28, 2026, the Alberta Court of King’s Bench approved Sunterra’s court-supervised Sale and Investment Solicitation Process (SISP), covering a sale of, or investment in, all or substantially all of the Sunterra Group’s business and assets. KPMG Corporate Finance is the sale adviser; FTI Consulting is the court-appointed monitor.[13][14]
- Phase 1 required interested parties to submit non-binding letters of intent by 5:00 p.m. Calgary time on June 25, 2026.[12][14]
- Reporting in early August said that first phase had concluded and that the parties were reviewing the confidential, non-binding expressions of interest before moving toward binding bids.[15][11]
Phase 2 status
- Under the approved SISP, only parties qualified in Phase 1 may proceed to Phase 2, where they can submit a binding offer to buy all, substantially all, or part of the business/assets—or to invest in, restructure, recapitalize, or refinance Sunterra.[12][13]
- The Phase 2 deadline was deliberately left flexible: it is to be set by the sale adviser, chief restructuring adviser, and monitor after assessing Phase 1 interest.[16][13]
- Any successful bid still requires court approval before it can be implemented.[13][12]
What has not happened
There is no public evidence that Sunterra has named a stalking-horse bidder, announced a definitive purchase agreement, or obtained court approval for a sale. The company’s CCAA stay was extended to October 30, 2026, so the restructuring and sale process is still active.[16]
In practical terms: Phase 1 is done; Phase 2 binding bids are the next milestone, but their deadline and the identities or number of bidders have not been publicly disclosed.[11][12][16]
⁂
- https://retail-insider.com/retail-insider/2026/09/sunterra-closes-another-of-its-market-locations/
- https://todayinbc.com/2026/09/26/red-deer-sunterra-market-closes/
- https://www.cbc.ca/lite/story/9.7296199
- https://rdnewsnow.com/2025/04/03/sunterra-quality-food-markets-inc-files-for-bankruptcy-protection/
- https://www.ctvnews.ca/edmonton/article/downtown-grocer-closes-after-3-decades-amid-series-of-legal-financial-troubles/
- https://www.cbc.ca/news/canada/calgary/sunterra-lawsuit-appeal-michael-lema-9.7114808
- https://www.cbc.ca/lite/story/9.7176610
- https://x.com/RetailInsider_/status/2085132699937956246
- https://www.cbc.ca/news/canada/calgary/sunterra-compeer-financial-sale-9.7296199
- https://albertawestnews.blogspot.com/2026/08/latest-on-sunterra-markets.html
- https://www.cbc.ca/lite/story/9.7296199
- https://cfcanada.fticonsulting.com/sunterra/docs/2501-06120-Filed-2026-05-07-SISP-Approval-Order.pdf
- https://cfcanada.fticonsulting.com/sunterra/docs/(20260428)250106120FILED20260422APPLICATION.pdf
- https://cfcanada.fticonsulting.com/sunterra/docs/Sunterra SISP Notice.pdf
- https://www.linkedin.com/posts/mariotoneguzzi_sunterra-market-ends-first-phase-of-sale-activity-7492151192014462976-MXE6
- https://cfcanada.fticonsulting.com/sunterra/docs/(2026-04-28) -2501-06120 -Filed-2026-04-27-Monitor's-Seventh-Report.pdf
- https://www.linkedin.com/posts/mariotoneguzzi_sunterra-market-ends-first-phase-of-sale-activity-7490898240981069824-8UjD
- https://harrispartnersadvisory.ca/sunterra
- https://www.cbc.ca/news/canada/calgary/sunterra-compeer-financial-sale-9.7296199
- https://retail-insider.com/retail-insider/2026/09/sunterra-closes-another-of-its-market-locations/
- https://todayinbc.com/2026/09/26/red-deer-sunterra-market-closes/
- https://x.com/RetailInsider_/status/2085132699937956246
- https://cfcanada.fticonsulting.com/sunterra/docs/2501-06120-Filed-2026-02-23-Report-of-the-Monitor.pdf
- https://cfcanada.fticonsulting.com/sunterra/docs/Sunterra - Monitors Fourth Report - Final.pdf
- https://cfcanada.fticonsulting.com/sunterra/docs/2501-06120-Filed-2025-12-09-Report-of-the-Monitor.pdf
