Home Shop
It looks like the "New City Housewares" store beside New City Supermarket closed, and then rebranded (?) as "Home Shop". The new store seems better, in the sense that it stocks more practical goods and fewer knickknacks. I went inside and saw rice cookers and alarm clocks and mops and other consumer goods (presumably all imported from China).
Since the Bargain Shop closed I do not know of another department store downtown. This might be the closest thing we have. I have little confidence it will succeed. There never seem to be many people inside, and with Wal-Mart and Amazon readily accessible I don't think there is much market demand. In addition, I am guessing people won't think of it as a "real" housewares store, in the same way New City Supermarket and B&T don't count as "real" grocery stores because they are "ethnic".
If and when Home Shop fails it will be my fault; when I need housewares I almost always purchase them at Dollarama or thrift stores (huh. I guess that means thrift stores are downtown Kitchener's department stores). It's kind of a shame. It would be nice to see a housewares retailer succeed here.