Lidl has secured a major investor-backed deal to support the construction of 35 new stores across the UK and Europe, marking a significant shift in its approach to property development.

The portfolio, which includes 17 UK supermarket sites, is currently under offer from global investment firm ICG for more than €250 million (£215 million), according to The Grocer. Once construction is complete, all stores will be leased back to Lidl under a sale-and-leaseback agreement.

This approach mirrors Lidl’s first UK deal of this kind, struck with Roadside Real Estate in October last year. Traditionally, Lidl has focused on building and owning its sites outright, but the move towards leasehold arrangements indicates a new strategic direction aimed at speeding up its store rollout.

The deal is expected to complete within the current financial year.

A spokesperson for Lidl International said: “The qualitative and quantitative expansion of our network of stores has always been a key driver for the sustainable growth of our company. As a matter of principle, we do not focus on short-term developments, but always think long-term, economically, and sustainably. In particularly promising market situations, we consciously decide to develop properties and projects together with partners and investors.”

ICG has declined to comment on the transaction.

The news comes as Lidl pushes ahead with plans to open over 40 new UK stores this financial year, with a long-term goal of reaching a 1,500-strong estate across the country.

By tapping into investor capital, Lidl is reinforcing its commitment to rapid growth while balancing flexibility in its property portfolio – a move that could reshape how the discounter expands in increasingly competitive markets.

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