Lidl sells 17 UK stores in £179.4m sale-and-leaseback deal
Lidl has reached an agreement to sell 24 grocery stores, including 17 UK assets, to ICG Real Estate for €203.5m (c.£179.4m).
ICG Real Estate, part of global asset manager ICG, will acquire the portfolio on behalf of its Strategic Real Estate II Fund (SRE II), with each asset to be subsequently let to Lidl on a long-term, triple-net lease.
Alongside the 17 UK stores, the portfolio, which totals approximately 538,196 sq ft, also comprises four Irish assets and three Spanish stores. Each store ranges in size between 19,160 sq ft and 25,026 sq ft and are currently under various stages of construction.
The first acquisition was completed in October 2025, with the final purchase expected to occur in July 2026.
Krysto Nikolic, global head at ICG Real Estate, said: “This acquisition aligns perfectly with our investment strategy for SRE II. Through this sale-and-leaseback agreement we have secured a portfolio of brand new, purpose-built and mission-critical properties let on very long-term leases, delivering highly sustainable triple-net income from Lidl, one of the world’s leading grocery brands selling non-discretionary items to consumers.
“We are excited to be partnering with Lidl on this mutually beneficial transaction, which provides a route for the grocer to recycle capital back into its core business, whilst our investors benefit from secure, highly visible and growing future rental cashflows.”