Lidl has accepted an offer from an investor to finance the construction of 35 new shops throughout the UK and Europe in return for the freeholds.
The 17 UK sites and 18 European stores are under offer by private equity firm ICG for more than £215m, The Grocer has reported.
The arrangement will involve the German discounter leasing the shops back once they are constructed.
Lidl aims to complete the deal during its current financial year.
The move comes after Lidl’s first sale and leaseback deal in the UK in October, where it offloaded 12 shops under construction to Roadside Real Estate for £70m.
Lidl declined to comment on the details of the deal. ICG declined to comment.
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A Lidl International spokesperson 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.”
Lidl aims to launch 40 new UK stores over its current financial year and accelerate openings next year, with its long-term goal forming a UK estate of 1,500.
Earlier this week, the business revealed that it had completed a £285m extension of its Belvedere logistics hub, as well as a £150m investment in a new warehouse in Leeds.
The sites are forecast to provide up to 1,000 jobs when fully operational.
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