JLL Advises Lidl on Sale-and-Leaseback of 24 Grocery Stores to Patrizia Across France, Italy and Spain

JLL advised Lidl on the strategic sale of a portfolio of 24 newly developed grocery stores in France, Italy and Spain to investment manager Patrizia, the firm announced Oct. 20. The transaction is structured as a sale-and-leaseback, with all properties remaining leased to Lidl on a long-term basis.

Portfolio Breakdown: Italy, Spain and France

The portfolio comprises 10 properties in Italy, eight in Spain and six in France, with a combined sales area of roughly 50,000 square meters (about 538,000 square feet). That equates to an average of approximately 2,083 square meters, or 22,400 square feet, per store. All 24 assets are newly developed and fully occupied by Lidl.

The leases are long term, with rents indexed to the relevant consumer price index in each market. The sellers are Lidl's French, Italian and Spanish operating companies.

JLL's Role in the Lidl Sale-and-Leaseback

JLL acted as adviser to Lidl on the cross-border transaction, which spans three national markets under a single deal.

"This transaction demonstrates the continued strength of the European investment market for food retail, where high-quality assets with strong operator credit remain highly sought after," said Sandra Ludwig, Head of Retail Investment EMEA at JLL. "We are pleased to have supported Lidl in achieving its strategic objectives while connecting the company with institutional capital seeking defensive, inflation-protected income streams in core European markets."

Patrizia Expands Its European Food Retail Platform

For Patrizia, the acquisition adds a fully let portfolio with a single grocery operator across three major European markets. Patrizia said the purchase expands its European food retail platform to approximately 4.2 billion euros and strengthens its presence in Southern Europe.

Market Context for Grocery Sale-and-Leasebacks

The transaction reflects investor interest in grocery properties that combine full occupancy, long leases, inflation-linked rents and modern building stock. Inflation-indexed leases are designed to adjust rental income in line with consumer price increases, and food retail is generally regarded as more defensive than discretionary retail because of the recurring nature of grocery demand.

For retailers such as Lidl, sale-and-leaseback structures can release capital tied up in recently developed stores while retaining operational control of the sites through long-term leases. The trade-off is that the retailer replaces ownership costs with contractual rent and gives up future land and building appreciation.

About JLL

JLL (NYSE: JLL) is a commercial real estate services and investment management firm with annual revenue of $26.1 billion, operations in more than 80 countries and a global workforce of more than 112,000 as of June 30, 2026. Through LaSalle Investment Management, it invests on behalf of clients in both private assets and publicly traded real estate securities.

Sources

• JLL press release: JLL berät Lidl bei paneuropäischer Sale-and-Leaseback-Transaktion