Aldi Agrees to Sale Leaseback of 80 Retail Outlets in Southern Germany

The Wall Street Journal - August 20, 2010

Insurer Allianz SE (ALV.XE) paid a 'clear three-digit million euros amount' for the 80 retail outlets in southern Germany owned by Aldi Immobilien KG, a person familiar with the matter told Dow Jones Newswires Friday.

Earlier Friday, Allianz, Europe's largest insurer by premium income, said its German real-estate unit is buying 80 retail outlets in southern Germany from Aldi Sued in a leaseback deal aimed at diversifying its investment portfolio.

Aldi, which is one of Germany's largest discount grocery retail chains, will continue to operate the outlets. Aldi Sued is the main long-term lessee of the outlets, which have an average sales area of 900 square meters, Allianz said.

Spokespeople for Allianz Real Estate Germany GmbH and Aldi Sued declined to comment on the transaction value, saying both parties agreed not to disclose the investment details of the deal.

Frank Neumann, a real-estate stock analyst for Bankhaus Lampe, had said he estimates the value of the deal at around EUR80 million.

Aldi Sued operates more than 1,780 retail branches in western and southern Germany. Aldi Nord operates more than 2,500 retail outlets in northern and eastern Germany. Sphere: Related Content