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German discount grocer Lidl is reportedly looking at other options for its U.S. rollout.

The company opened its first Delaware store earlier this year in Middletown and reportedly has locations in the works in the Brookside area near Newark and Dover.

Lidl  is constructing a distribution center about a half an hour from the Delaware line in Perryville, MD.

However, there  are some  signs of a slowdown in storedevelopment havee occurred after an aggressive rollout of nearly 50 stores this year.

Industry publication Supermarket News reported the company is adjusting its real estate strategy and is looking at a smaller store footprint in some locations after reports that response to new locations was not as great as anticipated.

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Lidl had originally targeted “greenfield” sites for free-standing stores, but may now be looking at less square footage, perhaps in more built-up areas. 

The smaller footprint might also make sense in northern Delaware, which has fewer greenfield options and higher land prices.

A Lidl spokesman, according to the Supermarket News,  denied that the company was slowing down its store rollout plans.

Meanwhile, the  Roanoke Times reported site preparation had stopped at some locations in southwest Virginia.

Lidl is a rival to Aldi, a German grocer with a similar strategy of deep discounts, house brands and limited time offerings that can include home appliances and even shoes. Aldi has not been afraid to go toe-to-toe with Walmart, the nation’s largest grocer, which ranks low lower than many of its rivals in customer satisfaction.

However, Aldi, which has ramped up its expansion, has a nearly four-decade head start on Lidl.

Rivals of Lidl are not backing away either. Food Lion, now part of a Dutch-Belgian chain Ahold-Delhaize, plans to open a store in a former A&P location in northern Newark.

A spokesman for Lidl did not respond to a request for comment on a smaller store format that is listed on the company’s website. The company does not respond to inquiries on individual store sites.

Lidl has its U.S. headquarters in northern Virginia.

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