Finance
IKEA to host Decathlon in UK store as it opens space to other retailers
Published by Global Banking & Finance Review®
Posted on February 24, 2026
3 min readLast updated: February 24, 2026
Quick Summary
Ingka, owner of most IKEA stores, will host a 1,188 sqm Decathlon inside IKEA Croydon as it trials renting space to third-party brands. The pilot complements store revamps like Klagenfurt to boost visits and monetise space.
IKEA to Lease Space to Decathlon at UK Store in Retail Revamp
By Greta Rosen Fondahn
STOCKHOLM, Feb 24 (Reuters) - The owner of most IKEA outlets worldwide said on Tuesday sports retailer Decathlon will open a store in one of its British locations as the budget furniture giant rolls out trials of bringing third parties under its roof to attract more shoppers.
Ingka’s Store-in-Store Pilot and Retail Strategy
Ingka is testing whether renting space to other brands can increase visits and monetise its existing square metres as it revamps giant stores for a value-driven shopper.
"We believe complementary offers can encourage more people to visit our stores and engage with the products in new ways," Javier Quinones, Ingka Group's commercial manager, told Reuters.
FORMAT REVAMP
Traditionally known for its giant out-of-town "blue-box" stores, IKEA has over the past decade revamped its store formats, developing smaller inner-city stores and showrooms while investing in digital services to adapt to new shopping habits.
It has also cut prices across a range of products over the past years in an attempt to bring back cash-strapped consumers.
Sales and Footfall Context
Ingka Group, the main IKEA franchisee with stores in 32 countries, last year reported its lowest annual sales since 2021.
Footfall was up 1.3% globally last year, however, growth which Quinones said IKEA wants to accelerate.
Decathlon Pilot Inside IKEA Croydon
A 1,188 square metre Decathlon store will open during the spring inside IKEA's 25,000 square metre store in Croydon, south London, IKEA said in a statement.
Leasing Terms and Brand Mix
IKEA will rent out the space, with its own entrance, to privately owned Decathlon, which is known for big-box stores that sell equipment from tents and bicycles to running shoes.
That will be the first time a major international brand is brought into an IKEA blue-box store, though smaller Nordic electronics retailer Kjell & Company opened in two Swedish IKEA stores during the autumn.
'AFFORDABILITY AND QUALITY'
Austria Pilot: Thomas Philipps at Klagenfurt
IKEA said it was also revamping its Klagenfurt location in Austria, where home and garden specialist Thomas Philipps will open a store.
"For this pilot, we have... selected tenants with broad appeal and a strong commitment to affordability and quality," said Quinones.
Future Opportunities in Europe and North America
He added IKEA was exploring similar opportunities in some additional countries in Europe and North America.
Investment Plan for 2024–2026
Ingka is investing more than 5 billion euros ($5.90 billion) during the 2024-2026 period to open new locations and improve existing stores.
Exchange Rate Reference
($1 = 0.8472 euros)
(Reporting by Greta Rosen Fondahn; Editing by Jan Harvey)
Key Takeaways
- •Ingka will host a Decathlon store inside IKEA Croydon as a pilot to rent space to third-party brands.
- •The in-store Decathlon spans about 1,188 sqm within IKEA’s 25,000 sqm blue-box in south London.
- •It’s the first time a major international brand is brought into an IKEA blue-box; smaller pilots ran with Kjell & Company in Sweden.
- •IKEA is also revamping Klagenfurt (Austria), where Thomas Philipps will open inside the store footprint.
- •Ingka is investing over EUR 5 billion during 2024–2026 to open and upgrade locations, aiming to boost footfall after a modest 1.3% rise last year.
Frequently Asked Questions about IKEA to host Decathlon in UK store as it opens space to other retailers
1What is the main topic?
Ingka, the main IKEA franchisee, will host Decathlon inside its Croydon store as part of a pilot to rent space to third-party retailers and drive more shopper visits.
2When and where will the Decathlon open?
A 1,188 sqm Decathlon will open during spring 2026 inside IKEA’s Croydon blue‑box store in south London, with its own entrance and leased space.
3Is this the first time IKEA has hosted another brand?
It’s the first time a major international brand is placed inside an IKEA blue‑box store. Earlier, smaller pilots included Kjell & Company shops in Swedish IKEA stores.
