AMF Pensionsförsaking’s property arm is buying a Stockholm asset from Aareal Bank.

The company holding the Fatburssjön 10/Fatburen property, Aqvatrium, is being sold for SEK3bn (€323m).

Irish investors Brian and Mary Patricia O’Donnell’s Vico Capital paid nearly SEK2.7bn for the building in 2007.

Aareal Bank foreclosed on the 46,000sqm asset, in Stockholm’s Södermalm district, in 2012.

The bank’s Aareal Estate subsidiary has redeveloped the building, which includes office and restaurant space.

The sale is expected to close in April next year, resulting in non-recurring income of around €70m for Aareal Bank.

AMF Fastigheter said the deal took its holdings in the Södermalm area to 131,000sqm.

Mats Hederos, AMF Fastigheter chief executive, said the office market in Södermalm was changing, with creative companies in the technology, game design, advertising and media sectors moving into the area.

Topics