AXA Real Estate has agreed to acquire a Grade A office building in Stockholm's Kista district on behalf of pan-European investment mandate for French pension fund ERAFP.
AXA Real Estate has agreed to acquire a Grade A office building in Stockholm's Kista district on behalf of pan-European investment mandate for French pension fund ERAFP.
AXA Real Estate Investment Managers SGP said it is buying the Blåfjäll 1 scheme on behalf of the French public service pension scheme for SEK 546 mln (€60.4 mln).
The vendor is Nordic private equity firm Niam.
'The transaction is demonstrative of AXA Real Estate’s intention to further expand its asset management platform in Sweden in order to access the country's large, liquid and transparent real estate investment market and strong economic fundamentals,' the company said in a statement.
The 18,728 m2 property, situated in the northwest of central Stockholm, is currently fully let on a recently renegotiated long-term lease.
The building has high technical standards and is targeting LEED Silver certification, in line with ERAFP's Socially Responsible Investment guidelines.
ERAFP – Établissement Retraite Additionnelle de la Fonction Publique - manages the retirement benefits of French government and local authority civil servants as well as the staff of French public hospitals. The pension group has €14 bn of assets under management and can allocate up to 10% to real estate.
ERAFP has awarded AXA Real Estate a €350 mln pan-European discretionary investment mandate following a competitive public tender. The strategy focuses on core or core plus investments across Europe and has a 10-year horizon.
