ATP has entered into a joint venture with fellow Danish pension fund, Danica Pension, to co-own the €400 mln Postgrunden office development in Copenhagen.
ATP Real Estate and Danica Pension will each hold 50% of the project once completed, subject to obtaining final planning consent. The property is expected to comprise 66,000 m2 of commercial leasable area.
The value of the project is estimated at €400 mln in total.
Postgrunden was acquired by Danica Pension in 2015. Over the next few years, the site is to be developed into a new neighbourhood in central Copenhagen with a mix of residential and office buildings, cafés and retail outlets.
Anders Svennesen, chief investment officer at Danica Pension, said: 'For Danica Pension it has been a deciding factor to have ATP join as a long-term investor with extensive expertise in the real estate market. Together we will continue to work on the plans to ensure we develop an attractive commercial property that fits well with our ambitions for the remaining part of Postgrunden.'
The building is expected to be completed at the beginning of 2022.
