Norwegian office property owner Entra has announced the sale of its entire 13-property office portfolio in Trondheim, Norway for NOK 6.45 bn (€563.6 mln).
The buyer of 187,268 m2 of office space is E C Dahls Eiendom, a unit of Norwegian real estate group Reitan Eiendom.
The price is 3% below book values as of Q3 2023 adjusted for land lease obligations recognized in the balance sheet.
A letter of intent has been signed between the two parties, to be followed by a binding agreement on 22 March, while the deal is expected to close in Q2 2024.
Entra also struck a deal with the same buyer to sell a future development project (15,500 m2) in Trondheim, following its completion in Q4 2025, with the deal closing expected in 2026.
Sonja Horn, CEO of Entra, commented: ‘Over the past 10 years Entra has completed many large projects in Trondheim, and the portfolio is almost fully developed. We will now focus our efforts and capital on our property clusters in and around Oslo and Bergen and the significant opportunities in these locations. The transaction will improve Entra’s debt metrics, and we will continue to manage our balance sheet prudently. We truly believe that our tenants and employees in Trondheim will be taken very well care of by E C Dahls Eiendom.’
The transaction is subject to customary due diligence and clearance from the Norwegian Competition Authority.
Separately, Entra named Ole Anton Gulsvik as its new CFO, effective from 1 August at the latest.
Gulsvik, who is currently CFO position at the Norwegian infrastructure company NRC Group, will succeed Anders Olstad.
Entra owns and manages around 100 properties totaling around 1.6 million m2, located in Oslo and the surrounding region, Bergen and Trondheim.
