Stockholm-based AMF Pension has bought two buildings in the south of the Swedish capital from property group Fabege for a total of SEK 975mln (EUR 103mln).
Stockholm-based AMF Pension has bought two buildings in the south of the Swedish capital from property group Fabege for a total of SEK 975mln (EUR 103mln).
Mats Berg, director of communications at Fabege, told PropertyEU that the Marievik 14 and 19 properties were the last of the Fabege's holdings in the Marievik district, which is not part of the company's core focus.
The assets, dating from 1944 and 1989 respectively, have been redeveloped and provide a total lettable area of almost 40,000 m2 of primarily office space. Berg said the tenants include the corporate offices of Swedish clothing company H&M.
Berg said that the sale will result in a total profit after tax of SEK 185mln, which will be recognised in the first quarter of 2008. He could not disclose the rental level for the assets or the net initial yield generated by the transaction. AMF Pension takes possession of the properties on 30 April.
Fabege is one of Sweden's leading commercial real estate companies and is listed on the Large Cap section of Stockholm Stock Exchange. The company’s 1.5 million m2 property portfolio has a book value of almost SEK 31bn and is concentrated in the Stockholm region. The portfolio has an annualised rental value of SEK 2.5 bn.
