Norwegian listed real estate company Fornebu Utvikling (FBU) has announced that it is to sell its commercial property interests in Fornebu, just outside Oslo. The divestment is part of the company's strategy to focus on residential development in Fornebu.
Norwegian listed real estate company Fornebu Utvikling (FBU) has announced that it is to sell its commercial property interests in Fornebu, just outside Oslo. The divestment is part of the company's strategy to focus on residential development in Fornebu.
Since 2010 FBU has being actively restructuring its portfolio. Commercial projects in Stavanger and Odense, in addition to selected areas at Fornebu, were disposed of. An exit of the remaining commercial assets at Fornebu will represent the final step towards making FBU a pure residential developer, the company said.
The latest disposal involves land which is zoned for 60,000 square m2 for commercial purposes and 30,000 m2 for residential. FBU said that potential buyers have already shown interest in the land, and the company hopes to close a transaction before the end of the third quarter 2011.
FBU started operations in March 2007 following the acquisition of the development project on Fornebu. The portfolio had an estimated value of NOK 5 bn (EUR 640 mln), according to FBU's website.
