Hemfosa expands in Norway with €110m hospital deal

Stockholm-listed real estate investor Hemfosa is expanding its presence in neighbouring Norway by investing SEK 1 bn (€110 mln) in a specialist hospital project in the Oslo area.

Hemfosa is partnering on the project with Norwegian property development company Aspelin Ramm Eiendom. Their joint venture vehicle, Gardermoen Campus Utvikling (GCU), will develop a new health campus, near Oslo Airport Gardermoen. T

he campus will feature a new heart and lung hospital and two existing hospitals will also move their operations to the site. The Norwegian Heart and Lung Patient Organisation (LHL) has signed a 25-year lease on the new hospital. Construction on site is scheduled to begin later this year with LHL taking up occupancy in January 2018.

Hemfosa holds a 652% stake in the development joint venture. Other partners in the project include the architecture firm Nordic Office of architecture and the building contractor Hent.

'Investing in a new hospital project at Gardermoen offers a unique opportunity to enter this expansive area and consolidates Hemfosa’s position as a major player in community service properties in the Norwegian market,' said Hemfosa CEO Jens Engwall.

Separately, Hemfosa divests residential property and two housing development rights in Västerhaninge, Sweden for a total of €36 mln. Hemfosa chief operating officer Lars Thagesson said the company was optimising its portfolio by selling down its non-core holdings.