Swedish property company Jernhusen has acquired the leasehold for Hotel Scandic Continental from Swedish life insurance company Folksam for approximately EUR 50 mln.
Swedish property company Jernhusen has acquired the leasehold for Hotel Scandic Continental from Swedish life insurance company Folksam for approximately EUR 50 mln.
The acquisition follows Jernhusen's recent EUR 59 mln sale of the land underneath Stockholm's World Trade Center in which it retained City Terminal. The hotel purchase will allow Jernhusen to further transform Central Station and the development of the Stockholm city district Western City.
Hotel Scandic Continental will house the new joint entrance to the subway and the new main station connecting commuter train tunnel Citybanan with Stockholm Central Station.
Located opposite Stockholm's Central Station, Hotel Scandic Continental has 12,000 m2 lettable space and a new zoning plan is in progress, which is expected to present further development opportunities.
Jernhusen was represented by international real estate advisor Savills. Ulf Nilsson, Savills, commented on the deal, saying: 'It further strengthens Jernhusen's position in the area and will allow the creation of a new landmark in Stockholm CBD.'
