Swedish property firm K-Fastigheter has completed the sale of a portfolio comprising 311 apartments in Denmark to an unnamed institutional investor.
The company first signed a letter of intent to sell the assets in March and has now signed an agreement, subject to conditions being fulfilled, under which K-Fastigheter will transfer the properties during the month of June 2024.
The deal value is about SEK 1,099 mln (€94 mln), which compares to a book value of the properties of SEK 1,145 mln at the end of the fourth quarter 2023.
The divestment strengthens K-Fastigheter’s balance sheet and enables continued acquisitions of building rights and construction starts of new projects, the company said in a statement.
'The divestment of these properties is an important part in the continued development of K-Fastigheter. We can create greater value for the company and our shareholders by using capital to acquire new building rights and to construction start new projects with our own developed concept houses than by owning these proprieties not constructed in accordance with our concepts,' commented Jacob Karlsson, CEO of K-Fastigheter.
The portfolio comprises four properties in the Copenhagen area.
K-Fastigheter will retain a presence in the Copenhagen area through project Ballerup comprising 153 apartments currently under construction.
