Listed Swedish property company Kungsleden is acquiring a portfolio of 35 properties located in the northern Swedish cities of Umea, Harnosand, Lulea, Nordmaling and Solleftea from Midnattssolen Fastigheter for a purchase price of SEK 540 mln (EUR 59 mln). The transaction reflects a yield of 7.2%.
Listed Swedish property company Kungsleden is acquiring a portfolio of 35 properties located in the northern Swedish cities of Umea, Harnosand, Lulea, Nordmaling and Solleftea from Midnattssolen Fastigheter for a purchase price of SEK 540 mln (EUR 59 mln). The transaction reflects a yield of 7.2%.
The portfolio provides a total lettable floor-space of 99,613 m2, the majority being office and retail premises with a rental value of about SEK 62.5 mln (EUR 7 mln). The largest tenants are nationwide surplus retailer Överskottsbolaget, building supplies retailer Ahlsell, the University of Umea, the Swedish social insurance authority Forsakringskassan, the Swedish Tax Agency, the county labour board and the Swedish National Courts Administration.
A contract is currently being negotiated for the property in Lulea and, upon completion, this property will be fully let to Sweden Post's courier arm, Postakeriet. Kungsleden is scheduled to take possession later this autumn. Kungsleden will take possession of the other properties in this portfolio in August 2007.
