Swedish listed property group Kungsleden is forming a joint venture with construction and civil engineering group Peab to build a senior high school in Upplands Väsby, north of Stockholm.
Swedish listed property group Kungsleden is forming a joint venture with construction and civil engineering group Peab to build a senior high school in Upplands Väsby, north of Stockholm.
The total investment for the school is a maximum of SEK 400 mln (EUR 37.4 mln), with a minimum property yield of 7%. Kungsleden is conducting the joint venture through its jointly owned company Hemsö.
The building will have a leasable area of almost 15,000 m2. The municipality will lease back the school on a 20-year rental agreement. Kungsleden said definitive rent will be determined based on the cost of the project.
The senior high school is scheduled for completion in July 2011. After completion, Hemsö is entitled to acquire Peab's holding in the joint venture.
