Swedish private equity firm Niam has entered into a binding agreement with Citycon for the purchase of a portfolio of three commuter hubs totaling just over 57,000 m2 for a price of SEK 1-5 bn (€150 mln).
The three hubs are located in Tumba, Högdalen and Fruängen, all of which are suburbs of Stockholm, Sweden.
Daniel Andersson, head of Acquisitions Sweden, said, ‘With these acquisitions, we are significantly expanding our property portfolio in Stockholm. The properties offer a strong cash flow with a majority of tenants in groceries and other necessity driven retail as well as community services and housing. All hubs are directly adjacent to rail-bound traffic and we are very much looking forward to further develop them together with existing tenants and the municipalities in question.’
F. Scott Ball, CEO of Citycon, said that the sale is a confirmation of the value and attractiveness of high-quality Nordic properties with investors. ‘With the current global situation, with low activity in the transaction market, the deal is a confirmation of the current valuation levels for this type of property,’ he added.
The deal is expected to close during the first quarter.
