Norwegian insurer Vital Forsikring has acquired the 50% stake it did not already own in Stockholm's massive Kista Galleria. The parties did not disclose the exact investment volume but it is believed that the shopping centre is valued in excess of SEK 4 bn (EUR 430 mln).
Norwegian insurer Vital Forsikring has acquired the 50% stake it did not already own in Stockholm's massive Kista Galleria. The parties did not disclose the exact investment volume but it is believed that the shopping centre is valued in excess of SEK 4 bn (EUR 430 mln).
This is the second large transaction in Stockholm in recent weeks.
Swedish pension fund AMF acquired the CityCronan mixed-use complex in Stockholm's central business district (CBD) in September for a sum believed to be in the region of EUR 300 mln. That deal was described as the second-largest single asset transaction to date in Stockholm and the largest single-asset deal in Sweden in the last three years.
Vital has owned Kista Galleria on a 50/50 basis with Swedish insurance company Länsförsäkringar Liv since 2005. The Norwegian insurer now has full control of the Stockholm mall.
Catella Corporate Finance acted as adviser in the transaction, which is conditional on approval from the Swedish Competition Authority.
Kista Galleria has a total of 134,000 m2 of lettable area, of which 89,000 m2 comprises retail premises. Turnover in 2010 is expected to exceed SEK 2.3 bn, with 17 million visitors. In the autumn of 2009, Kista Galleria underwent a refurbishment and expansion of 24,000 m2 of retail space. Following the refurbishment turnover has increased so far in 2010 by no less than 19%.
'Sweden is the most transparent property market in the Nordic region. Many international players invest in this market, and not without reason,' said Tom Rathke, a director of the DnB NOR group and managing director of Vital.
