NREP Nordic Strategies Fund II has announced plans to invest in residential projects comprising more than 600 apartments in Helsinki and key urban areas in Finland.
The energy-efficient apartments, which will be constructed by SSR Uusimaa Oy, Pohjola Rakennus Oy Keski-ja Itä-Suomi and JM Suomi Oy, are located in Helsinki, Espoo and Jyväskylä. The majority will be built with one- and two-person households in mind.
The purchase price was not disclosed.
'There is a shortage of smaller apartments in the Finnish capital region and in the other larger cities, and we expect strong demand for the new stock,' said NREP director Petri Valkama.
'We are very pleased with the portfolio of apartments acquired. The composition of properties fits very well with our strategy to invest in high-quality properties at good locations, but within reasonable pricing and rent levels,' added NREP partner Mikko Räsänen. 'The investment offers a good risk-return balance, and complements our Nordic residential portfolio.'
NREP Nordic Strategies Fund II, which purchased its first assets in spring 2016, invests mainly in retail, logistics and residential properties in the Nordics. NREP said it plans to invest more than €1.5 bn in the Nordic real estate market in total.
