Listed Swedish property company Sagax has signed its third acquisition in Stockholm in a week with the purchase of the Vitå 1 property in Kista, Northern Stockholm, for SEK 198 mln (EUR 21.5 mln), representing a net initial yield of 8%. The acquisition is financed with equity and with a seven-year revolving credit facility of SEK 140 mln. Completion will take place on July 1.
Listed Swedish property company Sagax has signed its third acquisition in Stockholm in a week with the purchase of the Vitå 1 property in Kista, Northern Stockholm, for SEK 198 mln (EUR 21.5 mln), representing a net initial yield of 8%. The acquisition is financed with equity and with a seven-year revolving credit facility of SEK 140 mln. Completion will take place on July 1.
The property comprises 9,500 m2 of fully-let office space with an average remaining lease term of nine years and also includes a 12,000 m2 plot of land. Sagax already owns an adjoining building and following the purchase, it will control the entire office block with an area of 23,000 m2. The properties are located adjacent to the Kista Expo Centre, the new Victoria skyscraper and the Ericsson headquarters.
'Kista will continue to have a positive development in the long term,' said CEO David Mindus.
Stockholm-listed Sagax focuses on investment in the Swedish commercial real estate sector, with a portfolio of 1.1 million m2 spread over 133 buildings. Over half of Sagax's property portfolio in terms of market value is located in Stockholm.
Last week, the company acquired two properties in Stockholm for SEK 345 mln (EUR 38 mln) and sold three other assets for SEK 194 mln.
