Savills Investment Management has entered into an agreement to acquire six fully let residential assets in Sweden for €100 mln for its European Living platform.
The seller of the assets was the Swedish listed developer and property company K2A Knaust & Andersson Fastigheter AB, and the deal was sourced off market.
The portfolio of acquisitions is located in the university cities Uppsala, Västerås and Gävle in Sweden, and is built with a strong ESG profile. This includes attributes such as solar panels, predominantly timber framed buildings, carpools, bike locker rooms, sedum roofs, social common areas, affordable rents and garbage recycling systems among other sustainable characteristics.
The buildings in Västerås and Gävle were built between 2019 – 2021 and comprise 359 apartments with a total lettable area of 14,443 m2. The buildings in Uppsala are currently being finalised and will at completion comprise 216 apartments with a total lettable area of 11,366 m2.
Closings are planned for May 31st 2023 for the assets in Västerås and Gävle and December 1st 2023 for the assets in Uppsala.
Savills IM was advised on the transaction by Roschier and the seller K2A will be retained as property manager for the portfolio.
Patrick Au Yeung, senior fund manager, European Living, Savills Investment Management, commented: 'We believe the time is now for the European residential sector. The fundamentals are robust, and the supply/demand imbalances are acute and likely to remain persistent.'
Marc Gonzalvez, Responsible for Pan-Euro residential acquisitions at Savills IM, said: 'We look forward to acquiring more portfolios of similar quality across Europe and will continue to focus on assets with a strong ESG story via existing credentials or achieved following active asset management. We believe the coming quarters will provide an historically attractive entry point for investors looking for exposure to the growing European residential sector.'
