Swedish real estate firm Samhällsbyggnadsbolaget i Norden (SBB) is selling two elderly care properties, located in Västerås and Flen, to Nordisk Renting.
The sale of the Västerås Sågklingan 6 property is expected to close around the end of 2024, while the Flen Vävskeden 21 property sale is anticipated to close in the third quarter of 2025.
The two properties comprise approximately 13,900 m2 of lettable space. SBB will receive approximately SEK 672 mln (€58 mln) from the sale, reflecting an underlying property value of SEK 679 mln (€59 mln) after accounting for a 5.15% deferred tax deduction.
The properties generate an estimated annual rental income of SEK 38 mln (€3.3 mln). Sold slightly below recent market valuations (approximately 2% less), the sale—structured as a company transaction—will yield the full proceeds to SBB, contingent upon completion of property subdivisions in Västerås and construction of the elderly care home in Flen.
Krister Karlsson, deputy CEO at SBB, commented, “SBB has built both elderly care homes, and the projects are very good examples of how value is created through active property development. The sales are being made to strengthen liquidity to enable value-creating transactions.”
