European office developer Skanska sold 20 buildings during 2018 for a total of €744 mln across the two regions where it is active, the Nordics and CEE.
In Central and Eastern Europe the company sold nine properties for a total value of €431 mln and delivered another eight buildings with a total volume of 122,000 m2. Skanska also invested around €495 mln in new developments, which will increase the total office stock by around 215,000 m2.
In the Nordics, where Skanska is active in other sectors including logistics and retail, the company sold 11 buildings for €313 mln and invested €920 mln in its development pipeline, which will add another 280,000 m2 of floor space in the next few years.
Skanska completed six new buildings in the Nordics with a total volume of 95,000 m2 and leased 135,000 m2 of space.
The company employs around 14,200 people in its European markets and is active in Poland, the Czech Republic, Romania, Hungary and Slovakia, as well as the four Nordic countries.
The company said it benefited from high demand for real estate in the Nordics as well as continued interest in the CEE region, where the total transaction volume increased by 11% to more than €13.2 bn, according to JLL.
'In terms of trends, the Nordics are still waiting for the big Asian capital flow and we think that it is getting closer,' said Jonas Karlsson, head of divestments and asset management at Skanska Commercial Development in the Nordics. 'This capital is looking for large volumes for their first investments, and most likely, it will start with Stockholm or Copenhagen, following other main capital cities.
'It is also worth underlining that flexible office spaces and co-working are growing rapidly and will shape the future of the Nordic market.'
Adrian Karczewicz, head of divestments in CEE, said investors from the Asia-Pacific region were increasingly active in the region too. In December Skanska sold four buildings on the Silesia Business Park in Katowice to the Philippines-based Isoc Group for €59 mln. 'This is yet another example of the great potential of the CEE region, which offers both A-class products and returns on investment that are higher than in Western Europe,' he said.
