Sweden's Catena pulls out of Norway to focus on home market

Swedish property company Catena said it is retreating from the Norwegian property market with the sale of a portfolio consisting of four commercial properties in the Oslo region. The move is part of the company's strategy to increase its exposure to the Swedish property market.

The assets, offering 32,200 m² of total floor space, represented 23% of Catena's portfolio and were sold to a 50/50 JV of Solist Investor and Eiendomsspar for around NOK 480 mln (EUR 60 mln), which is 8% above the portfolio's end-year valuation, Catena said. After the deal, which will result in capital gains of EUR 4 mln, the company's portfolio will be almost entirely located in Sweden (94%).

'This transaction will strengthen Catena's financial position and provide us with an opportunity to further develop our property portfolio,' said Peter Hallgren, president of Catena. He added: 'The divestment entails leaving Norway and focusing on advancing the Swedish operations.' The transaction is expected to be completed at the end of April.

In February, Catena also sold a 5,300 m² property in Denmark to the Danish University and Property Agency (DUPA).

Catena is a Stockholm-listed company that owns, manages and develops commercial properties in the Nordics.