Germany's Union Investment has closed the acquisition of a fully-let office building in Stockholm's Arenastaden district from listed property group Fabege for a price of €244 mln.
Germany's Union Investment has closed the acquisition of a fully-let office building in Stockholm's Arenastaden district from listed property group Fabege for a price of €244 mln.
The acquisition - Union's largest investment in Scandinavia ever - was first announced in early February. It is earmarked for the group's UniImmo: Deutschland open-ended real estate fund.
Completed in 2012, the complex provides 44,000 m2 of space let on a long-term lease to the state-owned power company Vattenfall, which uses the building as its global headquarters. The asset generates an annual net operating income of nearly SEK 100 mln (€10.6 mln).
Fabege will continue to manage the property, as well as the development of Arenastaden. Located next to Solna train station a few kilometres north of central Stockholm, Arenastaden features office buildings, at least 2,000 new homes and Unibail-Rodamco's 101,000 m2 Mall of Scandinavia.
