Catena to build groundbreaking logistics facility for Elgiganten, investing SEK 813 million

Catena has signed an agreement with Elgiganten for the construction and rental of a new logistics facility in Jönköping totalling 86 600 square metres. The building, which might become Sweden’s first WELL-certified logistics facility, will be completed in 2024 and the total investment is expected to be SEK 813 million.

29 June 2022 10:00 CEST

The new facility will be built by Catena on the Hyltena 1:98 property, which was acquired in December 2021. The site covers about 200,000 square metres adjacent to the Torsvik industrial area by the E4, parallel to the Hyltena interchange and next to Elgiganten’s existing central warehouse. For a long time, the Jönköping region has held a strong position as an optimal logistics location with favourable conditions for next-day deliveries throughout the Nordic region.

Both Catena and Elgiganten have high level sustainability requirements and the objective is for the new facility to be certified under both BREEAM Excellent and WELL Core, which is an international standard aimed at promoting health and well-being for those working in the building. A future WELL certification would mean that it might be the first logistics facility in Sweden that meets the WELL requirements and thus set a new standard for logistics properties in terms of social sustainability. Furthermore, plans include solar cell systems, social spaces on the roof and well-planned green areas to conserve and benefit biodiversity.

Elgiganten is one of Sweden’s leading home electronics distributors with its own store network and extensive online sales. During the 2020/2021 financial year, Elgiganten’s turnover was SEK 15.9 billion, which is an increase of 17.6 percent compared with the previous year. To enable a better customer experience, faster deliveries and a continued high rate of growth, Elgiganten is now expanding its logistical infrastructure in collaboration with Catena.

Summary

• Comprises a new logistics property of 86 600 square metres with an extension option of 28 300, which enables future development such as a high-bay warehouse component
• The total investment is expected to be SEK 813 million
• The investment is financed via own funds and available credit
• Estimated net operating income of SEK 45 million
• Contract period 20 years
• The objective is certification under BREEAM Excellent, the project is also enrolled to pursue WELL Certification under WELL Core

“I am extremely proud that Catena is now building one of the largest logistics facilities in the Nordic region together with Elgiganten. With this project, we are breaking new ground in sustainability and hopefully this will be the first Swedish WELL-certified logistics facility. This project will confirm our position as the leading logistics property company,” says Jörgen Eriksson, CEO of Catena.

“We are now building a new ultramodern facility in the best Nordic logistics location. From day one, we and Catena have aimed to build a long-term relationship focusing on a property that is sustainable both for the environment and for our staff. This is a very important initiative, allowing us at Elgiganten to continue to grow sustainably,” says Daniel Lundby, CEO of Elgiganten Logistik AB.

Construction will start in autumn 2022 with spring 2024 as the estimated moving in date for Elgiganten.

For more information, please contact
Jörgen Eriksson, CEO, Tel. +46 730 70 22 42, jorgen.eriksson@catenafastigheter.se
Jonas Arvidsson, Regional manager for Gothenburg and Jönköping, Tel. +46 730 70 22 60 jonas.arvidsson@catenafastigheter.se
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This disclosure contains information that Catena is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 29-06-2022 10:00 CET.

About Catena
Catena is a listed property company that sustainably develops and durably manages efficient logistics facilities through collaboration. Its strategically located properties supply the Scandinavian metropolitan areas and are adapted for both current and future flows of goods. The overarching objective is to generate a strong cash flow from operating activities to enable sustainable growth and stable returns. As of 31 March 2022, the properties had a total value of SEK 24,905 million. Catena shares are traded on Nasdaq Stockholm, Large Cap.

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