I am extremely proud of the position we have obtained and the commitment our employees are making to ensure that we continually take some steps in the right direction. We know that our work creates value and favourable conditions both for our customers and other stakeholders
We are pleased that we had the opportunity to acquire the land from Skanska. Through the acquisition, we have the opportunity to get started with the development of Flemingsberg faster, which is very pleasing. We are also looking forward to continues good cooperation with the municipality of Huddinge and with our neighbours in the area. Christian Hermelin, CEO Fabege
We have ambitious aims for our sustainability work, much of which is an integral part of our operating activities. It’s very pleasing to now be establishing a new framework that contributes to expanding our green financing platform, enabling us and finance providers to contribute to more sustainable development.
The sale is evidence that the transaction market remains strong in Stockholm. “Demand for modern offices in prime locations is healthy, and we are not seeing any slowdown in the number of enquiries from institutional investors
This is the first time we’re doing this survey in an entire area, but that’s also when we’ll have a real opportunity to exert an influence and make a real difference. We’re planning to work with SL (the local public transport operator in Stockholm) and other actors to ensure that more car commuters gain access to better public transport opportunities. One hypothesis we wish to explore, for example, is what a new bus service from Ropsten to Arenastaden would entail in terms of reduced emissions
The investment has meant that we no longer need to purchase any cooling, and that the amount of district heating purchased has been reduced by 75 percent thanks to the energy stored in the bedrock
It is of course extremely exciting that we are up and running with this important project, together with Huddinge Municipality. Attractive workplaces located close to where people live are needed, also on the southern side of Stockholm, and utilizing vacant capacity in existing infrastructure is very wise. We hope that this new city district will create a better balance and more competitiveness in the entire Stockholm region.
As a proactive urban developer, it is quite natural for Fabege to also get involved in creating new homes. The project in Solna and partnership with the TB Group is another example of such an initiative, with Fabege actively contributing to more homes being built.
It is fantastic that a creative, young and expansive company has chosen to be based in Hammarby Sjöstad. Hyper Island runs a business that involves the general public, which attracts people to it and thereby contributes to achieving a dynamic urban district.
Together with Huddinge Municipality and other stakeholders, we want to transform the Flemingsberg area from being a strong regional centre into a dynamic international star.
Due to our focus on offices, it is a natural step to divest this school property now that it has been completed and is about to open. The property is fully leased and provides no further development potential for Fabege. We are convinced that Pareto previously acquired and today manages this type of community properties will be a good landlord.
We’re looking forward to getting to know Trustly’s employees and to adapting the offices in order to reflect both the company’s brand and its core values. There is a substantial level of interest in the remaining 3,000 sqm in the building, and we hope to be able to welcome more new and exciting tenants to the district in the near future
We’ve long been attracted by the location of the building, its shape, wealth of details and, in particular, the artistic thoughtfulness in the little park. There are unique opportunities here to create an attractive concept, and we’re delighted that Kom Hotel will be refining this gem
Our collaboration as an urban developer with Generation Pep and the City of Solna to help boost opportunities for movement and exercise in our local environment is an important and exciting partnership. Gen Pep’s concept of combining adult gym equipment with play equipment for children is an intelligent way of encouraging a healthy lifestyle, both for our customers and for those who live in the area, so it feels completely natural for us to be on board making sure the parks are created
The new buildings rights will allow us to create a fantastic entrance to Arenastaden. We have high ambitions in relation to both the development of Dalvägen and the creation of the new districts, and we’re delighted that the initial steps towards the new vision for Solna Station have now been taken
The positive development of Arenastaden, and in particular Friends Arena, is generating a growing need for hotels situated in the vicinity. Nordic Choice Hotel’s new hotel initiative will create improved conditions for both Friends Arena and Mall of Scandinavia, as well as companies’ visitors and employees.
We’re delighted about the continued strong demand for our green bonds and our increased green financing opportunities. Half of Fabege's funding is now green and we are positively observing the increasingly responsible financial market.
We are very pleased to be able to continue developing our relationship with ICA. It is very much in line with our strategy of being customer-focused and flexible.
Resedan was a somewhat lonely item in our portfolio and Probitas was an obvious buyer, as it already owns a property in that area
Fabege considers it important to continue operating as a strong, long-term owner and administrator in Arenastaden. The latest transaction aligns with the Fabege business model which aims to boost the potential of the portfolio by selling modern, fully refined properties so as to free up capital for value-generating project investments. In Arenastaden alone, Fabege owns almost 200,000 sqm of commercial development rights, which are set to be developed over the coming years. Through this latest sale, we are creating space to continue completing value-generating investments in our chosen areas. The property is a good match for the investment market’s demand for modern offices in attractive locations, fully leased and with long-term contracts. In the same way as previously, Fabege will be responsible for operation and administration, and I’m delighted with the working relationship built on trust we enjoy with Union Investment.
“Our ambition is to increase the proportion of capital market financing primarily via our green bond programme. The credit rating from Moody’s puts us in a better position for seeking financing on favourable terms.”
“We’ve now taken the next step in our financial profiling. Fabege is keen to make investors aware of our high quality and our long-term approach. We’re delighted to have received this acknowledgement of the company’s financial stability via the rating from Moody’s.”
Green funding is an important part of our sustainability work and by the end of 2017, 47 per cent of our total funding was green. Receiving the highest rating from Moody's is a quality measurement that we are very proud of.
We’re looking forward to welcoming Skolverket to Solna Business Park. Skolverket will gain good, attractive premises that will support their activities, in a sustainable district with excellent communications.
- I am particularly pleased with the two major lettings to Swedbank and Bilia, which pave the way for continued value-adding project development. The occupancy rate in the project portfolio now amounts to 88 per cent. Projects continued to deliver at a high level – the return on invested capital during the period was 66 per cent. Fabege is an organisation that is capable of exploiting opportunities to create value. With our stable cash flow in property management and our well located project portfolio, I look forward to our positive trend continuing into 2018
It feels great and exciting to be working with Skanska, which has shown great enthusiasm and commitment to partnering with us on this project. Skanska is a cutting edge enterprise, working hard to reduce environmental impact, and placing great emphasis on occupational health and safety at its construction sites. Fabege is growing; several projects are under way and we are keen to team up with contractors who prioritise areas that are important to us, and who live up to our demanding standards.
We are very pleased with the solution we have identified together with Bilia, as a result of which they will remain in a location that has become increasingly attractive over the years as a result of the proximity to Arenastaden, Hagaparken and the expanded public transport options at Solna station, as well as now being in a brand new and vibrant city district with both residential and commercial properties.
We are looking forward to working with Swedbank for many years to come and welcoming the bank's employees to Grand Central Sundbyberg.
We’re delighted about the strong demand for our green bonds and our increased green financing opportunities. The extended framework is consistent with our efforts to finance the company using green funding, and sits well with our ambitious sustainability work.
We are well-equipped to take advantage of the current positive market conditions. Our projects continue to deliver at a high level – yield on capital invested during the first six months of the year was 54 percent. As project properties are completed and tenants move in, we are beginning to see the positive effects of the increased cash flow in our income statement. With a committed organisation and considerable potential in our market and our property portfolio, I look forward to continued favourable development in 2017 and 2018.
City district development is all about creating an attractive setting where the people who live, work and spend time in the area can really enjoy their everyday lives. When building a great many residences, offices and commercial premises, it is essential to remember the children. How can we help citizens put together their everyday lives, and where would be good places to establish schools and preschool facilities? In Råsunda, we have worked closely with the city authorities to come up with an excellent holistic solution for a great many people.
We are extremely excited by the prospect of creating a fantastic office environment and truly extraordinary film studio for Goodbye Kansas. Their energy, growth and creativity are sure to make an even greater contribution to the area, which is already home to a large number of tech and media companies
If we succeed in reducing the amount of transportation to and from our areas, then we’ve come a long way towards creating a more sustainable district.
In AEG, with its extensive international network and experience, we’ve found a partner with an excellent reputation with whom we can continue to develop the events experience at Friends Arena while positioning the Stockholm region internationally.
We’re seeing a clear increase in interest for the south side of Stockholm, which we as urban developers think is positive in terms of creating a good balance in the city. Thanks to strong brands making their way southwards, the positive trend of increased service, more frequent public transport services and an inner-city feel will continue at a rapid pace.
Christian Hermelin, CEO
2016 was characterized by good market conditions combined with strong operational delivery and thereby large increases in value.Our healthy sales allow scope for continued project investment and new acquisitions, which will help increase future potential
We will continue to increase our green financing. Green financing now represents 21 percent of our total funding. It is also gratifying that the price differentiation we have seen on green bank loans now also can be seen on the green bond market
We’re genuinely looking forward to welcoming a dynamic, fast-growing technology company to the area. Snow Software will make a positive contribution to the business culture we have here.
We’re delighted that Migrationsverket has decided to remain with Fabege. Our long-standing and highly successful relationship meant that it was extremely important to us to identify a great office and location for their operations.
The fact that the financial market has caught on and is now encouraging sustainability is a break in the trend. It’s positive to see the financial market increasingly taking responsibility for the climate issue by offering various green financing alternatives. They have huge opportunities to influence developments and in our dialogue with the banks we are now seeing a clear increase in interest in these issues.
- The issue is in line with our commitment to fund ourselves in a green way and is a good fit with our ambitious sustainability efforts.
The property favourably matches the demand in the investor market, meaning that it is fully developed, fully let and has long-term tenant. The sale creates scope for additional value-generating investments. I am delighted with this transaction, which is completely in line with our long-term strategy and am also gratified to be entrusted to continue managing the property and to take care of the relationship with the customers.
We’re delighted about the creation of residential development rights on the properties, allowing the additional consideration to be realised.
- The issue is in line with our commitment to fund ourselves in a green way and is a good fit with our ambitious sustainability efforts.
Both the property and rental markets remain strong, with accelerating rent levels and rising property values. We achieved high earnings in the first half of the year and the conditions are in place for strong earnings for the full year 2016. More completed projects will increase rental volumes which, combined with continued operational efficiency and low interest expense, is expected to generate better profit from property management.
Christian Hermelin, CEO at Fabege.
This transaction allows us to create the opportunity for further development in an area in close proximity to our other holdings in Solna. The property’s location means that it has the potential to become an important part of our ongoing structural measures.
- 3 will have its very own landmark featuring attractive architecture, and the office will become a symbol of the rapidly emerging Söderstaden. With its decision to relocate its head office here, 3 has again shown that it is at the cutting edge of developments, and the company will definitely become an important stakeholder in the future development of southern Stockholm’s key business hub.
We are of course very pleased with the continued strong interest in Arenastaden and welcome Ambea to the area in summer 2017.