Fabege sells Pelaren 1 in Söderstaden to KPA Pension
The sale is consistent with Fabege’s overriding strategy of divesting fully developed properties and creating new value by continuing to generate development rights in attractive growth areas in Stockholm. The property transaction is being completed as a corporate sale with an underlying property value of SEK 1,608m.
In accordance with current reporting regulations, the profit will be recognised as an unrealised change in value of SEK 138m in the second quarter of 2019. Transfer of ownership is expected to take place on 1 July 2019.
Pelaren 1, with an area of approximately 21,500 sqm, currently forms a new landmark opposite the Tele2 Arena and Globen, on a site that used to be just a gravel square. Fabege’s construction of the new office building has created a tranquil local street on Pastellvägen and separates off Nynäsvägen for residents. The ground floor houses a restaurant that is open to the public, contributing to a thriving street environment. Mobile operator 3 is the single largest tenant and has roughly 70 percent of the building at its disposal.
– “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,” said Klaus Hansen Vikström, Vice President and Director of Business Development at Fabege.
The building was completed in autumn 2018, and is environmentally certified to BREEAM-SE Very Good standard.
Catella has been transaction advisor.
Fabege AB (publ)
For further info about the project to create 3’s new offices: www.fabege.se/tre
This information is of the type that Fabege AB is required to disclose under the EU Market Abuse Regulation. This information was released, through the provision of the above-mentioned contact person, for publication on 6 April 2019, at 13:00 CET.
For further information, please contact:
Klaus Hansen Vikström, Vice President and Director of Business Development, Fabege, tel. +46 (0)8-555 148 74 or +46 (0)70-239 34 81
Åsa Bergström, Deputy CEO and CFO, phone 46 (0)8 555 148 29, 46 (0)70 666 13 80
Fabege is a property company focusing on city district development and commercial properties. We develop attractive and sustainable districts with modern offices, housing and a broad range of services - together with strategic partners. Both our perspective and approach to ownership are long term and our passion is creating the right conditions for all those living, working and visiting our areas. We have a presence in a limited number of high-growth submarkets in the Stockholm region. Fabege’s shares are listed on Nasdaq Stockholm, in the Large Cap segment. For more information, www.fabege.com