Hemfosa to invest just over MSEK 110 in property in Gothenburg
Hemfosa is to invest just over MSEK 114 in the renovation and tenant-specific modification of an existing, vacant property in central Gothenburg, Sweden. The property will be leased to SOS Alarm with a 20-year lease. The project is in line with Hemfosa’s strategy of developing the potential of its existing property portfolio.
Hemfosa has signed a lease with SOS Alarm for approximately 3,300 sqm in a vacant property in the Gamlestaden district of Gothenburg. The lease includes renovation and tenant-specific modification, which are scheduled to be completed in the second half of 2020. The lease extends from the occupancy date and the investment expense is estimated to just over MSEK 114.
Hemfosa owns an adjacent property of about 22,000 sqm primarily comprising public-sector offices. The property currently has a leasing rate of approximately 95 percent.
The City of Gothenburg’s vision for Gamlestaden is to develop this district into a center and make it the connecting link between the north-eastern and central city districts. Hemfosa views its investment in the property as part of this development.
“Hemfosa will grow through both acquisitions and project development and we are currently working on plans for several exciting projects in different phases. The project in Gamlestaden is an example of our strategy of developing the immense potential of our portfolio, in this case also in an expanding city district in Gothenburg,” comments Annika Ekström, Head of Asset Management at Hemfosa.
For further information, please contact:
Annika Ekström, Head of Asset Management, mobile +46 70 517 31 69, annika.ekstrom@hemfosa.se
About Hemfosa Fastigheter
Hemfosa is a Swedish property company focused on community service properties in the Nordic region, with the Swedish state and municipalities as its largest tenants. This provides stable revenue flows and a healthy yield. Hemfosa also aims to create value through active participation in the transaction market. At September 30, 2019, Hemfosa owned properties with a total property value of approximately SEK 40 billion. The company’s ordinary share has been listed since March 2014, and the preference share since December 2014, both on Nasdaq Stockholm. Read more at www.hemfosa.se
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