NCC`s sale of proporties in Gothenburg yields gain of SEK 164 million
NCC's sale of properties in Gothenburg yields gain of SEK 164 million NCC and Vasakronan have signed a framework agreement regarding a major real estate transaction in Gothenburg. NCC is selling two new properties in central Gothenburg and, simultaneously, a company for the development and construction of two sites by Nya Ullevi and Gamla Ullevi is being formed jointly by NCC and Vasakronan. The sale will generate a gain of SEK 164 million for NCC. NCC is selling two managed properties - Gullbergsvass 16:2 at Gullbergs Strandgata in Gullbergsvass and Masthugget 30:6 by Järntorget in central Gothenburg. The total purchase consideration for the two office properties is SEK 395 million and the sale will yield a gain of SEK 164 million. The gain is included in NCC's earnings for the second quarter of 2001. The conditions for NCC's participation in the development company were not fulfilled until recently in August. Vasakronan is selling 50 percent of a newly formed development company to NCC, for the development of offices and associated services at a site between Nya Ullevi and Gamla Ullevi, as well as of another site northeast of Nya Ullevi. The development rights, which pertain two locations close to the so-called Events district in Gothenburg, cover a total of approximately 40,000 square meters of floor area. Planning work is scheduled to commence during autumn 2001 and construction in 2003/2004. "This transaction consolidates our position as the leading property developer in the Gothenburg region. We believe that the joint venture with Vasakronan will prove to be an exceptionally successful combination in terms of the development of new properties in a sensitive district of Gothenburg," says Stephan Ekstedt, Regional Manager at NCC Property Development. For further information, please contact: Stephan Ekstedt, Regional Area Manager, NCC Property development, tel +46 8 31 771 5333 or +46 70 601 4181 Gisela Lindstrand, Press Relation Manager, NCC AB, tel +46 8 585 52346 or +46 70 392 9500 All of NCC's press releases are available on www.ncc.se ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/08/21/20010821BIT00100/bit0001.doc http://www.waymaker.net/bitonline/2001/08/21/20010821BIT00100/bit0001.pdf