Vasakronan develops new detention center in Göteborg for SEK 600 M

A new detention center is being developed on behalf of the Swedish Prison and Probation Service, and is scheduled for completion in 2010. The project involves the construction of a new detention center and office premises covering about 20,800 m2 of space and is estimated to cost approximately SEK 600 M.

The project also includes the remodeling of the existing police building. A 25-year rental agreement has been signed with the Prison and Probation Service.
The construction of a new detention center and office premises is part of the development of the area between the two Ullevi arenas in Göteborg.

“The area between the two Ullevi arenas will be a natural home for the Prison and Probation Service, the Police Service and Göteborg City Court, as well as for commercial tenants,” says Rolf Åkerman, Regional Manager at Vasakronan in Göteborg.
“Vasakronan is investing a total of approximately SEK 1.5 billion in the Ullevi area, where in addition to this project, new police and city court buildings are being constructed and converted.

Vasakronan is the largest player in the office market in central Göteborg. The company’s property portfolio is concentrated in the attractive submarkets of Inom Vallgraven, Östra and Västra Nordstaden, Gullbergsvass and Gårda. The property portfolio in Göteborg has a market value of SEK 7.8 billion and Vasakronan has 26 properties in the city. Rental revenues amount to approximately SEK 482 M and the vacancy rate is approximately 2%.