Listed Swedish property company Kungsleden has announced new transactions just a day after revealing it is selling 50% of Hemso Fastighets, its investment vehicle for public properties, to a Swedish national pension fund for around EUR 1.4 bn.
Listed Swedish property company Kungsleden has announced new transactions just a day after revealing it is selling 50% of Hemso Fastighets, its investment vehicle for public properties, to a Swedish national pension fund for around EUR 1.4 bn.
The company said it is selling a 8,300 m2 property in Sodertalje in the southwest of Stockholm to Swedish real estate company Telge Fastigheter for SEK 105 mln (EUR 9.6 mln). Most of the space is let to a high school. The building generates a total annual rent of SEK 9 mln, reflecting a yield of 6.9%.
The sales price corresponds to the book value and exceeds the acquisition value by about SEK 40 mln. This latter amount will be included in Kungsleden’s profit for calculating dividends for 2008.
Simultaneously, Kungsleden is acquiring a 5,800 m2 municipal office property in Sodertalje and 5,400 m2 retirement home in Norrkoping, also southwest of Stockholm. The transaction volume of SEK 210 mln (EUR 19.1 mln) reflects a yield of 7.9%.
