Kungsleden makes SEK 955 m public property acquisition
Listed Swedish property company Kungsleden AB (publ) is acquiring and taking possession of six public properties in Norrkoping and Nykoping near Stockholm from GE Real Estate Norden for a purchase price of SEK 955 m including transaction costs.
These properties have total lettable floor-space of approximately 89,300 sq.m., mainly consisting of offices and school premises. The biggest tenants are the Police Authority, the Swedish National Courts Administration, the Swedish Civil Aviation Administration, the Swedish Meteorological and Hydrological Institute, the Swedish Prison and Probation Service and Sodermanland County Council. Total rental value is just over SEK 94.6 m, and the estimated property yield is 6.8%. The average remaining duration of rental contracts is about six years.
“The tenants, mainly central government bodies and authorities, combined with these well-located, good properties make this portfolio very attractive,” commented Kungsleden’s Chief Executive Thomas Erséus.
Kungsleden discloses the information in this press release according to the Swedish Securities Markets Act and/or the Swedish Financial Trading Act. The information was provided for public release on 28 March 2008 at 2 p.m.
For more information, please contact:
Thomas Erséus, Chief Executive, tel +46 (0)8 503 05204, mobile +46 (0)70 378 2024
Johan Risberg, Deputy Chief Executive, tel +46 (0)8 503 05206, mobile +46 (0)70 690 6565
Göran Linder, Divisional Manager, Public Properties, tel +46 (0)8 503 05207, mobile +46 (0)70 690 6575