Kungsleden in SEK 279 m property sale
Listed Swedish property company Kungsleden AB (publ) is selling two commercial properties for a total purchase price of SEK 279 m. The property yield amounts to 6.4%. The sales price is in line with book value and acquisition cost.
These properties are located on the outskirts of Slakthusområdet wholesaling estate in Johanneshov, south of Stockholm. Leasable area is some 25,000 sq.m., split 55% warehousing and 45% processing area, offices, staffing accommodation and restaurants. 95% of warehousing volumes consist of freezer storage.
The buyer is St Erik Markutveckling, a wholly owned subsidiary of the City of Stockholm. The sale is conditional on approval by the City of Stockholm’s municipal council and completion is scheduled for December 2011.
The City of Stockholm is implementing an extensive change process for the whole Slakthusområdet estate, and in 2010, adopted its ‘Vision Söderstaden 2030 (vision for the southern city) with the intention of developing the estate into a centre for events and leisure, with arenas, offices and housing.
“I’m really satisfied with this sale and view the City of Stockholm as a natural owner with the change process now happening in Slakthusområdet,” commented Kungsleden’s Chief Executive Thomas Erséus.
For more information, please contact:
Johan Risberg, Deputy CEO Kungsleden | phone 46 (0)8 503 052 06 | mobile 46 (0)70 690 65 65
Detta pressmeddelande finns tillgängligt på svenska på www.kungsleden.se/pressmeddelanden
Kungsleden AB (publ) 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 12 September 2011 at 8:00 a.m.
Kungsleden’s strategy is to ensure sustainable high and stable returns proceeding from its existing holding, and through acquisitions and divestments. As of 30 June 2011, the property portfolio comprised 635 properties with a book value of SEK 26.1 bn. The portfolio was located in a total of 143 municipalities, mainly in southern and central Sweden. Kungsleden has been quoted on the Nasdaq OMX Stockholm since 1999.