Kungsleden realises property values in SEK 28 m land sale
Listed Swedish property company Kungsleden AB (publ) is selling a building plot in Västerås, west of Stockholm, for a purchase price of approximately SEK 28 m after development costs. The sales price is comparable to book value and exceeds acquisition costs by about SEK 10 m. This latter amount will be included in Kungsleden’s profit for calculating dividends for 2012.
This property is part of the Västerås portfolio, which Kungsleden purchased in 2001 and includes lots of about 12,000 sq.m., where a zoning plan process for housing has been ongoing for a few years. The new plan has come into legal effect and involves the development of over 30,000 sq.m. of housing, half of which are Kungsleden properties. Construction and civil engineering corporation Peab is buying the building plot from Kungsleden and completion has immediate effect.
“Through long-term efforts we’ve secured development rights, and thus been able to increase the value of this property. One of our core competences is restructuring property portfolios, realising their value and passing them on to someone else for further development,” commented Kungsleden’s Chief Executive Thomas Erséus.
For more information, please contact:
Thomas Erséus, Chief Executive of Kungsleden | tel +46 (0)8 503 05204 | mobile +46 (0)70 378 2024
Anders Kvist, Deputy Chief Executive of Kungsleden | tel +46 (0)8 503 05211 | mobile +46 (0)70-690 65 63
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 22 October 2012 at 1:00 p.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 2012, the property portfolio comprised 322 properties with a book value of SEK 15.8 bn. The portfolio was located in a total of 101 municipalities, mainly in southern and central Sweden. Kungsleden has been quoted on the Nasdaq OMX Stockholm since 1999.