Sveafastigheter acquires two office properties in Helsinki

Sveafastigheter Fund III (”Sveafastigheter”) has together with HGR Property Partners (”HGR”) completed the acquisition of two office properties at Elimäenkatu 23 and Elimäenkatu 25-27 in Vallila, Helsinki. The properties are acquired from Delek Global Real Estate and the transaction is financed by two German banks Aareal Bank AG and Landesbank Hessen-Thüringen Girozentrale (”Helaba”), with Aareal Bank as the Agent bank. The purchase price is not disclosed.

Both properties were leased to TeliaSonera through long-term lease agreements, however, these agreements have mainly expired. Both properties have been thoroughly renovated and extended between 2000 and 2002 and are technically in very good condition. The total leasable area is 19,500 sqm. Sveafastigheter’s and HGR’s business plan is to lease the properties to new large anchor tenants.

– We are convinced that we can attract high-quality tenants to these assets. The properties are modern and are of a high standard as required by headquarter users. The location is excellent in the inner city of Helsinki and has good transport links and parking facilities. The expertise and experience of HGR makes them the best possible partner to manage and lease these two outstanding assets, says Patrick Gylling, partner at Sveafastigheter.

– Vallila has established itself as one of the most attractive office areas in the Helsinki inner city. The headquarters of several blue-chip companies (e.g. TeliaSonera, SOK, Nordea, Pohjola, GE Healthcare, Unilever) are already located in the area. We know the area very well and I have personally been involved in developing a significant part of the newer office stock in Vallila. We are confident that we will successfully lease these properties quickly, says Kari Helin at HGR Property Partners.

Sveafastigheter

Sveafastigheter is a leading Nordic private equity house focusing solely on real estate investments. The first opportunistic real estate fund, Sveafastigheter Sverige I, was launched in 2003. In 2006 Sveafastigheter launched its second fund, Sveafastigheter Fund II. In October 2010, Sveafastigheter Fund III held its second closing reaching more than €120 million of commitments in aggregate. The third fund has to date made two investments.

Sveafastigheter is based in Stockholm with offices in Helsinki and Malmö.

HGR Property Partners

HGR Property Partners is a real estate investment company focusing on real estate investments and developments in Finland. The company was founded in 2005 and has completed commercial real estate transactions with a cumulative value of more than €350 million.

For comments and further information, please contact:

Patrick Gylling, partner and CIO Sveafastigheter, phone +358 40 542 63 97, patrick.gylling@sveafastigheter.fi

Kari Helin, partner and chairman of the board HGR Property Partners, phone +358 40 579 05 70, kari.helin@hgrpropertypartners.fi