The CapMan Nordic Real Estate III Fund (CMNRE III) has acquired a landmark hotel and office property located in Hagaparken, the Royal National City Park, in Solna, Sweden.
CapMan Real Estate plans to refurbish the property to serve a long-term high-quality hotel operator. As part of the refurbishment, the fund also plans to invest in measures lowering the asset’s energy consumption.
Solna Kasernen 1 is uniquely located in the Royal National City Park next door to Haga Slott overlooking the lake Brunnsviken. The property is easily accessible by car and public transports from central Stockholm as well as by foot and bicycle.
The asset has a total net lettable area of approx. 26,000 m2. It consists of three buildings: an office building and two combined buildings with hotel, spa, conference, and restaurant areas. The office building was originally built between 1917–1922 as a military regiment and was refurbished, extended, and integrated into the newly built hotel in the 1990’s. The hotel currently maintains +200 rooms, a large restaurant, conference areas, and a spa. The property also holds approx. 290 parking spaces of which the majority are located in an underground garage.
CapMan Real Estate plans to refurbish the hotel, restaurant, and spa area for a long-term high-quality operator, lease the vacant office space and achieve synergies between the office tenants and the hotel. In addition to applying an active leasing strategy, the fund will make significant capex investments into the property to lower its energy consumption, targeting a minimum BREEAM In-Use Very Good certification.
”We are very excited to acquire this well-known property. The historic and scenically valuable location holds immense potential, and we look forward to developing the property together with our partner”, shares Magnus Berglund, Partner, Head of CapMan Real Estate Sweden and Norway.
CapMan acquired the assets together with the operating partner Atell AB. The newly established investment and asset management company Atell will co-invest into the deal and will act as an operating partner to CMNRE III.
Atell will be responsible for the asset management and day-to-day operations of the property.
“It is very exciting to be able to acquire such a unique property. We are very much looking forward to developing it together with CapMan Real Estate”, says Anna Reuterskiöld and Per Tängerstad, Founding Partners at Atell.
The seller is a privately held company within the Slottsparken Group.