Catella Real Estate has sold an office building in Stockholm’s central business district (CBD) on behalf of its fund, Sarasin Sustainable Properties – European Cities.
The buyer of the property is Deas Asset Management on behalf of Nordea Life & Pensions Sweden.
The office building, known as “Elefanten 17”, is located in one of Stockholm’s prime office locations, Herkulesgatan 28 / Vattugatan 17-19, in the western part of Stockholm’s central business district.
It is located above the Klaratunneln, with easy access to major transportation hubs including E4 motorway through Klarastrandsleden and Essingeleden, and only 5 minutes’ walk from Stockholm’s central Train Station, making it very attractive for tenants who need to be centrally located and have a quick connection to Stockholm’s Arlanda Airport.
The property was built in 2002, has a total rental area of approximately 4,650 sqm and is fully let to six tenants. The transaction was structured as a share deal, selling 100% of the shares of “Stockholm Elef. 17 AB”.
Jaime Sarrà, Senior Investment Manager of CREAG, says: “We are proud to announce the sale of Elefanten 17 in Stockholm. Catella was able to profit from a significant rental growth in the market and yield compression over the last 10 years. Sweden showed once more to be one of the most stable real estate markets in Europe, even in the current turbulent times. We will keep monitoring the Swedish market for new acquisitions, especially whitin the logistic sector”.
Axel Bertram, Portfolio Manager of CREAG, states: “Having achieved exceptional returns for our investors over the years with this property, we have decided to shift our focus to new investment opportunities. This divestment provides us with an opportunity to realize a substantial profit for our investors.”
The purchase price has been agreed to be kept confidential by both parties.