Swedish insurance group Folksam Sak has acquired the Rotundan 1 property in central Stockholm from Zürich Insurance for SEK 565.5 mln (€51 mln).
The property is situated close to Humlegården and Stureplan with access to the subway at Östermalmstorg. The leasable area is around 4,100 m2 and access will take place in the spring of 2023.
The Folksam group, which includes Folksam Sak, has expanded its real estate holdings in recent years, adding some SEK 27 bn of assets to its directly-owned portfolio. In total, the Folksam group now has directly owned properties worth close to SEK 62 bn.
Lars Johnsson, property director at Folksam, said: 'We are continuing our strategic and profitable expansion of the property portfolio through another acquisition in the middle of our core market of Stockholm.
'Our focus on high-quality office properties in attractive locations remains firm. The Folksam group aims to further increase its property portfolio in the future.'
Folksam added that real estate 'has over time a very favourable risk-adjusted return', concluding that 'a well-risk-diversified investment portfolio ensures a stable return even in times of economic uncertainty'.