Swedish property company Kungsleden has completed the sale of 82 Swedish commercial properties to Norwegian asset manager Orkla Finans Kapitalförvaltning and Norwegian investment bank DnB NOR Markets. The company also upgraded its full-year 2007 profit forecast to SEK 1.8 bn (EUR 191 mln) from SEK 1.4 bn (EUR 148 mln).
Swedish property company Kungsleden has completed the sale of 82 Swedish commercial properties to Norwegian asset manager Orkla Finans Kapitalförvaltning and Norwegian investment bank DnB NOR Markets. The company also upgraded its full-year 2007 profit forecast to SEK 1.8 bn (EUR 191 mln) from SEK 1.4 bn (EUR 148 mln).
Kungsleden originally announced the deal on 24 October, when it valued the assets at SEK 5 bn (EUR 530 mln). In Thursday's press release, the Swedish firm said the sale price was now SEK 4,750 mln, still SEK 375 mln above book value and SEK 710 m above acquisition value. This latter amount will be posted to its profit for calculating dividends for 2007, Kungsleden said.
The properties, comprising office, industrial and warehouse premises, have lettable floor-space of just over 751,000 m2, with a rental value of just over SEK 473 mln. The ownership of the properties will be transferred no later than 15 January 2008.
'I am delighted to be able to complete this deal with Orkla with very satisfactory profits. I still see attractive opportunities for high transaction levels in commercial properties, and expansion in care, school and retirement home properties,' Kungsleden's CEO Thomas Erséus said in a statement.