Fastighets AB Balder (Balder) and Doxa’s portfolio company Serneke sells 151,000m2 of building rights in Karlastaden to Gothenburg's public utility property group Forvaltnings AB Framtiden.
The deal consists of two blocks that are transferred to 100%, and of four blocks that are transferred to 74% with Serneke and Balder as continuing co-owners of 26%. The purchase price amounts to c. €89m and also includes a unilateral option for Serneke and Balder to buy back the building rights in the four partly-owned blocks by September 2027 at the latest.
“We are very positively about bringing in a strong public actor into the project which will contribute significant values to the development of the district,” said Erik Selin, CEO of Fastighets AB Balder.
In total, Karlastaden consists of approximately 325,000m2 spread over eight blocks above ground, as well as Karlastaden's garage and media facility. The building rights in question include, on the one hand, approximately 36,000m2 in the Lynx and Virgo blocks, of which Framtiden Group acquires 100%, and on the other hand, approximately 115,000m2 in the Callisto, Cassiopeja, Aries and Auriga blocks, of which Framtiden Group acquires 74%. After the deal, Serneke and Balder each own 13% of the Callisto, Aries and Auriga blocks and Serneke's share of ownership in the Cassiopeja neighborhood amounts to 26%.
Serneke and Balder also receive a unilateral option to buy back all shares in one or more of the four part-owned quarters at any time, but no later than September 2027, at a price corresponding to the underlying property value recalculated with Index. After the option period, either party can buy back the properties.
“Framtiden is a public company and it is important for us to acquire building rights at market-favorable prices. Through this deal, we are taking responsibility and acting actively and deliberately in the property market with the aim of contributing to the construction of new homes and an attractive housing market in Gothenburg,” said Terje Johansson, CEO of AB Framtiden.
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Image source - Cision.
