GE Real Estate sells SEK 2.7 billion portfolio (SE)

GE Commercial Finance Real Estate Nordic ("GE Real Estate Nordic") has sold a portfolio of 84 properties to Keops A/S for approximately SEK 2.75 billion (€292 million). Keops is Denmark's largest real estate company and is listed on the Copenhagen Stock Exchange.

Måsen 21 (Skellefteå), Juristen 6 (Härnösand) and Söderbymalm 3:486 (Haninge).

The portfolio of properties was originally acquired through the acquisition of Stenvalvet Properties in 2001. The assets are located in 58 locations across Sweden and are let to a range of tenants including the police service, courts and tax authorities.

As a result of this divestment, the company will have largely exited from several provincial locations, including much of northern Sweden.

Commenting on the transaction, Lennart Sten, Managing Director of GE Real Estate Nordic, said: "The strong real estate market, coupled with the completion of an active asset management and development programme,

underpinned our decision to dispose of this portfolio. The sale is also in line with the business plan we originally adopted when we acquired Stenvalvet in 2001.

"We will continue our search for opportunities where we believe we can employ our real estate skills effectively by concentrating on the management of assets in fewer towns and cities. We remain firmly committed to the Nordic market and are delighted that, through an active investment in assets primarily located in and around Stockholm, we have increased the size of our portfolio over the last twelve months even following today's divestment."

The deal is expected to close in the first quarter of 2006. Leimdörfer Fastighetsmarknad AB advised GE Real Estate on the transaction.

Source: Leimdörfer

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