Conditional upon a new local plan, Sjælsø Gruppen has acquired the attractively located site, Margretheholm, from Freja Ejendomme A/S. The total project value of the area is expected to be in the region of DKK 3 billion (approx. 400m).
Margretheholm benefits from a particularly attractive location immediately south of Refshaleøen and the marina and north-east of Stadsgraven and Holmen. With its proximity to the Copenhagen city centre as well as Christianshavn and the nearby recreational areas, Margretheholm is destined to become a significant development project for Sjælsø Gruppen over the next few years.
The parties expect a new local plan for the area to be approved in the autumn 2006. Following final site development and environmental clearing, the projects will be completed over the next three to four years.
Eventually, the area will comprise approx. 70,000 sq.m. new build homes and, to a lesser extent, institutions and commercial buildings.
The purchase of Margretheholm underpins the activity level for 2007 and the following years. The recently announced pre-tax profit forecast of DKK 450 million for 2005 and a 2006 result on the same level, therefore, remain unchanged.