Heimstaden Bostad has acquired a residential portfolio comprising 28,776 homes across Sweden, Germany, and Denmark. The vendor is Akelius. The company has gradually built up its portfolio with continuous development and quality renovations, which positively complements Heimstaden Bostad’s long-term, value-focused perspective. The portfolio has a residential occupancy of appr. 98% and more than 99% of rental income come from regulated apartments. The deal is valued at about €9.1bn.
The German properties comprise 17,642 fully regulated homes, appr. 66,000m² of commercial space, and 1,859 parking spaces. In 2020 Heimstaden established in-house property and facility management operations in Berlin, with the capacity to manage a large-scale property portfolio. This is Heimstaden Bostad’s first investment in Hamburg, a city with favourable demographics, a positive economic outlook, and a strong model for cooperation between politics, society, and private housing companies.
The Swedish properties amount to 10,041 fully regulated homes, appr. 118,000m² of commercial space, and appr. 7,050 parking spaces. Sweden is Heimstaden Bostad’s home market, and Heimstaden’s operational experience enables the successful integration of new colleagues and properties in Stockholm and Malmo.
The Danish properties total 1,093 homes, of which 90% are regulated, appr. 6,000m² of commercial space, and 205 parking spaces. The portfolio is located in Copenhagen, allowing for efficient integration into Heimstaden Bostad’s existing operational setup.
“We are growing our presence in markets where we have strong knowledge and experience, markets that share key attributes, such as supply/demand imbalance, favourable demographical trends, and growing economies. We are particularly pleased to grow and expand geographically in Germany, the largest and most mature residential market in Europe, and establishing a presence in Hamburg,” said Christian Fladeland, Co-Chief Investment Officer at Heimstaden.
Commenting on the acquisition, CEO Patrik Hall said: “We are happy to announce this acquisition across five thriving and attractive European cities with rich cultural legacies, strong economic growth, and passionate inhabitants with engagement for their cities and broader society. Scale leads to improvements throughout our value chain, and enables more efficient operations, better customer experience, and greater impact through investments in sustainable solutions and measures aimed at combating society challenges and climate change. Over the last few years, Heimstaden Bostad has successfully integrated properties and organisations in new and existing markets, with large acquisitions in Denmark, the Netherlands, the Czech Republic, and Germany. As an evergreen and value-driven company, our customers and our Friendly Homes are at the heart of our growth strategy, and together with new colleagues, customers, and local communities, we will contribute to Friendly Homes and neighbourhoods in Hamburg, Berlin, Stockholm, Malmo, and Copenhagen.”
