Hines has acquired its first asset in Sweden, on behalf of its Hines European Property Partners (HEPP) core-plus fund.
A sale and leaseback agreement has been secured with one of the largest European kitchen companies, the publicly listed Nobia, on its new production facility currently under construction in Jonkoping, an established industrial centre in the south of the country on the shore of lake Vattern.
The two parties have agreed a sale price of €120.1m with Nobia entering a 20-year rental agreement on the property with HEPP with an option to extend the agreement for a further 20 years.
Construction of this 129,500m2 facility began in 2021 and is scheduled for completion in autumn 2024. The project is targeting a BREEAM Excellent rating, consistent with HEPP’s objectives to meet the demand for environmentally and socially sustainable buildings.
James Robson, country head - Nordics, at Hines, commented: “We have been waiting patiently for the right opportunity to enter the Swedish market and this represents an excellent fit for Hines’ ambitions to grow its portfolio of high-quality industrial assets in great locations across the continent. It is a transaction which suits both parties, and we look forward to continuing our relationship with Nobia as our tenant.”
Jon Sintorn, President and CEO of Nobia, said: “By selling and leasing back the property, we strengthen our financial position while simultaneously becoming long-term tenants in the new highly automated kitchen factory, which will serve as the hub for Nobia's Nordic operations.”
Hines was advised by Torngren Magnell & Partners, Ramboll, Newsec and PwC with White & Case acting as legal advisor and Savills Sweden Investment AB as transaction advisor to Nobia.
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