Niam has acquired the building rights for residential development in the Ursvik district of Sundbyberg Municipality, in collaboration with Derome and Storsala. The site is locateded 200m from the planned light rail station that is expected to open in 2025. The project will involve the construction of 11,000m2 of rentable residential space distributed across 227 rental apartments. The building will be constructed using timber and will seek environmental certification to achieve at least Miljobyggnad Silver.
“This is our second residential acquisition in Stockholm in a short period, and we have a strong pipeline with promising growth prospects in the sector going forward. We have considerable flexibility regarding transaction structures, allowing us to invest in finished residential properties, forward funding, forward commitments, and land with development rights. In addition, we have the capacity to handle project development in-house at Niam and are open to collaborative development partnerships. We look forward to working with our partners on this project, which will be a key addition to Stockholm’s expanding development,” said Henrik Gerdin, Fund Manager at Niam.
Derome will be in charge of timber construction, which will reduce the carbon footprint by 50% in comparison to traditional building materials.
“As a family business in the industry and a long-term focus, we have been able to invest in a market where many others have chosen to hold back. This project confirms that our proposal, with industrial timber construction that reduces climate impact and shortens construction times, is perfectly in tune with the times. We are pleased to undertake this large and complex project with our two new partners and establish a long-term and successful relationship,” said Otto Martler, CEO of Derome Bostad.
Orlando Villacrez, founder and CEO of Storsala, commented on the deal: “This aligns perfectly with Storsala’s strategy to grow in attractive areas through both acquisitions and new development. By combining our extensive experience with sustainable investments, we can simultaneously expand our portfolio whilst creating long-term value for our stakeholders. This project will not only strengthen the housing offering in the area but will also contribute to the broader urban development of the region.”
The acquisition will be completed in December 2024, and a turnkey contract has been signed with Derome for the construction. Work is expected to commence shortly after year-end, with completion anticipated in spring 2027.
Image provided by Niam.
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