Hemfosa has reached an agreement concerning the acquisition of three community service properties in the south of Finland at an underlying property value of approximately MSEK 500 (€53 M).

Two of the properties are situated in Tampere, the country’s third largest city, and contain a building at the University of Tampere and an office building, which is fully leased to the Finnish Tax Administration.

The third property, a building housing public authorities, is located in Raahe, just south of Oulu, and contains the police authority, the prosecution authority and the enforcement authority.

– This is our second acquisition in Finland in a short period. With this move, we have established ourselves in earnest as a broader Nordic player, while further strengthening our position in community service properties in Finland, says Stina Lindh Hök, Head of Transactions at Hemfosa.

The total leasable area amounts to 26,677 sqm, generating an annual rental income of approximately MSEK 40 (€4 M). The average remaining contract length is 10.4 years. The seller is a fund managed by Auratum Kiinteistöt Oy, whose largest investors are Veritas Pension Insurance and Turun Seudun Osuuspankki (Åbonejdens Andelsbank). The transaction will be financed with equity and bank loans.