“The acquisition is another significant step forward, perfectly aligned with SNRE’s core-plus strategy, and marks the second logistics investment this year for the fund. It reflects the continued execution of our pan-Nordic investment program, positioning us to scale up investments as market opportunities arise” says Henrik Bastman, Fund Manager of Storebrand Nordic Real Estate Fund.

SNRE’s Nordic core-plus strategy encompasses Sweden, Norway, Denmark and Finland, focusing on a multisector approach. Current priorities include the logistics and living sectors, with selective consideration of office opportunities in capital regions. Investment decisions are guided by key factors such as initial yields, rental growth potential, long-term structural themes and sustainability objectives.

“The newly acquired logistics property underscores our commitment to invest in assets that deliver sustainable, long-term value in sectors with tailwind from underlying thematic trends. The asset is centrally positioned in the Nordic logistics triangle with easy access to the E4, E6 and E20 highways, train, and the Landvetter International Airport - just 45 minutes’ drive from Gothenburg, Sweden’s second largest city and the largest seaport in the Nordics. The building is an excellent fit with SNRE’s rigorous investment and sustainability criteria,” adds Bastman.

“We are focused on further enhancing the ESG profile of the property and our ambition is to BREEAM certify the building during the hold, confident that this approach supports superior risk-adjusted returns. The building already has a Miljöbyggnad Silver environmental certification, energy performance certificate A and solar panels installed on the roof”, Bastman concludes.

The transaction is set to close in December 2024, with Roschier, PWC, and WSP advising Storebrand throughout the process.

Property Details: The property, Solskenet 5, totaling 57,483 sqm situated in the Viared logistics area in Borås, is built in two phases. The first phase of 25,702 sqm was completed in 2023 and the second phase of 31,781 sqm is completed early 2025. The property is single-let on a 20-year lease agreement to Kid International Logistic AB, part of KID ASA which is publicly listed on the Oslo Stock Exchange. Noteworthy features include exceptional load-bearing floor capacity, floor-to-ceiling height, an Autostore automation facility and expansion potential through an unused building right.