The property has four 20-year leases with Borlänge municipality with a total rental income of about SEK 16m. The construction of the property is expected to be completed during the latter part of 2022 and the assessed property value at completion is approximately SEK 335m.

”The property with 20-year municipal leases is a great fit with our portfolio of social infrastructure properties where approximately 90 per cent of the rental income is financed by the Nordic welfare states. We believe that the combination of elderly care homes, a pre-school, LSS housing and home care is an efficient solution to the large upcoming needs of public care. We have several ongoing discussions about similar concepts with different Nordic municipalities”, says Oscar Lekander Chief Business Development Officer, Samhällsbyggnadsbolaget i Norden AB.

“We welcome SBB as the buyers of Gyllehemmet. This is our first sale to SBB, which feels very satisfactory and we are really looking forward to our collaboration. SBB is a strong, local player with a solid management organization. We have a very good dialogue with Borlänge municipality, and we want to continue to develop and build in more places there. We believe in the concept of several important social functions in one building as it provides sustainable, area-effective solutions for our partners”, says Catrin Viksten, Head of Community Service Property at Magnolia Bostad.