Peab and SkiStar currently own and manage three lodges in Swedish and Norwegian mountainside locations through various jointly owned companies. These will now come together in the half-owned company Skiab Invest AB. In addition, the company will acquire three new lodges in Hemsedal in Norway, Lindvallen in Sälen and Hundfjället in Sälen (under construction) and development rights for around 60,000 GFA in Sälen, Vemdalen, Åre and Duved.

In conjuncture with the transaction SkiStar is signing new leases on both the newly acquired properties and the previously jointly owned properties. These are triple net leases that run between 12-25 years with an average longevity of 17 years. Revenue from the leases amounts to SEK 93 million.

“In recent years Peab has invested considerable resources in project development and we plan to continue with this strategy. In some cases we run project development business in partnership because we see that this can add to our expertise. SkiStar is a leading destination developer in Scandinavian mountain areas and owning Skiab Invest AB with SkiStar creates a good platform to succeed in new projects on Swedish and Norwegian mountainsides,” says Göran Linder, BA Manager Project Development in Peab.

The contracts are pending approval by a General Meeting in SkiStar of the divestiture and lease signing as well as maintaining existing financing or arranging new financing by September 15th. Given that the above conditions are met, all the transactions are expected to be implemented in the third quarter 2021.