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14 February 2012
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22 February 2012
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03-04 May 2012
Vienna, Austria
Sweden's Kungsleden sells office assets at loss, 7% average yield
Swedish listed real estate group Kungsleden has sold seven commercial properties at a profit over book value but under acquisition price. Kungsleden CEO Thomas Erséus told PFE that the assets are mostly, office with some light industry, and yield is around 7%. Total purchase price was SEK83m (e7.5m), which exceeds book value by over SEK3m but is SEK10.5m less than acquisition cost. "In principle, all are office properties even though you can say that to some extent some are in the sector of light industry as well," Erséus told PFE in a mail. Even if the rental indicates a yield of over 12% at sale, "it's more likely around 7 %," he added.