NCC is selling the Fredriksberg D office project in Helsinki to a fund managed by abrdn. Fredriksberg D is the fourth phase of NCC’s development project in the Konepaja district, downtown Helsinki.
The transaction will be conducted as a company divestment, based on an underlying property value of approximately SEK 770 million. Transfer of the project and payment of the purchase consideration are expected to result in a positive earnings effect in the third quarter of 2022.
“We have developed a unique office project in Fredriksberg, with a modern, sustainable design, sense of community and an attractive service offering. Fredriksberg is a vibrant meeting place in Helsinki and we are very proud of the result of this development project, that the new owners now take over. They will play an important role in the further development of this area”, says Joachim Holmberg, Business Area Manager, NCC Property Development.
Fredriksberg D encompasses 8 500 square meters of lettable area. At the time of sale, the leasing rate is 98 percent, NCC is providing customary rental guarantees effective from the date of transfer. The Finnish media company MTV is one of the tenants in the building.
“We are excited to have the opportunity to acquire a state-of-the-art property in a fast-growing district in Helsinki. NCC has done a great work creating a high-quality office block in Fredriksberg area which is compliant with strict ESG targets that helps the fund to achieve our rigorous sustainability goals”, says Henry Bispinck, Fund Manager, abrdn.
NCC has developed the Fredriksberg office project in four phases where the first three buildings are already completed and sold. Fredriksberg D is expected to be completed in summer 2022.