Telia continues to streamline operations - by selling real estate properties in Stockholm
- 2001-08-31 22:00 UTC
Telia is continuing to streamline its operations by selling its real estate properties in Farsta, located just outside Stockholm, to Nordisk Renting AB. The sales price for all properties, which include Telia's head office building, totals SEK 1,030 million. A rental agreement was also signed between Telia and Nordisk Renting. The sale covers buildings with a total area of 101,600 square metres. In addition to this transaction, Peab Sverige AB is acquiring the construction rights in the area. The capital gain is estimated to slightly less than SEK 500 million.
In connection with the sale of the properties, the parties have also reached an agreement covering the construction of a new parking garage with 420 spaces next to Telia's headquarters building. Peab is the main contractor for this project. Peab's wholly owned subsidiary, Kungsfiskaren, is also taking over management of the properties included in the sale. In addition, there are unutilised construction rights in the area. These are being purchased by Peab, which plans to build around 450 apartments and premises for local service and other businesses.
"The divestment of these properties is part of Telia's strategy to focus more on its core business," says Thomas Mann, president of Telia's real estate management company, Telia Fastigheter AB.
"We really appreciate having Telia as a customer. The company is the type of stable and long-term tenant that suits our strategy," says Göte Dahlin, president of Nordisk Renting AB. "We look forward to further developing the properties in Farsta, which we believe will be one of the areas of Stockholm with major development potential in the next few years."
Telia's buildings, built for the most part during the 1960s, have been extensively renovated in recent years and meet high, modern standards today. All of the buildings, consisting primarily of office space, are being utilised by the Telia Group and associated companies. Nordisk Renting is taking over the properties on September 1.
Thomas Mann, President of Telia Fastigheter AB, phone +46 8 713 26 95 or +46 705 853 047 (mobile).
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