Wistrand advises SBB on largest elderly care home transaction made in the Nordics

Wistrand has advised Samhällsbyggnadsbolaget i Norden AB (publ) (”SBB”) on the largest elderly care home transaction made in the Nordics.

The acquisition comprises six elderly care homes in Greater Stockholm as well as rental apartments and two nursing homes in Helsingborg to a value of approximately SEK 2.5bn. The total area is ​​approximately 70,000 sq.m. with a rental value of approximately SEK 107m generating a net operating income of approximately SEK 95m. The average term for the elderly care homes is approximately 14.5 years.

In addition, SBB has entered into a cooperation agreement with Svenska Stadsbyggen for the construction of six elderly care homes with a total area of ​​approximately 43,000 sq.m. and an annual rental value of approximately SEK 81.5m, generating a net operating income of approximately SEK 76m.

SBB has also entered into agreements (of approximately SEK 1.1bn) and letters of intent (of approximately SEK 0.6bn) to properties, consisting primarily of public office buildings, for approximately SEK 1.7bn. The sales amount exceeds the most recent external valuations (as per 31 March 2021) by approximately 13 percent.

Closing is expected before the end of the second quarter 2021.