Nordic property investor NREP has paid about €200 million for a portfolio of 13 elderly care homes in Sweden.
The facilities have been bought on behalf of the NREP Income+ fund and were acquired from Swedish property developer and manager Fastighets AB Stenvalvet.
[Image: George Arthur Pflueger/Unsplash]
NREP said the portfolio increases its care home platform Altura’s assets under management to over €1 billion and “raises its exposure to demographically-driven projects that make a tangible difference to society.”
The care homes are spread across ten different municipalities, and provide about 500 senior living apartments leased to a range of public and private operators. The portfolio is fully operational and leased, with less than 1% vacancy.
NREP said it has identified opportunities to enhance the quality and value of the homes through a number of sustainability initiatives that will reduce the properties’ climate footprint. An asset management programme is planned that includes refurbishments and extensions.
Jani Nokkanen.
“We remain unwaveringly consistent in our customer-centric approach to investment, and consider the care sector to present a particularly attractive opportunity to deliver solutions to a clear societal problem,” said NREP CIO Jani Nokkanen.
The share of the Nordic population over 80 years of age is forecast to grow by 50% over the next ten years.
The NREP Income+ fund is an open-ended core-plus fund aimed at long-term investments into modern logistics facilities, middle-income residential, offices as well as care homes.
NREP was advised on this transaction by Real Advokatbyrå, Svalner, Niras and RED Management.
Author: Paul Strohm