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Regulatory press release

Samhällsbyggnadsbolaget i Norden AB: SBB acquires elderly care homes in Greater Stockholm as well as rental apartments and elderly care homes in Helsingborg for SEK 2.5bn and sells non-strategic properties for SEK 1.7bn

Samhällsbyggnadsbolaget i Norden
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Samhällsbyggnadsbolaget i Norden AB (publ) ("SBB") has entered into an agreement to acquire 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 acquisitions comprise a total area of 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 sell non-strategic properties for approximately SEK 1.7bn. The sales amount exceeds the most recent external valuations (as per 31 March 2021) by approximately 13 percent.

"This is the largest elderly care home transaction made in the Nordics. SBB continues to be transaction intensive, where we strengthen our portfolio through the acquisition of elderly care homes with long leases and Swedish rent regulated residentials, and divest non-strategic properties consisting primarily of public office buildings. The transactions once again show the ability of Europe's strongest real estate team to deliver results from our value-add strategies," says Oscar Lekander, Head of Business Development, Samhällsbyggnadsbolaget i Norden AB.

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

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