Castellum in real estate transaction with the City of Gothenburg to enable future urban development

GÖTEBORG, Sweden, Nov. 17, 2020 /PRNewswire/ -- Castellum AB and the municipality of Gothenburg are carrying out a real estate transaction where Castellum is selling a property to the city in exchange for development rights in connection to Västlänken's future Station Centralen.

"I see it as a typical example of a win-win, a good deal for both parties. We get to contribute to urban development in the city center while also offering the city an important piece of the puzzle in southern Gothenburg", comments Henrik Saxborn, CEO of Castellum AB.

Due to intense development in the Frölunda-Högsbo-Sisjö area, the city has reviewed the needs for technical supply of both energy and waste management. The municipality does not own any suitable buildable land in connection with the area in question but has identified the undeveloped property Kobbegården 152:1 as suitable for this purpose. The property is owned by Castellum, and the municipality has a strategic interest in acquiring it.

Castellum was in favor of selling the property to the municipality of Gothenburg in exchange for another development project. In connection with the negotiations, the parties identified a building right located north of Nordstan in central Gothenburg for this purpose.

At Monday's meeting of the property committee, it was decided that the municipality acquires the property Kobbegården 152:1 from Castellum, and that Castellum is at the same time allocated land allotment for a building right of approximately 20-30,000 sq.m. BTA for office and retail space including one of the entrances from Västlänken's future Station Centralen.

"A very gratifying decision which also means that we can build in direct connection to our current properties at the northern end of Östra Nordstan", states Mariette Hilmersson, CEO of Castellum Region West.

The agreed purchase price for the property Kobbegården 152:1 amounts to SEK 23.5 million.

For more information:

Mariette Hilmersson, CEO Castellum Region Väst, +46.31.7440902

Mattias Hedeberg, project developer Castellum Region Väst, +46.723.505313

About Castellum:

Castellum is one of Sweden's largest listed real estate companies with a property value of SEK 98 billion. We are active in 17 Swedish growth regions as well as in Copenhagen and Helsinki. Every day, 250,000 people go to work in our premises. We develop flexible workplaces and logistics solutions in close proximity to city centres and with a lettable area of 4.3 million square meters. One of our sustainability goals is to be completely climate neutral by 2030. Castellum is the only Nordic real estate company selected by the Dow Jones Sustainability Index (DJSI). The Castellum share is listed on the Nasdaq Stockholm Large Cap.

Beyond expectations.
www.castellum.se

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SOURCE Castellum