NCC has sold a retail property, Lielahti Center, in Tampere, Finland, to the Finnish pension insurance company Keva. The sale will have an impact on earnings during the second quarter of 2014.
The transaction is being implemented on a forward funding* basis. The purchase price is yield-based and the final purchase price, which is estimated to approximately SEK 390 million, is set at project completion and will be based on operating net at the time.
The project comprises a total of 15,000 square meters, including 13,330 square meters of leasable retail and service space. The project will be completed in April 2014. The current leasing ratio is 44 percent and NCC is responsible for leasing the remaining vacant space up to completion, and three years thereafter.
“The Lielahti Center is being developed with high ambitions of creating value for the citizens of Tampere. The project has a strong emphasis on environmental issues and as one of the leading property developers in the Finnish market, we are actively driving sustainability as part of our business”, says Joachim Hallengren, President of NCC Property Development.
The Lielahti Center has been developed in cooperation with the city of Tampere. The project will improve both shopping and public services in the Lielahti area. The services consist of a library and several health and social services, such as a child welfare clinic and a service center for the elderly. The Lielahti Center will also house other service providers and specialty stores, among others H&M.
The Lielahti Center is aiming for BREEAM environmental certification at the Very Good level.
The sale will be recognized in the profit of the NCC Property Development business area.
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