SLP acquires Swedish logistics property for €57m

Swedish retail estate company Swedish Logistic Property (SLP) has bought a 28,000 m2 logistics property in Gothenburg for SEK 625 mln (€57 mln). 

The Göteborg Sörred 7:8 property has a lettable area of approximately 28,000 m2.
A Tata Group company will lease the entire property for roughly 12 years at an annual rent of SEK 39.6 mln (€3.6 mln). The deal, financed by SLP's funds and bank loans, hinges on the Tata Group formally taking over operations from previous tenant Torsholmen Fastighets and guaranteeing the lease. 
SLP expects to take preliminary ownership in June and will make the payment from its own funds and bank financing.
Gothenburg's location, near a major port handling 30% of Sweden's foreign trade, makes it a prime logistics hub.
Tommy Åstrand, CEO of SLP, said: "We are very happy and proud to have acquired this property, which has an excellent strategic logistics location in Gothenburg. In addition, there is a building right to the property with additional development opportunities that can be utilized."