Nordic real estate

Prius is investing in Nordic real estate assets with prime location or unique opportunities - only in the Capitals or suburbs.

The Nordic regions was one the most affected areas during economical set-back, however the region has recovered it a greater pace than other European countries.

Stockholm real estate market is marked by the progressive Swedish economy. Vacancy rates are declining, take-up increasing as well as rental rates. The down-turn in Swedish real estate has not been as significant as in other European countries. Investors have been able to divest assets, also during crisis-time, with profit, resulting in a broad and strong and going-concern group of investors.

Copenhagen real estate market has moved very slowly compared to its neighboring Capitals, mainly due to the enormous backlog of portfolios 'caught' in bankruptcies. During 2010 the financial institutions and banks started to divest properties and portfolio, which they reluctantly became owners of. Transactions were featured with high-leveraged transactions, indicating that the actual market might not have been reached. The prime yield has stagnated since 2007 and remains at a level around 5%.

Financing is once again accessible and acquiring on-market real estate requires an equity-ratio app. 30%. Therefore primarily institutional investors invest in the Danish Capital.  At Prius we consider the Danish real estate market an attractive special-situation market exploiting deviations in the market.

Copenhagen market update - Spring 2011

For Danish Investors - investing with pension funds

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