Compass Portfolio, Stockholm, Sweden

Background and Opportunity

  • Acquisition from an institutional seller of two Greater Stockholm retail properties totalling 33,000m² which were secured by organising a sub-sale of two larger assets that were felt to be too dry for an opportunistic strategy
  • Business plan: lease up vacancy; reconfigure and re-gear leases; develop small bolt on extensions; re-organise the service charge regime and improve sight lines

Transaction Progress

  • Lease up, reconfiguration and service charge optimisation proceeded ahead of plan, adding 20% to the NOI

Current Status

  • One asset was sold to an institutional buyer
  • The second asset was sold in a tax efficient exit to our JV partner, generating an overall IRR of 88% and a 2.2x multiple to the KHCP III investors