Barings has completed a €72 million ($85 million) off-market acquisition, on behalf of institutional investors, of Skvalberget 33, a 6,185-square-meter (66,575-square-foot) office building in the CBD of Stockholm, from BLDG Holding AB. The transaction underlines Barings’ conviction in the continued importance of the office as the central focus of businesses’ working practices.
Comprising eight-stories, Skvalberget 33 is fully let to four tenants on leases, with an average of 2.6 years to break, and is currently significantly under-rented. Current occupiers include Academic Work, Meltwater and Stratsys. The final tenant, Beckmans Design School, which occupies three floors, has indicated that it intends to exercise its lease break in 2.5 years, presenting an opportunity to upgrade this space, as part of a wider asset management plan, and capture reversion.
Barings also intends to upgrade the entrance hall and communal facilities, including changing rooms and bic
