Midstar Fastigheter AB is a pan-Nordic property company focused exclusively on hotel real estate investments, with assets located in Sweden, Denmark, and Norway. The assets will be managed by CapMan Real Estate.

The acquired portfolio comprises 28 hotel properties, offering a total of 4,709 rooms, with plans to increase the capacity to 4,887 rooms by 2027 through targeted value-enhancing initiatives. The hotels complement CapMan Hotels II’s current portfolio very well with properties in major metropolitan areas such as Copenhagen, Stockholm, Gothenburg, and Oslo in addition to regional hotels in prime locations, aligning with CapMan’s focus on high-quality assets in key markets.

“We are excited about this transaction and its positive impact on our hotel fund. The acquisition of this high-quality portfolio outside of Finland strengthens our position as a key player in the Nordic hotel investment market, and it aligns perfectly with our investment strategy. We see significant potential in this platform and are confident in its ability to deliver strong returns, driven by the continued growth of the Nordic hotel market”, says Mika Matikainen, Managing Partner of CapMan Real Estate.

“CapMan Hotels II is a well-performing five-star rated fund in the GRESB sustainability benchmarking, and we are equally committed to enhance the sustainability performance of the Midstar Fastigheter portfolio. In addition to sustainability improvement efforts, we will be working closely with the hotel operators to identify and implement other value-enhancing initiatives”, says Thomas Laakso, Partner, CapMan Real Estate.

The acquisition grows CapMan’s assets under management by EUR 0.4 billion and significantly supports CapMan’s objective to increase assets under management to EUR 10 billion during the ongoing strategy period. It is also an excellent example of how CapMan can generate growth by scaling of existing products, which is one of CapMan’s three main growth levers alongside new product launches and M&A.

The agreement was signed on February 19th, 2025. The transaction is subject to customary regulatory approval from the Swedish Competition Authority and the transaction will close shortly after such approval has been granted.

In connection with the transaction, SEB Corporate Finance, Skandinaviska Enskilda Banken acted as sole financial advisor to CapMan Hotels II. Mannheimer Swartling Advokatbyrå AB acted as the lead legal advisor and CBRE as commercial advisor.

JLL was the seller’s advisor.