In total, the letter of intent concerns 681 apartments, divided into 264 apartments under management in Gothenburg, Ale and Vänersborg municipalities with a living space of 17,234 square meters and 417 apartments under construction in Gothenburg and Ale municipalities with a total living space of 24,843 square meters.

The usual sales process with technical and financial review is progressing and, provided that the parties enter into binding transfer agreements, the completed properties are expected to be handed over in the third quarter of 2025.

The apartments under production are being sold through a so-called forward sale, where the buyer takes possession of the shares and pays the purchase price after the projects are completed, which is estimated to be the second quarter of 2026, the first quarter of 2027 and the second quarter of 2027, respectively.

The annual rental value of the completed properties amounts to approximately SEK 39 million and the expected rental value of the properties sold through forward sale is SEK 72 million.

The transaction is being made at a total portfolio value of SEK 1,888 million with a 50 percent deduction for deferred tax, corresponding to an expected net value of SEK 1,839 million. The net book value is expected to amount to SEK 1,856 million upon completion.

The transaction is estimated to provide K-Fastigheter with a net liquidity injection of approximately SEK 592 million during the period, where SEK 198 million is expected to be received in 2025, SEK 104 million in 2026 and SEK 290 million in 2027. The liquidity injection will be used to strengthen the balance sheet and to enable construction starts.