The building was completed in 2024 and comprises approximately 35,600 square metres of modern logistics space. The property is fully leased to ICA and Twistshake under long-term agreements. ICA is one of Sweden’s largest grocery retailers and accounts for the majority of the rental income, while Twistshake is a market-leading baby products company founded in Västerås.

The transaction represents South Bay’s seventh investment and strengthens the portfolio’s cash flow profile through stable, inflation-protected income from tenants with clear growth prospects. The portfolio is concentrated in prime locations within Sweden’s logistics triangle, in markets where new supply has been balanced relative to demand.

“We are deepening our presence in the growing city of Västerås, in line with our strategy of focusing on the right products in locations characterised by strong tenant demand. We welcome our new tenants, ICA and Twistshake, and also look forward to continuing to develop our cooperation with MG,” says Felix Paljak, CIO and Partner at South Bay.

The property is located in the Hacksta industrial area in Västerås, a rapidly growing logistics hub rooted in Swedish industry and the food sector. The area’s strong transport links and proximity to central Västerås and the port create favourable conditions for modern and efficient logistics operations. The property is also located close to South Bay’s other development project in the area, which will be completed after the summer of 2026, offering approximately 12,600 square metres of lettable space for tenants requiring swift occupancy.

Real Advokatbyrå acted as legal adviser to South Bay in the transaction.

Savills, CBRE and Morris Law advised the seller.