The property comprises a recently renovated hotel with 330 rooms and is located in Alvik, an attractive area of Stockholm undergoing extensive urban development. Several real estate companies are pursuing development projects in the surrounding area, which are expected to enhance the area's attractiveness and strengthen the property's long-term market position.

The acquisition complements SPP Fastigheter's existing portfolio and increases the company's hotel holdings to three properties. Following the transaction, the hotel segment will account for approximately one-fifth of the total property portfolio. The acquisition will also strengthen the portfolio's long-term cash flow profile by increasing the proportion of rental income secured by leases with long remaining terms.

"We are very pleased to complete this acquisition. It is a high-quality hotel property in an attractive location that aligns well with our investment strategy. The transaction contributes to a well-balanced portfolio with stable and predictable cash flows," says Therese Lidén, Portfolio Manager responsible for SPP Fastigheter.

The acquisition is in line with the company's strategy of building a diversified, unleveraged Swedish real estate portfolio across the hotel, office, residential, retail and social infrastructure segments, with a focus on long-term leases and stable cash flows.

"The acquisition demonstrates Storebrand Real Estate's ability to identify and acquire high-quality properties with potential for further value creation through active asset management," says Henrik Bastman, Managing Director of Storebrand Real Estate's Swedish branch.

As part of its active asset management strategy, several initiatives are planned to further develop the property's sustainability profile and improve its environmental performance. The ambition is to obtain BREEAM In-Use certification for the property, as well as improve its energy efficiency and Energy Performance Certificate (EPC) rating.

DLA Piper, KPMG and Axioss acted as advisers to SPP Fastigheter in the transaction. Completion is expected in December 2026.