Capman acquires development site in Finland as activity in the Nordic region heats up

Following two other deals in Sweden earlier this week, the Nordic private equity firm has acquired 11.5 hectares in southern Finland.

Capman has acquired a development site in Vantaa, Finland, for Capman RE II fund, a Finnish development fund which recently closed on €150 million ($201 million).

Capman RE II is believed to be the first private equity fund to target property development in Finland.

In an announcement, the firm said it had bought 11.5 hectares of land in an area called Kivistö in the city of Vantaa, which has been zoned for a “commercial services” district. The price of the deal has not been made public.

Capman closed the Finnish development vehicle at the end of April. With leverage, it has an acquisition capacity of €600 million with leverage.

Altogether, 14 Finnish institutions  committed capital to the fund.

Capman’s activity in the region comes as Finland and other Nordic countries continue to attract interest from real estate funds.

This week, Swedish property investor Niam revealed that its fund, Niam Fund III, sold a 11,300-square-meter property in central Stockholm to the global real estate investment manager PRUPIM, part of the investment arm of Prudential, for around €41 million.

Teesland iOG, the British real estate fund manager, also said this week that it had acquired a €160 million portfolio of properties in Sweden on behalf of its Nordic Aktiv Fund. The Gellivare portfolio comprises 34 multi- and single-leased properties across the industrial districts of Linköping and Norrköping.

That deal comes just weeks after Teesland iOG announced its second closing on the €850 million Nordic Aktiv Fund, which has now raised over €300 million. The fund is investing in commercial properties in Denmark, Sweden, Finland and Norway.