Partners buys €450m Nordic RE portfolio

The deal includes 97 retail, office and hotel assets in Sweden and Finland and is the second large portfolio Partners has acquired from Sveafastigheter.

Partners Group has purchased a second portfolio of Nordic real estate assets from Sveafastigheter, part of Brunswick Real Estate.

The Zug, Switzerland-headquartered investment firm bought the remaining assets in Sveafastigheter Fund III worth €450 million, according to a statement. The portfolio sale, which closed on 18 February, included 97 retail, office and hotel properties in Sweden and Finland.

“We continue to believe Nordic markets are well-positioned to perform strongly and also see potential for further value creation in the assets we have bought,” Fabian Neuenschwander, senior vice-president at Partners Group said in the statement. “As before, we secured an attractive price for our clients and also secured debt financing for the portfolio, positioning it well for the next phase of growth.”

Sveafastigheter will continue to manage the portfolio as it did after Partners' previous acquisition, the statement said. Last August, Partners bought a portfolio of 32 properties held in the firm's 2006-vintage Sveafastigheter Fund II worth €340 million.

Partners used several of its funds and mandates to acquire the portfolio, including its $2 billion Partners Group Real Estate Secondary 2013 vehicle, a spokeswoman for the firm confirmed.

Sveafastigheter Fund III is a €317 million vehicle that closed in 2011, according to the statement. The fund focuses on real estate investments in Sweden, Denmark, Finland and Estonia, and four out of its 12 investments have been divested over the last two years.

Founded in 2003, Sveafastigheter focuses on Nordic property investments and currently manages €1 billion, according to its website.