STOCKHOLM, Sweden, Aug. 11, 2005 (PRIMEZONE) -- For the first time since 2002, Skanska Real Estate Stockholm is commencing a new office development project in the Stockholm area. The new project involves the "Gangaren 16" property comprising a lettable area of approximately 11,000 square meters at Lindhagensterrassen in western Kungsholmen. Skanska is investing SEK 300 M in the project.
"We are now clearly seeing scope for new, modern and flexible premises, despite the fact that vacancy rates in older properties are still generally high. The supply of existing large modern office premises has started to decline, which is why we are commencing a new office development project in the rapidly growing Lindhagen district," says Hakan Danielsson, President of Skanska Real Estate Stockholm.
Plans for the office property were made as early as 2002. However, when the market became sluggish, Skanska chose to finish the parking levels and await resurgence in demand from the rental market before progressing any further. Since the foundation is already complete, the project can be finished considerably more quickly than normal. The property will be ready for tenants to move in by the start of next year.
"A very high level of interest is being shown in Lindhagensterrassen and the efficient and flexible premises that we can offer there. During the past six months, both SL (Stockholm Transport) and the telecom company ``3" (Hi3G) have chosen to relocate their head offices here. Consequently, the timing feels precisely right to commence a new office property on speculation," says Hakan Danielsson.
Skanska is planning to build modern office premises at Lindhagensterrassen covering a total of approximately 80,000 square meters. The first two office buildings -- each comprising 12,000 square meters -- were built in 1999 and 2001. In addition to the newly started project, a further two new office buildings are planned, as well as conversion of two older office properties. Skanska has also commenced construction of approximately 170 tenant-owner apartments at Lindhagensterrassen. These apartments have attracted substantial interest.
This and previous releases can also be found at www.skanska.com
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