EQT Exeter to sell modern education property in central Stockholm to Alecta Fastigheter

• EQT Exeter to sell modern education property in central Stockholm to Alecta Fastigheter, the real estate company of the Swedish pension fund manager Alecta
• EQT Exeter has transformed the asset from an obsolete 50 percent vacant Grade C mixed-use building into a sustainable Grade A educational-use property that will host four upper secondary schools for 2,200 students in an attractive and densely populated neighborhood 
• The property will meet the standards for BREEAM In-Use "Very Good" with a high emphasis on sustainable and environmentally friendly building techniques such as recycling of construction materials, energy efficiency improvements and upgrades to the building fabric to improve thermal performance

STOCKHOLM, Dec. 6, 2021 /PRNewswire/ -- EQT Exeter is pleased to announce that EQT Real Estate Fund I ("EQT Exeter") has agreed to sell Hönsfodret 1 (the "Property" or "Southside") to Alecta Fastigheter, the real estate company fully owned by Alecta, one of Sweden's largest pension fund managers.

EQT Exeter acquired the Property in June 2018 after having recognized the need for modern educational-use assets as particularly high in central Stockholm due to the city's demographic development and rapidly increasing population. The Property, located on the island of Södermalm in Stockholm, was a half vacant, mixed-use building comprising a school and office space at the time of the acquisition.

In collaboration with AcadeMedia, a leading education provider in Northern Europe, EQT Exeter developed a clear strategy to refurbish the Property into a prime education building with an increased lettable area. EQT Exeter and AcadeMedia signed a 16-year lease to realize the vision for "Campus Södermalm" that will host four Upper Secondary Schools for approximately 2,200 students.

Under its tenure, EQT Exeter obtained a building permit to expand the Property from approximately 9,500 sqm NLA (Net Lettable Area) to more than 14,000 sqm by exercising the unutilized building rights. EQT Exeter has also undertaken actions to meet the industry standard BREEAM In-Use "Very Good" in the final detailed design. Throughout the development process, EQT Exeter has prioritized environmentally friendly building techniques and incorporated multiple key sustainability features as part of the process of securing key constituent consent. These efforts include recycling of construction materials, efficiency improvements via real-time energy usage monitoring and upgrades to the building fabric to improve its thermal performance.