Corem Property Group

Corem has signed an agreement with Capstone Equities to divest the project property 28&7 in Manhattan New York at a underlying property value corresponding to approximately SEK 770 million based on today’s exchange rate.

The total leasable area amounts to approximately 9,300 sq.m, consisting mainly of premises for offices complemented by restaurants on the ground floor. Transfer of the property is planned to take place at the end of August 2025.

The divestment causes a net profit effect of approximately -215 million SEK, which is mainly due to the challenging combination of averse market conditions during the project period, including increased production and project financing costs, as well as an extended completion time.

For the entire interim period (January-June 2025), Corem's total divestments amount to around 3.5 billion SEK in underlying property value, with a net profit effect of approximately -135 million SEK.

“The sale of 28&7 is well-timed for us as the project is nearly fully completed and leased. As we are now refining Corem, a reduction in the US portfolio is a long-term strategic choice. The aim is to focus on our main market consisting of strong cities within the Swedish real estate market. All divestments during the period enable a continued optimization of our financial structure, something we see provides positive long-term effects", said Rutger Arnhult, CEO of Corem.

Corem Property Group AB (publ)

For further information, please contact

Rutger Arnhult, CEO, +46 70 458 24 70, rutger.arnhult@corem.se
Emelie Mörndal, Head of US operations, +46 10 482 70 38, emelie.morndal@corem.se
 

Corem Property Group AB (publ)
Box 56085, SE-102 17 Stockholm
Visit: Riddargatan 13 C
Corp ID no: 556463-9440

www.corem.se

This press release has been published in Swedish and English. In the event of any discrepancy between the language versions, the Swedish language version shall prevail.