This English text is an unofficial translation of the original Swedish release. It is provided solely for convenience. If any differences arise, the Swedish version shall prevail and is the only official information.
Titania has entered into an agreement to sell the leasehold on which the building rights for the Hälsans hus care facility project in Lidingö are located. The buyer is Credentia, and the agreed property value amounts to SEK 52,000,000. The price corresponds to approximately SEK 7,500 per square metre of lighted gross floor area of building rights.
The sale is being executed at Titania’s book value. Hälsans hus is located in Högsätra Centrum, and the detailed development plan was prepared in collaboration between Titania and the City of Lidingö between 2021 and 2024. The leasehold was originally allocated to Titania as a land assignment by the City of Lidingö, meaning that the company did not incur any initial land investment. The transaction therefore represents significant value creation and a liquidity boost for Titania.
Through the transaction, Titania transfers responsibility for the project’s implementation to Credentia, a company with a strong focus on care facilities and community properties.
“This is an excellent transaction for Titania. We are realizing a property value of SEK 52 million for building rights where we have had no initial land investment, and we are doing so entirely in line with the valuation. This demonstrates the strong demand for building rights in Stockholm, especially considering that what the buyer is paying for constitutes only the added value of a leasehold. For freehold land, the price would have been significantly higher. The transaction also clearly shows the substantial value we create through our early work in developing complete detailed plans. Titania can realize value at every stage of the development process, and we do not always need to complete construction ourselves. For us, and for this particular project, it was strategically the right decision to hand over the project to Credentia, which is fully focused on care facilities and is very well suited to carry Hälsans hus through to completion. For Titania, the transaction means increased liquidity and a clear focus on our core business—residential development,” says Fredrik Wisborn, Head of Transactions at Titania.
For further information, please contact:
Anders Söderlund, CFO & Head of IR
[email protected], Tel: +46 8‑668 44 44
About Titania
Titania is a property development company focused on the in‑house development of residential housing in the Stockholm region. The company has the capacity to manage large-scale urban development projects from the early stages of the zoning process through to the completion of newly built residential areas. Titania retains a majority of the properties it develops as rental housing for its own long‑term management.
The company was founded in 2005 and is listed on Nasdaq First North.
Titania’s certified adviser is Eminova Fondkommission AB, Tel: +46 8‑684 211 10, email: [email protected]
