Swedish property company Sagax AB said Thursday it has invested 1.19 billion Swedish kronor to acquire a 10.8% stake in Retail Estates NV, signaling a diversification from its core industrial real estate focus.
The investment in the Benelux-focused retail property owner is a notable departure for Sagax, which primarily invests in the warehouse and light industrial segment.
According to the company, Retail Estates is a real estate investment trust listed in Brussels and Amsterdam that owns and manages a portfolio of 1,021 out-of-town retail properties.
The portfolio was valued at 22.9 billion kronor and had an occupancy rate of 97.5% as of June 30, Sagax said.
Sagax has been active in the Benelux region since 2016 and its existing property investments there were valued at 9.8 billion kronor at the end of the second quarter.
The move follows a period of active expansion for Sagax, which has recently announced a series of direct acquisitions of industrial and warehouse properties across Europe.
More from this issuer
Related coverage
Swedish property company Sagax AB on Friday reported a rise in third-quarter rental revenue but a sharp drop in net profit, as it confirmed a major investment into the retail sector.
Swedish property company Sagax AB reported a 34% drop in first-half profit, as negative revaluations on its property portfolio and financial instruments overshadowed growth in rental income.
Swedish property company Sagax AB said on Monday it has agreed to acquire 13 properties in France for 480 million Swedish kronor, continuing its strategy of expanding its European real estate portfolio.
Swedish property company Sagax AB said it has invested 910 million Swedish kronor in eight properties across Europe, continuing its expansion in the warehouse and light industrial sector.