Fabege: New hotel at the gateway to Stockholm

Regulatory News:

Fabege (STO:FABGA) has signed a 20-year lease with The Winery Hotel, which is jointly owned by Star Management AB and HKC Hotels AB, for a hotel at the Järvakrogen 3 property in Solna, which is located at the E4/E18 motorway interchange. The lease covers 7,500 sqm of hotel space and the hotel is expected to be completed in September 2015.

The new visionary concept behind the hotel was developed with focus on the substantially increased interest in wine and winemaking in Sweden. The building’s architecture with brick walls and large sections of glazing is inspired by that of a large market hall buzzing with life round the clock. The development will include a winery producing its own wine, a wine bar, a delicatessen, a restaurant and the largest vinotheque in Sweden. This is an entirely new meeting concept in a market hall environment with a focus on events. To further amplify the wine-based concept, the hotel will be enclosed by a brick wall and a large open-air restaurant with pergolas and grapevines. On the roof of the hotel, with views over Brunnsviken lake and Haga Park, a health club will be constructed with a spa and a yoga studio.

The total annual contracted lease value is about SEK 24m, which will be recognised under net lettings from the third quarter of 2013. Fabege’s investment in the project is estimated at SEK 260m.

"The Winery Hotel will be a truly exciting addition, with a completely unique concept for Sweden and interesting architecture that will enrich both Solna and the entire gateway to Stockholm,” says Klaus Hansen Vikström, Director of Business Development at Fabege.

Fabege AB (publ)

This constitutes information that Fabege AB (publ) may be legally obliged to disclose under the Securities Market Act and/or the Financial Instruments Trading Act. The information was released for publication at 08:00 am CET on 8 July 2013.

Fabege AB (publ) is one of Sweden’s leading property companies focusing mainly on letting and managing office premises and property development. The carrying amount of the company’s property portfolio is approximately SEK 32.2bn. The portfolio is concentrated in the Stockholm region and has an annualised rental value of SEK 2.3bn and a lettable area of 1.1m sqm. Fabege’s shares are listed on Nasdaq OMX Stockholm, Large Cap segment.

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