Hines European Core Fund Takes Ownership of Fully Leased Nordic Swan Eco-labeled Development in Copenhagen

(COPENHAGEN, DENMARK) – Hines, the international real estate firm, has taken full ownership of Trikotageparken, its first residential project in The Nordics.

Located in Copenhagen’s Østerbro district in the east of the city, the asset was acquired in April 2020 from developer Bonava on behalf of the Hines European Core Fund (HECF) as a forward funding purchase. The new homes were completed in October 2021 and are now fully owned by HECF. All the 121 apartments are fully let and total 10,508 square meters across three buildings.

Trikotageparken was designed by architects Praksis Arkitekter and is named after Julius Hansens Trikotagefabrik, a knitwear factory that occupied the site until the 1970s. The development’s residents will benefit from easy access to local amenities ideal for families and young professionals such as the nearby forest and park, schools, kindergartens, Tuborg Harbour and the waterfront shopping center.

Recognized by the Nordic Swan Ecolabel accreditation for high levels of sustainability, this development forms part of HECF’s strategy to increase its residential investments across the Nordics. The acquisition underlines HECF’s continued commitment to financial and ESG performance, the latter mirrored by its recent GRESB success. HECF achieved the highest possible rating of five green stars out of five for an unprecedented fifth year in a row, achieving a score of 96, its highest score to date and once again coming first in its peer group and being awarded sector leader for a fifth consecutive year.

To qualify for the Ecolabel, the development must meet strict criteria covering every stage of the building’s life cycle, including materials used and long-term use. The development also includes communal, landscaped green spaces and a playground, with the apartments benefitting from flexible design options and large windows that provide natural light.

Simone Pozzato, Managing Director and HECF Fund Manager, at Hines, said: “Through HECF, we are continuing to increase our exposure to the living sector with high-quality assets that combine strong real estate fundamentals and the highest sustainability criteria, meeting the growing demand of families and young professionals. As an excellent example of high quality ‘green’ residential design in Europe, our investment in Copenhagen’s Trikotageparken reflects this ambition.”

James Robson, Senior Managing Director and Country Head – The Nordics, at Hines, commented: “As our first residential project in Denmark, we’re pleased to report there has been strong demand for all 121 apartments, which are fully let and occupied. We’re looking forward to seeing the scheme continue to develop into a highly sustainable residence and are excited at the prospect of growing our residential portfolio in this region, which is currently undersupplied in terms of residential stock.”

In November 2021, Hines also announced it had acquired Mariendalsvej 55-57, the Company’s second living asset in Denmark, for an undisclosed price, which marked HECF’s fifth living purchase.

About Hines

Hines is a privately owned global real estate investment firm founded in 1957 with a presence in 255 cities in 27 countries. Hines oversees investment assets under management valued at approximately $83.6 billion¹. In addition, Hines provides third-party property-level services to more than 367 properties totaling 138.3 million square feet. Historically, Hines has developed, redeveloped or acquired approximately 1,486 properties, totaling over 492 million square feet. The firm has more than 171 developments currently underway around the world. With extensive experience in investments across the risk spectrum and all property types, and a foundational commitment to ESG, Hines is one of the largest and most-respected real estate organizations in the world.

Since entering Europe in 1991, Hines has grown its European platform to include offices in 16 cities as well as a presence in 62 cities in 13 countries. Hines oversees investment assets under management valued at approximately €21.7 billion and provides third-party property-level services totaling 3.9 million square meters in Europe, in Austria, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Netherlands, Poland, Spain and the United Kingdom.

Visit www.hines.com for more information.

1. Includes both the global Hines organization as well as RIA AUM as of 30 June 2021.

About Hines European Core Fund (HECF)

The HECF was set up in 2006 with the aim of providing investors with a resilient income profile and benchmark’s outperformance, derived from a diversified portfolio of high-quality assets located in prime locations across major European cities. As of Q3 2021 the HECF portfolio was 97.5% occupied with an aggregate fund value of c.€2.4bn. The portfolio of the Fund comprised 32 assets including forward commitments, invested in 16 city markets across ten different European countries.

About Bonava

Bonava is a leading residential developer in Northern Europe that creates homes and neighbourhoods where people have the highest quality of life. The company is the first residential developer in Europe to receive approval from the Science Based Targets initiative for its climate targets. With its 2,100 co-workers, Bonava develops residential housing in Germany, Sweden, Finland, Denmark, Norway, St. Petersburg, Estonia, Latvia and Lithuania, with net sales of approximately SEK 17 Bn in 2020. Bonava’s shares and green bond are listed on Nasdaq Stockholm.

Image courtesy of Vismo/Bonava
Caption Image courtesy of Vismo/Bonava