Entra ASA signed a real estate swap agreement with Aberdeen Eiendomsfond Norge I As that will see the former pick up an Oslo asset for 850 million Norwegian kroner and dispose of three properties in the same city to the latter for 1.1 billion kroner.
Entra will purchase the 16,530-square-meter St. Olavs plass 5 property, which is fully leased to the faculty of law of Oslo University until December 2019, when the tenant will relocate to new premises in Tullinkvartalet in Oslo, which the Norwegian developer is constructing. The university faculty will take on a 25-year lease at the new complex through a deal that will see Entra taking on the remaining six years of its rental obligation at St. Olavs plass 5 toward Aberdeen.
Aberdeen will in turn acquire the Tollbugata 1, Pilestredet 19-21 and Pilestredet 28 properties in Oslo from Entra, according to a release.
The swap transaction is expected to close in two stages, with the Pilestredet 28 deal to close Jan. 4, 2019, and the remaining asset deals, including St. Olavs plass 5, to close in the fourth quarter of 2019.
As of Dec. 12, US$1 was equivalent to 8.57 Norwegian kroner.