Justificación de la propuesta: objetivos y limitaciones

Manufacturing center

with a growing population

ter for retailing and textile manufacturing operations for more than a century. Recovery following the decline of the textile industry is well under way, and Borås now has a posi- tive demographic trend. The university college is expanding and there has been a substantial increase in the number of students since the late 1990s. Borås, with its clothing compa- nies, agencies, mail-order companies and former textile fac- tories is still permeated by its traditions as a manufacturing center, but it also has a high proportion of employees in the health and medical care sector.

For three hundred years, the “Borås peddlers” traveled around the countryside selling textile, wooden and metal products in marketplaces all over Sweden. This entrepre- neurial inheritance has led to a focus on retailing and com- munications and, more recently, to investment in various road and rail infrastructure projects.

The largest current project is the construction of the Borås Arena stadium which will accommodate up to 15,000 spectators. There are signs of a growing demand for new housing facilities. The municipality’s aim is that access to higher education, demographic growth and improved com- munications will pave the way for the construction of residen- tial accommodation, making the town increasingly attractive. Markets

There is keen competition in the office market in Borås. Rents have been virtually static since the property-market crisis of the early 1990s. In the long run, however, there is some potential for higher rents, due to a growing population and good communications.

Rents for office floor space in prime locations are in the SEK 800–1,000/ m2_{range, with peak rents of 1,300/ m}2_.

Vacancies are 4–8% in prime locations. Borås is a rela- tively expansive manufacturing center, with several attractive industrial areas such as Regementet, Viared and Ramnaslätt.

Production floor space in prime locations costs SEK 375–675/m2_{, with a very low vacancy rate of 0–5%.}

The vacancy rate in the housing market has declined, and there is currently a housing shortage. Rents for residen- tial accommodation in relatively modern properties are SEK 825–950/ m2_{, with a yield requirement of 4.75–6.0%.}

The major property companies are the municipality, Akelius Fastigheter, Borås Wäferi, Acta, Svalankonsortiet, Andersson Förvaltning, Kungsleden and Harry Sjögren AB/Castellum.

The yield requirement is considered to be about 7.5–8.5% for offices and around 8–10% for industrial prem- ises. The low yield requirement indicates considerable faith in the future on the part of property companies.

Regementet Borås

Vasallen’s portfolio in Borås at the former I15 military facil- ity has a central and strategic location with a direct link to the national “Riksväg 40” highway, and a travel time of 25 minutes to Landvetter airport and 45 minutes to Göteborg.

The area is considered to be an A location for offices and a B location for housing and warehouses/industry.

Regementet covers 70 hectares, and includes over 30 buildings and about 39,100 m2_{of premises floor space, of}

which approximately 64% was leased at year-end. With the construction of the Älvsborg Link through Vasallen’s property, Vasallen has one of the most attractive locations in Borås for new business operations. The Älvs- borg Link will result in additional centrally located and attractive building permits for a total of 50,000 m2_{of floor}

Activities during 2005

During the autumn, a marketing campaign which attracted a major response was directed at business interests in Borås. The aim was to demonstrate the advantages and potential of the Regementet area and to attract new tenants, primarily to the central office building and the remaining barracks properties.

Two additional sites along the Alvsborg Link were sold, for the establishment of an ambulance headquarters for example.

Customer structure

Regementet’s main profile areas are offices, education and logistics.

The largest tenant is ICA Bank, which is leasing an entire barracks block for its headquarters. Other major tenants are Redcats Nordic AB and the Portalens Gymnasium school.

During the year, a lease was signed with Eltel AB for office and warehouse premises. Leases were also signed with Elektrokök and Sannevings Åkeri.

ACG Nyström established operations in the area as a result of construction of the Älvsborg Link.

Future development

Detailed planning for routing of the Älvsborg Link is con- tinuing, with opportunities for building permits for offices and light industry. This also provides for production of new housing facilities in a first-class location with a panoramic view over the town.

Considerable progress has been made in developing Regementet, and the final assignment is leasing of the remaining barracks premises and the headquarters building. Leasing will continue to focus on marketing of these build- ings, both in Borås and in the region as a whole.

The feasibility of building permits for retail operations will be investigated during 2006.

During the year, the National Rail Administration will be conducting a pilot study for routing of the new Götaland rail link through central Borås. Several of the options under consideration will result in reinforcement of the area’s mar- ket position.

LEASE PORTFOLIO BY SECTOR, ANNUAL RENTS PROPORTION OF THE GROUP’S REMAINING LEASE VALUE POSITION IN BORÅS

RENEGOTIATION OF LEASE PORTFOLIO, ANNUAL RENT SEK M MAJOR TENANTS

Tenant

ICA Fastighets AB (ICA Bank) Portalen Kompetens AB Ericsson Microwave Systems AB

LEASE PORTFOLIO AT DECEMBER 31, 2005

Annual rent, Proportion, Premises Leased until SEK M % floor space, m2

2005 2006 2.7 17 6,890 2007 2.0 12 4,125 2008 0.4 2 500 2009 3.7 23 7,588 2010 2011 7.4 46 6,078 2012–13 2014 2015 et seq. Residential, etc. Total 16.2 100 25,181

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