The year in brief

External factors have affected the construction and real estate industry in many ways. The COVID-19 pandemic created material shortages and supply chain problems, which led to increased construction costs that accelerated as inflation skyrocketed. Interest rates rose and have continued to rise, and higher energy prices have impacted management costs. As a result of these factors, some projects have been postponed.

The unstable energy market, with increased energy prices and potential power shortages, provides good business opportunities for companies that solve the challenge. Through our own solar panel parks and property battery solutions, our dependence on energy prices is reduced, as well as the climate footprint. This in turn creates synergies and strengthens our position as an innovative property developer.

LOIs (Letter of Intent) for land purchases have been drafted and permit processes have begun. In the coming years, we will focus on developing similar projects. To this end, we have strengthened our organisation in the areas of property development, mobility and energy.

This year we have started our second facility, Stationsstadens Hub Park in Kävlinge. And the zoning plan for our largest project, Ellstorp, has gained legal force. In Trelleborg, together with Kvarnstaden, we have a land allocation for the development of mobility houses, grocery stores and housing. We finished the year strong with two won LOU procurements (procurements conducted according to the Swedish Public Procurement Act) in Gävle and Uppsala, which makes us nationwide.

We continue to have active dialogues with several municipalities and private land developers around Sweden. Despite the challenging times, we are highly optimistic about future opportunities involving new energies and new synergies.