* During the third quarter, K-Fastigheter acquired building rights in Järfälla and Eskilstuna with the possibility of building a total of approximately 422 apartments and premises. During the same quarter, a project in Strängnäs with 72 apartments was completed.
* After the end of the quarter, K-Fastigheter made additional transactions with Viga, co-founder and owner of Danish Viga Real Estate. A previous transaction in which Viga purchased a portfolio of properties in Copenhagen is now complemented by a transaction for a total of 681 apartments in Western Sweden.
* K-Fastigheter has acquired building rights for the construction of rental apartments in Gothenburg by acquiring 50 percent of the shares in the company that develops the properties in Björlanda on Hisingen. On the properties, K-Fastigheter and Alhem Fastigheter AB intend to build approximately 260 rental apartments and two premises.
Key indicators for the period 1 January-30 September 2025
(corresponding period in 2024 in parentheses)
- Income Construction: SEK 1,436.6 million (1,280.6)
- Income Property Management: SEK 765.8 million (456.5)
- Earnings per share, Construction: SEK 0.21 (0.94)
- Earnings per share, Property Management: 0,52 (0,42)
- Net asset value per share: SEK 24.67 (24.80)
A message from the CEO
The third quarter was relatively uneventful compared with the first half of the year, when we announced three separate transactions that together generated approximately SEK 1,100 million in liquidity. Of this amount, just over SEK 600 million will accrue to us as we transfer projects sold through forward sale agreements, that is, projects under binding contracts where the property is sold during construction. The buyer will take possession upon completion of construction and fulfilment of customary conditions.
We have faced a challenging market climate over the past few years, which has been demanding. The world around us will always be changing, and our potential success is dependent on how quickly we can adapt. With this in mind, we have now initiated a review and update of our current business plan.
So, what do we foresee for the future, and how will we approach it?
According to the latest population forecast from the National Board of Housing, Building and Planning (Boverket), Sweden's population is expected to grow by 200,000 by 2034. Breaking the figures down by age category, we can see that the population under the age of 20 will decline by 200,000, the 20-64 age group will remain largely unchanged, and the 65+ population will increase by 400,000. The average household size in the 65+ category is 1.9 persons, compared with an overall average of 2.2 persons per household.
In addition, two out of three municipalities are experiencing population decline, while the urbanization trend seen over several decades appears set to strengthen further.
In the business plan we presented in spring 2024, we opened up the possibility of divesting properties to finance new projects, since project development and the completion of properties developed in-house are the business areas within K-Fastigheter that generate the highest return on invested capital. This means that all of our wholly owned properties are available for sale at the right price levels, where we see opportunities to reinvest the released capital into new projects with high returns.
Our current business plan focuses on developing projects in locations where we identify a strong rental market for the properties we construct, while also ensuring solid demand for their eventual sale. Completed projects are intended to be sold to generate capital that can be reinvested in new developments or distributed to shareholders. Consequently, we are sharpening our focus on projects located in and around major cities and university hubs. By refining our geographic focus and concentrating on the projects that can best be described as "the cream of the crop," volume will no longer be our primary goal - profitability and risk minimization will.
Focus is often key to performance, and this is one of several reasons behind our partnership with Brinova. Since April, Brinova has been one of K-Fastigheter's subsidiaries, managing attractive rental properties in the Öresund region efficiently and with a long-term approach.
K-Fastigheter's goal is to distribute Brinova to shareholders when the conditions are right. After that, K-Fastigheter will focus on the business areas of Project Development, Construction, and Prefab - the business areas that together have generated 80 percent of our profit since the company's stock exchange listing. We will also remain a long-term owner of our subsidiary K-Fast Kilen. K-Fastigheter holds a 51 percent stake in the company, while Kilenkrysset owns the remaining 49 percent. The company currently has 615 completed apartments and 679 under construction.
As mentioned earlier, the third quarter has been less eventful in terms of business activities and transactions. What we have done, however, is to begin aligning with the journey outlined above, where cost efficiency and profitability are prioritized over volume. We initiated a savings programme during the quarter. The first phase involves an adjustment of staffing levels across all business areas and at the central level, reducing a total of 30 positions. This will generate annual savings of approximately SEK 30 million, with full effect expected by the end of the first quarter of 2026. The second phase of the savings programme, aimed at reducing other expenses by 15 percent ahead of 2026, is currently underway.
As part of maintaining a smaller organization, we have made a conscious decision not to start new projects until several of the currently ongoing 1,869 apartments under production are completed. This means that 2025 will be a year with few new construction starts, while 2026 is expected to see a significant increase in construction and project initiations.
After the end of the quarter, we established a 50/50 joint venture with the Gothenburg-based property company Alhem Fastigheter AB. The intention is to construct approximately 260 rental apartments in Gothenburg, divided across four blocks. Ownership transfer and building permits have already been obtained for the first two blocks, with groundbreaking expected in January 2026.
In addition, we have signed a letter of intent for a joint venture with ByggVesta, involving one project in Stockholm and one in Malmö. We are currently assessing the conditions for jointly developing, constructing, and later divesting these projects, comprising a total of approximately 500 apartments.
After the end of the quarter, we finalized the transaction announced earlier this summer - the divestment of completed and ongoing properties in western Sweden for SEK 1.9 billion to an institutional investor. The buyer is a company owned by Viga, co-founder and co-owner of the Danish property investor Viga Real Estate, to which K-Fastigheter previously made a major divestment in Copenhagen. Together with Viga, K-Fastigheter will manage a future property fund through a jointly owned company, in which Viga holds 60 percent and K-Fastigheter 40 percent. Our divested portfolio will be the first as part of Viga's establishment in Sweden. The ambition is for the joint company's mandate to grow in both scale and scope, initially targeting residential assets in Sweden's major metropolitan areas.
As a developer of rental properties intended for divestment, it is important to establish the joint company with Viga to secure buyers for our projects at an early stage. This reflects a clearer focus on a more capital-efficient business model, where forward sales and forward funding serve as key tools to achieve that goal.
- Jacob Karlsson, November 2025
A complete Interim report for January-September 2025 is attached and published on: www.k-fastigheter.se/en/investor-relations/financial-reports-rapporter/
A presentation of the earnings and operations will be published on: www.k-fastigheter.se/en/investor-relations/presentations/
For more information, please contact:
Anders Antonsson, Head of Investor Relations and Communications
e-mail: anders.antonsson@k-fastigheter.se, telephone: +46 10 204 85 35
This disclosure contains information that K-Fast Holding AB is obliged to make public pursuant to the EU Market Abuse Regulation (EU nr 596/2014). The information was submitted for publication, through the agency of the contact person, on 7 November 2025, 8 a.m. CET.
K-Fastigheter is much more than a property company. Through an integrated process, we build our business in the two business segments Construction and Property Management. In the Construction business segment, completed homes are delivered, where K-Fastigheter has chosen to work with three in-house developed concept houses for homes to enhance cost efficiency and cut construction times. Furthermore, through the subsidiary K-Prefab, K-Fastigheter delivers complete frame solutions internally as well as to external customers. The Property Management business segment manages the Group's property portfolio with a focus on housing and since April 2025, K-Fastigheter owns 57.6 percent of Brinova Fastigheter AB, which is a leading property company in southern Sweden, with a focus on the Öresund region. Since 2019, K-Fastigheter's B shares have been traded on Nasdaq Stockholm (short name: KFAST B). Read more at k-fastigheter.se