Market Report 2022

Colliers Market Report 2022

8

Typically, purchase offers have been so generous as to can cel out any concerns of how to reinvest proceeds. Overall, this has created a market characterised by much stronger supply than was previously the case. Nevertheless, supply is still unable to keep up with current investment demand, with mainly foreign investors still look ing to place a high proportion of capital allocations ear marked for investments in Scandinavia and Denmark. Predominance of foreign investors in the market One of the trends to stand out in recent years, namely ever-growing foreign investor demand, continued in 2021. In this respect, Denmark has benefitted from the increased inves tor focus on political stability, effective economic measures, our fixed exchange rate policy, and generally strong confidence in public institutions. All these factors taken together have con tributed to the consolidation of Denmark’s position as a safe haven in investment terms, perhaps even more so than in the past. This recognition along with yields that continue to exceed the level seen in a series of comparable countries and cities, has greatly whetted the appetites of foreign investors in pur suit of stable, attractive and risk-adjusted returns. Although the number of transactions involving foreign investors matches the figure recorded in 2020, there has been a sharp increase in the number of investors that are waiting to strike when the right opportunity arises. Several new international market play ers, mainly from Asia, Germany and the USA, have announced

The Square, Rådshuspladsen Copenhagen CBD

plans to enter the Danish market due to attractive invest ment terms, all the while that many established players have increased their capital allocations to property investments in Denmark. For instance, Orange Capital Partners entered the Danish property market with investments worth close to DKK 3 billion when acquiring two Copenhagen apartment buildings, followed by the acquisition of student housing in Copenhagen SV, bordering on Valby, as well as two turnkey residential prop

TOP 5 transactions | All segments, Denmark

Property

Location

Seller

Buyer

Use

Sq m Price 1

Project Realm 2

All Denmark

Bostad

AP Pension/BankInvest

Residential

163,000 3,400

Part of Akelius resi portfolio 2

Copenhagen/ Frederiksberg

Akelius Residential Property

Heimstaden Bostad

Residential

na 3,000

Selmer portfolio 2 Jutland/Funen

Selmer

Heimstaden

Residential

125,000 2,500

Ørsted domicile

Greater Copenhagen ATP Ejendomme

Pensam/AIP/Artha

Office

84,000 2,475

Catella Residential Investment Management

Project Reditus 2

Residential

42,600 1,940

Copenhagen/Aarhus Formuepleje

Note : The listed transactions include disclosed sales only. Certain confidential or off-market transations are not included. 1 Prices quoted in DKK million (rounded figures). 2 Portfolio sale. Source : Colliers