Agneta Kores, MD of Stena Fastigheter in Gothenburg, shows a page from a PowerPoint presentation. It is full of dashes, names and dots that describe all the construction projects in progress and to be started up in the City of Gothenburg. Several of the projects will result in urban infill.

“We’re benefitting from our large land assets and building apartments in former parking space in areas where we currently manage apartments. We then add multi-storey parking or parking space beneath the buildings”, says Agneta Kores.

One of the areas currently undergoing infill is Kvillered in Lundby where more than 290 new rental and tenant-owner apartments are being built. The first sod was turned by Peter Eriksson, the Minister for Housing and Digital Development (Swedish Green Party) in November 2017.

“Before beginning construction, we hold dialog with tenants and other interested parties. In Lundby, we are working right next to existing buildings and we haven’t receive a single appeal. I see that as an acknowledgement of our good work with relationship management”, says Agneta Kores.

According to Agneta Kores, investments in infills are increasing value in the existing areas. They are also giving tenants the freedom of choice to move within their own neighbourhood when both rental and tenant-owner apartments are being built.

“Regardless of whether you are a tenant or tenant-owner, knowing that we don’t just build and leave gives you a greater sense of security. Stena Fastigheter is already in the area and will continue to be there in the long term”.

Agneta Kores is also convinced that Stena Fastigheter’s local knowledge and work on creating good relations with the tenants have contributed to Stena Fastigheter, in competition with other companies, being awarded three new land parcels in attractive areas by the City of Gothenburg.

“One of these is Nya Hovås Two in the west of Gothenburg where we will utilise our special expertise regarding relationship management. We will work together with other players and the City of Gothenburg to develop the area”, says Agneta Kores.  

HIGH DEMAND RESULTS IN CONSTRUCTION RECORD

At the beginning of this year, Stena Fastigheter had 13 construction projects in progress in Gothenburg and Stockholm comprising more than 1,300 apartments. During the year, a further seven construction projects, comprising 830 apartments, are planned for start-up.

“This is an all-time high when it comes to the production of apartments in progress. In addition to this, in 2018 we will begin the construction of more apartments than we deliver to our customers and our management companies”, says Niclas Melander, MD, Stena Bygg.

As a result of Stena Fastigheter’s focus on new builds, the company Stena Bygg’s personnel has doubled in a couple of years and the company now has 26 employees. MD Niclas Melander, with long experience from NCC, was recruited to the company at the end of 2017 to lead the investments in the construction of new rental and tenant-owner apartments.

“We have a new organisation where we work with both rental and tenant-owner apartments. The latter is relatively new for us and requires a new way of thinking and acting now when we are focusing on private buyers”, says Niclas Melander.

FROM MANAGER TO URBAN DEVELOPER

Eight of the 20 projects Stena Fastigheter and Stena Bygg are working on are located in the Stockholm region. As in Gothenburg, the investments are in both existing residential areas and on new land. One of the new areas is the district Vega in Haninge where Stena has already begun construction and plans to continue to build apartments for several years. A new commuter train station is expected to be built in in the area in 2019.

“The production of new apartments means that we have to change how we see ourselves. For many years, we’ve been good at managing with social commitment. This is basic for us and we will continue to work with it, but now we are also helping to drive urban development in a more distinct way”, says PG Sabel, MD, Stena Fastigheter Stockholm.

Stena Fastigheter has a tradition of taking care of the areas it owns in order to create a good living environment and security for its tenants. With new production of apartments comes also new questions that have previously been seen as questions that are the responsibility of local authorities, says PG Sabel.

“We find ourselves facing questions that have normally not been faced by management companies. How should we think when it comes to schools, preschool, is this something we should become involved in? Do we need to participate and influence decisions on what community service must be provided, primary health care centres and so on. This is a question that is much bigger than just building houses and here there are new business opportunities”, says PG Sabel.

For Stena Fastigheter, urban development is now a natural part of its business activities. The projects involving the production of new apartments are being integrated into Stena Fastigheter’s existing relationship management concept and means that Stena Fastigheter will not only contribute new apartments but also utility for residents and the community.

“When you are, as we are, a large player with a long-term approach in the industry, you are not only a property company but also an urban developer”, says PG Sabel.