The manager notes that March proved a challenging month for the Nordic real estate sector, as a deteriorating geopolitical landscape and rising long-term interest rates across the Nordics and Europe pressured the market.
"Despite the broad sector sell-off, we observe that companies generally continue to report stable operating results. While the real estate sector is inherently sensitive to interest rate fluctuations, many firms have demonstrated significant resilience and adaptability during this period of turbulence," the manager writes.
Several corporate actions were highlighted during the month. Castellum concluded its SEK 3.4 billion share buyback program and initiated a new SEK 1.7 billion mandate to optimize its capital structure.
Activity was particularly robust within the logistics segment, where Swedish Logistic Property finalized a major deal with Ikea alongside further acquisitions, while Logistea and Sagax continued to expand their portfolios. Nyfosa also strengthened its Norwegian footprint and proposed a rebranding to Altra Fastigheter.
Hast further notes significant transactions within the residential and social infrastructure segments. Notably, Brinova completed new acquisitions, while Prisma Properties opted to exit the Norwegian market. Fastpartner also announced an upcoming change in leadership at the CEO level.
The primary contributors to performance during the month were Eiendomsspar, Cityvarasto, and Annehem Fastigheter, whereas Balder, Swedish Logistic Property, and Sagax acted as the main detractors.
In his outlook, the manager anticipates that geopolitical uncertainty, the interest rate environment, subdued project market activity, and weak signals from the Stockholm office segment will continue to dictate market performance.
However, the sector is deemed better positioned to handle higher interest rates than in previous cycles. According to the manager, an increasing number of companies trading at a discount have launched share buyback programs, which may provide support for shareholder value.
The fund's largest positions at month-end were Balder at 8.30 percent, followed by Sagax and Emilshus, with weightings of 8.28 and 6.99 percent, respectively.
| Odin Fastighet C, % | March, 2026 |
| Fund MM, change in percent | -9.64 |
| Index MM, change in percent | -10.05 |
| Fund YTD, change in percent | -8.91 |
| Index YTD, change in percent | -8.45 |
