STOCKHOLM, March 11 (Reuters) - Swedish real estate group Fastator said on Monday it hoped to reach a standstill agreement with its bondholders to avoid repayment demands as a result of a covenant breach.

Fastator is one of many property companies hit by Sweden's wider property crisis, triggered by high debts, rising interest rates and a wilting economy.

In February, the company said it had breached its financial solvency covenant and that it would start negotiations with major bondholders to mitigate the situation.

Fastator's equity was worth an estimated 33% of its overall balance sheet at the end of 2023, below the minimum 45% mandated by the covenants.

On Monday, the company said it aimed to reach a so-called standstill agreement with its bondholders to avoid enforcement measures, and to allow the company to find long-term financial solutions.

If the company is successful in getting a standstill agreement this would mean that its creditors would agree to not demand immediate repayment of the bonds during the negotiations for a long-term solution.

Fastator would then explore an extension and change of bond terms or an exchange of securities, among other things, it said.

The company also said that its portfolio company Point Properties had failed to reach an agreement with its own bondholders for a bond maturing in 2024, where it had hoped to get an extension.

Fastator's overall liabilities stood at 2.6 billion Swedish crowns ($253.76 million) at the end of September of last year, according to its third-quarter earnings report.

Fastator in February reported a fourth-quarter loss of 561.5 million crowns, widening from a 186.0 million loss a year earlier, and also said it had been hit by write downs of property values in Fastator's portfolio companies. ($1 = 10.2457 Swedish crowns) (Reporting by Marie Mannes and Louise Rasmussen; Editing by Susan Fenton)