YIT, HGR Property Partners and Ilmarinen have signed a transaction agreement with the aim of establishing a joint venture for the development of significant real estate projects in Keilaniemi. The parties have agreed to transfer both Regenero's, which is HGR's and YIT's current joint venture, and Ilmarinen's current development projects in Keilaniemi to the new joint venture under establishment.
"The joint venture provides YIT with the possibility of executing its newly released strategy. YIT will function as the turnkey contractor in the development projects and through its minority shareholding in the joint venture, the company and its shareholders, will receive additional profit," says Ilkka Tomperi, EVP, Property Development at YIT.
"Ilmarinen brings its expertise as a responsible developer and property owner to the joint venture. The joint venture provides investment access to profitable large-scale investment in the early stages of the development projects as well as enables long term ownership in the development projects in Keilaniemi," comments Tomi Aimonen, Head of Domestic Real Estate Investments at Ilmarinen.
"The joint venture combines the strengths of each party; Ilmarinen as a long-term institutional investor within Keilaniemi, YIT as Finland's largest development and construction company and HGR as a successful real estate developer. Our co-operation will secure the execution of development projects in Keilaniemi for years to come in addition to providing future occupants with an exceptionally dependable partner for the development of high-quality premises," remarks HGR Property Partners' CEO Kari Helin.
The formation of the joint venture is conditional to approval by all relevant competition authorities as well as the necessary governing bodies of each party. Establishment of the joint venture is expected to be completed during the first half of 2022.
Ilkka Tomperi, EVP, Property Development, YIT Corporation, tel. +358 50 379 1903, firstname.lastname@example.org
Hanna Malmivaara, SVP, Communications, YIT Corporation, tel. +358 40 561 6568, email@example.com
YIT is the largest Finnish and a significant North European development and construction company with a strong customer focus and clear mission to create better living environments. We develop and build functional homes for sustainable living, future-proof public and commercial buildings and infrastructure for smoother flow of people, businesses and society. We employ 7,400 professionals in ten countries: Finland, Russia, Sweden, Norway, Estonia, Latvia, Lithuania, the Czech Republic, Slovakia and Poland. Our revenue in 2020 was EUR 3.1 billion. YIT Corporation's share is listed on Nasdaq Helsinki Oy. www.yitgroup.com
HGR Property Partners is a Finnish real estate investment and development company founded in 2005, which owns a wide portfolio of real estate in collaboration with various partners. Our cooperative model is based on HGR taking responsibility for operational activities. We invest in properties located in the Helsinki Metropolitan Area that are centrally located near public transportation and have strong development potential. www.hgrpp.fi
Ilmarinen's task is to ensure that our customers receive the pension they earned from employment. We promote a better working life and thus help our customers succeed. In total, we are responsible for the pension cover of some 1,1 million people. We have investment assets of over EUR 58 billion to cover pension liabilities. The net worth of our real estate investments in Finland is EUR 4.3 billion. We also build sustainable buildings to be used as business premises and homes. www.ilmarinen.fi