Schroders Capital’s Private Debt & Credit Alternatives (PDCA) team recently announced the close of a €77 million construction whole loan for the development of a mixed-use real estate scheme in Barkarbystaden, Järfälla municipality, Greater Stockholm. The loan will support the delivery of “377 homes, commercial units, and a 144-space underground car park, underscoring Barkarbystaden’s position as one of Northern Europe’s urban development areas.”
The transaction is structured as a “club deal” managed by Kinnerton Capital, acting as local credit manager, with co-investment from Schroders Capital alongside Kinnerton advised funds.
The project will deliver high-quality, “socially sustainable housing and commercial facilities.”
In line with Kinnerton’s investment framework, it will “meet Article 8 SFDR requirements and carry a Swedish Svanen environmental classification.”
Barkarbystaden is due to home 30,000 new residents and new service-sector jobs in modern and office environments, as well as “a new metro station adjacent to the project which is scheduled for completion by the end of 2027.”
The development is now reportedly being delivered by Titania Holding AB, a public company listed on Nasdaq First North with a “track record in Swedish residential development.”
Schroders Capital’s PDCA team continues to “expand its European commercial real estate (CRE) debt lending footprint across the Nordics, Germany, and the Netherlands; this latest funding follows a string of transactions this year, most recently a senior construction loan for 133 townhouses in Denmark as well as a mezzanine loan on a residential complex in Greater Copenhagen.”
It also marks the third CRE loan sourced “by Kinnerton for Schroders Capital’s strategies that incorporate pan-European Real Estate Debt.”
This bolsters Schroders Capital’s CRE debt portfolio which “includes over $2.4 billion in CRE loans.”
Daniel Younis, Head of European Real Estate Debt, Schroders Capital, said
that they are pleased to partner “with a sponsor and co-lenders on this project supporting Stockholm’s suburban growth.”
Following several deals in the European CRE debt space this year, they’re eager to build momentum and “further grow their presence in the region; this transaction exemplifies their commitment to bolstering housing supply in underserved markets, while expanding our footprint in the Nordics.”
Schroders Capital’s PDCA was formed back in 2023 via “a combination of our businesses across real estate debt, infrastructure debt, liquid alternative credit, specialty finance.”
The division, co-led by Michelle Russell-Dowe and Stephan Ruoff, now reportedly oversees $38.5 billion in assets under management with “more than 100 investment professionals.”