Vacancy and leasing risk in Stockholm offices
Rental income depends on occupancy, renewals and tenant demand in the local office market.
- Scope
- Commercial office portfolio in Stockholm
- Materiality
- high
Fabege
Fabege is a Swedish property company focused on commercial real estate in selected submarkets of the Stockholm region. Its business combines property management, property development, project development and transactions around office-led city districts and mixed urban environments.
229
0.56
0.01
| % | |
|---|---|
| Property management | 70% Ongoing leasing, tenant relations, technical operations and upkeep of investment properties. |
| Property development | 15% Redevelopment and extension of properties to improve long-term use and tenant appeal. |
| Project development | 10% Larger development projects that create new or substantially upgraded premises. |
| Transactions | 5% Property acquisitions and disposals used to shape the portfolio and capital base. |
Fabege mainly serves companies, public authorities and organizations that lease offices and other commercial premises...
- Office tenantsprimary
Companies leasing offices in Stockholm submarkets for accessibility, image and employee attraction.
- Public authorities and organizationssecondary
Government and institutional tenants that need reliable, well-managed premises.
- Commercial and service tenantssecondary
Businesses using mixed-use or support spaces tied to Fabege districts.
- Project and redevelopment tenantsemerging
Customers that move into upgraded premises after redevelopment or extension projects.
Fabege’s operations are concentrated in the Stockholm region, with a focus on a limited number of well-located...
- •Operations concentrated in the Stockholm region
- •Focus on selected submarkets rather than a broad national footprint
- •Inner-city and well-connected office locations are strategically important
- •Local district presence supports tenant service and asset management
- •Stockholm market conditions directly affect leasing and valuation
Fabege’s strategy is to create value through close property management, targeted redevelopment and disciplined...
01
Deepen presence in selected Stockholm submarketsmedium-term
Concentration supports local knowledge, tenant relationships and operational efficiency.
02
Develop flexible and sustainable office environmentsmedium-term
Tenant demand favors adaptable space, strong transport links and certified buildings.
03
Use redevelopment and project development to create valuelong-term
Upgrading assets can attract long-term tenants and improve district quality.
Fabege is exposed to leasing risk, vacancy risk and interest-rate sensitivity because its earnings depend on Stockholm...
Interest-rate and financing risk
The business uses significant debt and property values are sensitive to discount rates.
- Scope
- Interest-bearing liabilities and valuation of investment properties
- Materiality
- high
Construction and contractor safety risk
Redevelopment and project work create accident and work-environment exposure.
- Scope
- Project sites and technical building environments
- Materiality
- high
Climate-transition and regulatory risk
Stricter energy and emissions requirements can increase compliance and retrofit needs.
- Scope
- Property portfolio and development pipeline
- Materiality
- medium
Supplier conduct and anti-corruption risk
The company relies on contractors and monitors procurement and code-of-conduct compliance.
- Scope
- Construction and service suppliers
- Materiality
- medium
Fair value of investment properties
Core driver of earnings volatility in a property company
Rental income recognition under operating leases
Reported rental income and occupancy metrics
Derivative valuation
Financial result and balance-sheet volatility
Effective interest method on borrowings
Interest expense and carrying value of liabilities
: 11/08/2026