# Fabege

> Clarifo company profile — qualitative business description generated from
> the company's filings. Financial statements, charts and ratios are
> available on Clarifo (https://www.clarifo.com/en/companies/fege).

## Overview

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.

## Products & services

• Property management of commercial real estate
• Development of sustainable city districts
• Project development and redevelopment
• Tenant adaptation and flexible office solutions
• Property transactions and portfolio optimization

- **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.

- Property management of commercial real estate
- Development of sustainable city districts
- Project development and redevelopment
- Tenant adaptation and flexible office solutions
- Property transactions and portfolio optimization

## Customers

Fabege mainly serves companies, public authorities and organizations that lease offices and other commercial premises in Stockholm. The customer base is broad, but the business is especially tied to tenants that value central locations, transport access, flexible layouts and modern, environmentally certified space.

- **Office tenants** (primary) — Companies leasing offices in Stockholm submarkets for accessibility, image and employee attraction.
- **Public authorities and organizations** (secondary) — Government and institutional tenants that need reliable, well-managed premises.
- **Commercial and service tenants** (secondary) — Businesses using mixed-use or support spaces tied to Fabege districts.
- **Project and redevelopment tenants** (emerging) — Customers that move into upgraded premises after redevelopment or extension projects.

- Office tenants seeking central Stockholm locations
- Public authorities and organizations needing stable premises
- Companies wanting flexible, space-efficient workplaces
- Tenants that value transport links and district services
- Long-term occupiers in redevelopment and managed properties

## Geography

Fabege’s operations are concentrated in the Stockholm region, with a focus on a limited number of well-located submarkets. The company’s value is tied to Stockholm’s office market, local transport links and district-level development, so geographic concentration is central to both its operating model and its exposure.

- **Stockholm region** (100%) — Business is concentrated in selected Stockholm submarkets.

- 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

## Strategy

Fabege’s strategy is to create value through close property management, targeted redevelopment and disciplined transactions in Stockholm. The company emphasizes sustainable city districts, flexible offices and customer proximity as the basis for retaining tenants and supporting long-term district value.

- **Deepen presence in selected Stockholm submarkets** (medium-term) — Concentration supports local knowledge, tenant relationships and operational efficiency.
- **Develop flexible and sustainable office environments** (medium-term) — Tenant demand favors adaptable space, strong transport links and certified buildings.
- **Use redevelopment and project development to create value** (long-term) — Upgrading assets can attract long-term tenants and improve district quality.

- Concentrate on selected Stockholm submarkets
- Use in-house property management to stay close to tenants
- Redevelop and extend assets to improve long-term use
- Develop sustainable, environmentally certified workplaces
- Balance management, projects and transactions to shape the portfolio

## Risks

Fabege is exposed to leasing risk, vacancy risk and interest-rate sensitivity because its earnings depend on Stockholm office demand and property valuations. The company also faces project execution, contractor safety, climate-transition and financing risks, which are typical for urban property owners with active development portfolios.

- **Vacancy and leasing risk in Stockholm offices** [high] — Rental income depends on occupancy, renewals and tenant demand in the local office market.
- **Interest-rate and financing risk** [high] — The business uses significant debt and property values are sensitive to discount rates.
- **Construction and contractor safety risk** [high] — Redevelopment and project work create accident and work-environment exposure.
- **Climate-transition and regulatory risk** [medium] — Stricter energy and emissions requirements can increase compliance and retrofit needs.
- **Supplier conduct and anti-corruption risk** [medium] — The company relies on contractors and monitors procurement and code-of-conduct compliance.

- Vacancies and weaker office demand can pressure leasing activity
- Interest-rate changes affect financing costs and property valuations
- Project and contractor safety risks are material in redevelopment work
- Climate and regulatory requirements can raise capex and compliance needs
- Supply-chain and anti-corruption risks exist in outsourced project work

## Accounting

Fabege’s reported results are heavily shaped by fair-value measurement of investment properties and the timing of rental income under operating leases. Debt, derivatives and associated-company holdings also introduce valuation and estimate sensitivity, while project-related costs and lease maturity assumptions affect comparability across periods.

- **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

- Investment property fair values drive reported earnings volatility
- Rental income is recognized under operating leases over the lease term
- Derivatives are measured at fair value through profit or loss
- Interest-bearing debt is measured at amortized cost using effective interest
- Lease maturity and occupancy assumptions affect revenue visibility

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*Last updated: 2026-08-11T04:04:52.592411+00:00*