Nordika launches defensive high yielding big-box retail platform in Finland with the acquisition of two high-quality assets and a solid pipeline for add on investments
Nordika has launched a focused investment strategy in Finland, targeting high-quality big-box retail assets, with an emphasis on properties anchored by tenants in the discount retail segment. The objective is to build a robust, high yielding platform with an initial asset value of approximately EUR 100-150 million in the first phase.
The strategy is designed to deliver strong cash-on-cash returns, supported by the stable and growing demand in the discount retail sector – a sector that has showed historic resilience. Nordika aims to assemble a well-diversified portfolio around key urban locations.
The first acquisition under this strategy comprises two well-located assets in the Greater Helsinki area. Both properties are anchored by established discount retailers, ensuring stable and high yielding rental income.
Nordika was advised by MREC, Merilampi, PWC, Ramboll.
Following the acquisition, Nordika’s fourth fund has committed in excess of two-thirds of its capital across five investments. The instability in the market offers highly attractive opportunities which Nordika has been able to capitalize on – and with a solid pipeline with additional investment opportunities.
The pace of the capital invested reflects the firm’s strong sourcing capabilities and its ability to identify and execute on compelling investment opportunities in a complex market environment. The investments have been made within a relatively short timeframe, yet with continued adherence to Nordika’s disciplined and conservative investment philosophy.
Given the attractive opportunities in the market, Nordika intends to launch Nordika V during 2025 to be able to capitalize on these investment opportunities targeting a first close by the end of the year.
