Kepler Cheuvreux sees Nordic property as a relative 'safe haven'

Sagax AB

04/04/2025 11:02

** Kepler Cheuvreux sees the Nordic property sector as a relative safe haven in the near- to medium-term, due to limited direct exposure to issues such as tariffs

   ** The broker sees general underlying market conditions as increasingly constructive, seeing NAV and funds from operations (FFO) growth prospects as the strongest in many years

   ** A period of stable to growing property values lies ahead, supported by positive GDP growth, readily available financing from banks and bonds and transaction volumes picking up, it says

   ** Kepler says the outlook and potential to engage in growth activities seems stronger than in many years

   ** Castellum CAST.ST ("buy") is one of the broker's most preferred stocks in Europe and among Nordics

   ** It also singles out Balder BALDb.ST and Catena CATE.ST, while seeing lower upside potential for Corem COREa.ST (all "buy")

   ** It ups Atrium Ljungberg ATRLJb.ST, Cibus Nordic Real Estate CIBUS.ST to "buy" from "hold", and cuts Sagax SAGAa.ST to "hold" from "buy"

 (Reporting by Marta Frackowiak)

 ((marta.frackowiak@thomsonreuters.com))