Stendörren Fastigheter AB (publ)

I'm the CEO of the company and the Director of the economy, Per-Henrik Karl, who will present the first report for 2025. After the presentation, we will have a Q&A session. If you want to ask a question, please press the 9 to raise your hand and then press the 6 to enjoy yourself when you get the question. It is also possible to send questions in the form to the right. With that said, I leave the floor to you,

Erik. Thank you very much. Before we go into the quarter, I would like to talk about the stone door in general and what makes the stone door an interesting investment perspective. We are a stock exchange company, operating within the law of logistics and light industry. We have properties of about 14.5 billion. We are in a high- sports segment with a but our properties slow down by over 6 percent. We have a restudaration on recommendation in over 4 years which gives us a realой so to speak high- Stockholm where there is a strong rent growth. But we also have a growth through the development of a building right portfolio that we have that is very large in relation to our rentable area. We have approximately 630,000 square meters of building rights to compare with rentable areas of 862,000 square meters, which these two factors give an increase in potential that we take into account. We have been around for about 10 years. Stendun has always been a growth company, the first five years almost completely out of stock. I joined about five years ago and have since then continued on the growth path, both for the acquisition and also entered some new markets to get more markets to work on. Sometimes the Stockholm market or Mälardalen is very competitive and then it is good to have other alternatives to grow on. But we have then mainly managed to get a turn on our building right portfolio or development of our building right portfolio and that adds to further growth. We have completed about 19,000 square meters during the last 12 months and have ongoing projects at about 40,000 square meters with a drift net and potential of 55 million. What makes Stendun interesting from an investment perspective? There are a number of reasons. Partly the stability in the cash flow, which I mentioned earlier. We are in a high- rate segment with long deals. We also have a very diversified guest list. The only big guest we have is the Swedish state through the fortification office at 8% of the guest flow. Then the third largest guest is at about 2% of the guest flow and the fourth largest guest at 1% of the guest flow. So the stock exchange from the Swedish state is very diversified, which adds to further stability. It is also diversified through the fact that many of our guest guests are in very different industries. It is both, for example, Life Science through Baktegard, we also have Swedish Verkstad, we also have some municipal guest guests, we have Unilever, which is an internationally large company that you all know, but also many small, local and regional companies. So diversified in all dimensions, one might say. But we are also, as I said, a growth company. Almost all of our properties are in Mälardalen, and in Mälardalen there is a housing growth, thanks to population growth, economic growth, but also the fact that this type of light industrial area where we have our properties, in the event that the city grows, sometimes converted to other ends, mainly residential areas, almost like Hammarby Lake City once was a calm industrial area. And that makes the supply disappear, but the demand increases, and that naturally drives the pressure on the underlying supply, in our case rents. So that is a, and if you look at our historical quarter reports, you can often read that the agreements we make for the negotiations, we increase the rents by 20-25%. It has been lower in the last, let's say, maybe two years, but historically it has been at that level, and I think that your report will come back. Then we have an extensive housing growth portfolio of 630,000 square meters compared to the average surface of 862,000 square meters, and here we want to develop naturally, and we have a target of -50,000 per year approximately. It has been a little lower in the last year, but it has been weakly-conjured and some other geopolitical mess and financial turbulence. And before we go in and look at the quarter specifically, I thought I would look a little back historically. We have delivered a drift network and growth in the last five years of about 12% per year, a very strong number, and we have done that without actually taking money from the stock market. We did that in October last year, but the latest, it does not explain the development over the last few years, so to speak. So a 12% drift network development per year, we think is very good and strong, and we have also come through naturally some acquisition. We have also completed projects. We have also re-tested rents at higher levels, which makes it a top-line growth that is strong, but we have also lowered the vacancy by about 5% during the last five years, but we have also kept it hard in the costs. I will show you a little later, but for example, we have lowered the energy consumption per square meter by about 40% in the last six years. We have grown the company with unchanged manpower, the same headcount in the company, about 55 people, and we have actually insourced some of the management, which you have started to outsource, so we have actually less head and head, but that is what explains the drift network development over the last few years. We are looking specifically for the quarter, increased drift network by 13%, -on-year Q1, comparable stock 7%, which we think is good. Then we have increased management results by 15%, Q1 We are in a situation that is a little weak, not least we have been re-examined rents increased by 5%, and then the point is that the rents are fully indexed, which makes that this is inflation already in hand when you re-examines a rent agreement, not least we have managed to increase the rents by 5% on them, we have chosen to re-examine. We have a weak negative net value of 3 million in Q1, and there is a little timing question when the return is written on. Our Q4 last year was the strongest in the quarter ever, so if you look at it for a little longer period, sorry, this is a big factor. The last 12 months we have a positive net value of 24 million crowns, so we still feel that there is a completely OK question around it. And the vacation is unchanged or stable at 7.8%. We note a surplus rate of 80% the first time we reach 80%, and we have gone from 66 to now 80% during the last five or six years, which we are very proud of. We have in the quarter, or actually until today, the year until today, acquired properties of 345 million and invested in finished projects during the year of 90 million, so we maintain a continued high growth rate both through acquisition and through our project development activity. And if we look at what we went into, increased growth from the middle of last year, you could say, we saw very positive and good conditions both for acquisition and project, and if we look at what we have achieved on the investment side since the middle of last year, we have invested about 1.5 billion in acquisition, through acquisition, 17 properties to an initial yield of 7%. If we look at the investments we have made in the projects that are completed during this period, we have invested 1.8 billion on a yield of 7.2%. And it is about this rate that we want to keep. We think it is a high and nice growth rate for a very attractive waste disposal. And we have ongoing projects now at almost 40,000 square meters with a drift net of 55 million in terms of waste disposal. I am talking about the stability of the company. And despite the fact that we have maintained such a high growth rate, we have had a good financial stability. We have actually maintained financial goals, solidity at 35% and the rate of return on two times. We have been just under a few quarters in the last years, but in all the recent years we have maintained our rate of return. We want to keep the stability. We have a high, continued high share of pension insurance. About 70% of pensioners' debts are pensioned with a rise in the base interest on 1.8%. And we have continued to have a fairly long return on pension insurance. We see that both the capital market and the banking market have a very good appetite to finance our growth. We have done refinancing once a quarter at very good marginal levels. And we see the capital market and the obligation market really being there to finance our growth. We did a new mission, which I mentioned earlier, in Q4 in October, at 505 million and liquidity remains, so to speak, for continued growth. And that was really what I had to say about the financial development. We have invested about 1.5 billion in the last four quarters. We have a model where we buy single asset and off market, that is, not competitive actions or processes, because then we can buy at a higher rate. And as you can see in the picture, an initial 10% is what we have earned during the last four quarters. About half in Sweden, but also in Copenhagen, 20%. Perhaps especially pleasing is our acquisition in Copenhagen, where we now feel that we are approaching a critical mass in Copenhagen. We have seen a total of 16 assets in Copenhagen, a total of 60,000 square meters, worth about 900 million kronor. So there we feel that we are now beginning to be established and perhaps almost at a critical mass level, which is important to us. What we have achieved on the development side, you see here, we have finished about 19,000 square meters in the last quarters, the last four quarters, to a fine of almost 95%. These projects, which have been completed in the last four quarters, are about 300 million in invested volume to a cast of 7.6%. If we look away from the supposed building value, which is not money out, but in a situation it is only value in our balance. If we count driftnet and divide with capex, that is, 8.4%, which is an incredibly strong number. Then you might think that I am a little nice to us when I want to get away from the building value, but we have not generally bought those buildings, but there are things that we have not gotten to buy, so to say. When we have invested in cast-off properties, there has been a ground floor that has been exploitable, so to speak, on the side of the main body that we bought, but in our world we have not paid for them. Therefore, we think that, and also from an market perspective, what is important is the incremental effect of an investment, and then it is driftnet and divide with capex, cast-off at 8.4%. But as I said, a nice degree of expression at 94%. That was really what I wanted to add here. What is very exciting is the project up to the left, new building 2.17. That is in the area that we call Green Hub, where we have built the first house body that we rented out to SL here in the beginning of April, it was. It was recently completed. It was recently finished. We have, right on this part of Green Hub, we have the opportunity to build, I think it is up to 8000 square meters, so this type of exploitation we want to do is going on in the process of the question. The question, I must say, overrides my expectations. We are in a number of customer dialogues with other projects here, and this is right in the vicinity of our large facility, which we have expressed in the fortification work earlier. If we are going to look at our building portfolio, what we see on the picture is what we call our future projects. As you can see, it is in Mälardals kommuner almost to the end. It is logistics and light industry. A very large part of it is in this area in Upplandsbro, Green Hub. Then we have a bit over Green Hub, we also have in Brunna and in a few other places in that municipality. But there are large volumes in Green Hub, I think. These are real buildings that we own, that is, we own the buildings that are used for industrial activities, even if it is a single case, requires detailed plan change. Our ongoing project you see in the upper table is approximately 40,000 square meters or 39,300 square meters with a drift network and potential of just over 50 million. Some of these are in construction, some are in construction. Many of the others we have in construction, but we would like to find a guest first. In some cases we also have a contract with a builder already, so that's the only thing missing is a guest. But if we find a guest, we can start very quickly, which is good from a time perspective, but also a competitive perspective. Because when guest guests leave, they would like to move in very soon. So I hope that the lead times are good. Some of these we will start, also in the renovation in a short time, on a speculative basis. We have completed, as you can see in the table below, 18,900 square meters with an investment volume of 320 million, including the building value. There you sometimes see new building 217 in Green Hub on 2300 square meters, which is a mile stope for us to have carried out the first house construction there. This is really just a few examples of what we build, but it is a mixture of light industry and less logistics in different parts of Mälardalen, very Stockholm-like, almost all of it. To concretize it a little further, I usually have this as a case study, which I think is very good to see how we work with a development area. If Green Hub is our development area number one, then this is number two, and these two are the certainly largest development areas we have. This is a property that we bought from PIAB in 2015. When I came into the company, the table below Q4 2019, there was an affordable surface of 27,500 square meters with a very high vacancy rate of 35%. The property is of very poor quality, that is, very low rent. Here we have the opportunity to develop up to 80,000 square meters by tearing apart a part of what is there, or actually everything that is there, and increase the exploitation very much. The detail panel then allows that type of exploitation up to 80,000 square meters. Do we do that by the fact that the demand is there, that is, we always send a full amount of information to a rent that is so to speak, with a modern light industry and logistics facility, then we can easily double the rent to what it was a few years ago. Then that means that we can increase the rent in this land area seven times. Here we have come a good bit of a way. We have completed four housing units that are in all cases fully occupied. We have almost 20,000 square meters completed here so here we are really on the way, and it is concrete, and this is something we do here and now. I mentioned a little bit of sustainability here. I mentioned initially that we have increased the surplus and kept the costs high. We have reduced energy consumption by about 40% per square meter over the last few years. A very strong figure, and according to Acklien it gives a very positive development on the saving of carbon dioxide per square meter, as you can see on the far left, which is equivalent to 40%. A good example of what we do in sustainability. What we do in sustainability, we give this example of what we offer when we do project development. We increase energy consumption, which is often 80% under the construction rules of the housing unit, of course through solar panels and heat. We work with wood, for example, recycled material, both textile mats and interiors, we have examples of what we have worked with. We use recycled steel, which means that we have in total very good sustainability criteria and very good results in sustainability. If we look a little forward, what we want to achieve during the remaining time, we want to continue on the road by acquiring in single asset business, often off market. We feel that we can often buy at 50 to 100 points higher emissions if we do that kind of business. We want to continue to grow in Stockholm and in Mälardalen, but above all focus on reaching critical mass on our new markets. We entered Oslo, Copenhagen and Helsingfors a few years ago. Copenhagen, there we are maybe at least a close critical mass if not already there, but we have a good bit left in both Oslo and Helsingfors. We want to develop our building rights portfolio. We have, as I said, 630,000 square meters of building rights. We are keeping a pace of about 20,000 square meters per year. We think it should go up. We have some logistics projects where we want to find a rental house, one for example 17,000. If we find a rental house there, we move the level, so then we are in a step. But somewhere between 25,000 to 50,000 square meters under normal environmental conditions, which is not maybe now, but under normal environmental conditions, we think we should be able to lie somewhere between 25,000 to 50,000 square meters per year. An ongoing project, 39,000 square meters with a drift network and potential of 55 million. That is what we want in the near future, so to say, try to deliver. We still see there within asset management, we see that under normal environmental conditions we should be able to negotiate a larger part of our rental guests, where the agreement is running against failure, a larger part to reach that level earlier on rental increase of -25% during the negotiation. But now it is difficult to really return to that market. We still see a positive trend in operational improvement. I mean, the degree of practice has continued to increase and we have reached for the first time 80% of the overall degree. We still see there is a certain potential there, which we want to take into account. So this is a little preview of what we want to achieve during the near future. And that was really all I was going to say, so thank you very much.

Thank you very much for the presentation there, and then we move on to the Q&A. So if you call in and want to ask a question, press the star 9 to raise your hand and then the star 6 to enjoy when you get the word. It is also possible to send in questions in the form to the right. And our first questioner here today is David Flemish from Nordea. Here you go, you have the

Good morning. I have a couple of questions. I was going to start with the financial net in Q1, which is 89 million. I don't really get that with your average interest rate and your interest-bearing debt. When I look at the income in both Q4 and Q1, it implies about 83 million on a monthly basis. Is there any other similarity in the financial net that explains this?

In the income, if we start there, we have a mechanical approach where we also include the net debt, including the cash. If we exclude that, it will still be 86 million in the net interest rate. If we compare the income for Q1, it was about 88.7. So you can see that the income for Q4 was 86.1 if you exclude the cash, which is about 3%. So what has happened since Q1 compared to the income, we have done some financing, some adjustments in the financial net, including the 2.6 in the difference.

If I interpret that correctly, you count the average interest rate times net debt. Exactly. Then I move on to the unrealized value changes in Q1, 74 million. Then it goes down to 15 million from Yield, but 150 million from cash flow. What is the explanation behind the strong value changes from cash flow in Q1?

It is aggregate, many quantities, but something that happens is that we have had 4 million in net interest, and of course that meets the values, but it is a time-out from the fact that you sign a contract for the exchange to move in, which does not affect the initial yield, but you get some value increase thanks to the net interest rate of 24 million. Then we have been rolling for over a year, so we have an index effect on inflation when we roll into Q1.

Have you changed any index estimates for 25?

No, we have not. No, they have not done it.

Good. It will be a natural transition to the net interest rate, which was record strong in Q4 at 24 million. I will talk a little about the lag effect from signed contract to inflow. For a large part, almost .5% of your net interest rate is in the top line. Is it reasonable to assume that the rate of exit during 2025 should gradually improve as these contracts move in, or how should we look at the timing of the positive net exit in Q4?

We see a lag effect here in the last few years. We had quite large excursions a year ago, maybe a little more on a handful of properties, very good surface actually. Then we work with the export and then we have been able to export, but it is a time for inflow. Some properties literally move in the days after, but in some cases it is not. I would guess that in 6 months, that is probably the number. But we have a lag effect where we have an unchanged vacation in this quarter as well, but I see a certain improved vacation at the end of the

year. Top. And I have a little follow-up. On that, you included the income capacity, because as you mentioned, you have announced a lot of publications in the last quarter. Magneten, 18, LibroBec, Båglampan, Green Hub Bro etc. What is included in the income capacity and what should we count on? If I am not mistaken, both Magneten, LibroBec and Båglampan are affected here under Q2.

The income capacity is very mechanical on the 1st of April. I would say that you do not remember exactly when they moved in under Q2, but do you know anything about those who are under Q2? No, unfortunately not.

But the big difference is that I do not think they have much to do with the income capacity, because the big effect on the income capacity on the driftnet between Q4 and Q1 is the sales of the PIL-wave that we have done during Q1 and the sale of the PIL-wave that we have done during the summer quarter. Otherwise, it would not have been so much on the driftnet. So it should be in Q1.

Yes, the last question as a follow-up on your answer regarding the sales here in Q1. The PIL-wave, what kind of property have you sold?

It is a property in Sörmland that if we had not sold it, it would have been expropriated. But to avoid the long and extensive process, we had to come to an agreement and get the same results as an expropriation. We did not share the press because 1 is small, 2 is not an business in the common sense. It is not part of our underlying business, but it has been expropriated.

So it is an expropriated property per year, one should count on it.

No, it is absolutely not. If I turn it around, our business is not selling property, but it is in the situation where we have a counterpart, or the state of the fall, that really gives us all the reasons to sell. We have had before, Alfa Laval sold a property to a guest, and they said that if you do not sell this to us at commercial levels, we will build a new one. This is an important business for us at that specific place. At that time, Alfa Laval also had a new access to the Chilean crisis. There were all reasons to believe that otherwise we would not have decided to sell it. There is another example, there was a sale to the fortification office 4-5 years ago when the fortification office said that this is critical, we will buy it now, otherwise we will buy it. All of these have been at commercially good levels for us, but there is some meaning, let's say, a little under some form of 2. We have been unwilling to sell it to a good price, not less. If we influence that type of non- expropriation, but still have a need for some meaning, then one per year we will be profited.

Yes, great. Sorry, just one short question. The rent loss, which you mentioned in the report of 1.5 million, what does that relate to when I look at the net debt? The graph does not look like there is any concussion there, or?

We have small concussions, of course, but I actually do not know exactly which of the guests it is.

This

is what we

have reserved in the book ending on the risk of rent loss. There we have the principle that if we feel 100% sure that we will get the guest in, then we make a reservation. It can come in any case, it does not have to be concussions that lead to rent losses in the result calculation.

Toppen, I will leave the floor to someone else. Thank you for the answer.

Thank you very much for the questions. Then we go on to give the floor to the telephone number that ends on 8628. Here you go, you have the floor.

Thank you very much. Hello, Oskar Lindqvist, ABG. How are you? We hear you. Yes, good, thank you. I wanted to ask a question on the sales side. The sales I have done here in Denmark recently, 253 million, you write that you see additional drift net potential in this area, can you develop some research on that?

It is actually that the rent is low and if it falls, we can re-sale it at a higher level, that simple. It is not to say, for example, a project related to investment, of course, a certain rent rate is always due to re-sale, but basically it is a low rent.

And those properties are full of rent, right?

Yes, in all cases, it is completely clear, it is very high rent rate, there is no smaller rent than that.

And on the sales side, how long are the sales?

I don't remember exactly how long they are, but they are relatively long sales, so the drift net potential that we are talking about, it is four or five years away.

Yes, okay. You started a project in the quarter at IBI, can you say something about the discussion with the guest here?

We are just starting the construction, and it is not pre-launched. We have noted that in IBI, in Brunna, that there is a good demand. This is exactly the same market, where we have already built a similar logistics facility, which is, however, significantly larger, because we are referring to the guest house Goop and the food promotion. In Brunna, there has been a lot of logistics vacancies and competition, and we have noted that the market has absorbed it in high volume, so we have a fairly low vacancy, where we have noted that in the local markets, there is also low vacancy. So that is why we are starting with that, for the future publication.

And then on the Alnäs 523 project, can you say something about what is happening there on the publication page, the discussion yesterday? It has been delayed for two quarters,

I think. Yes, now we will see what the purpose is. We have a number of projects in Alnäs.

523.

Yes, let's say.

It is probably finished in Q1, now it has moved to Q2. No guest house.

Yes, that's right. There we have a number of discussions, among them a guest house that we probably take half, and then we have more discussions with some guest houses in other parts. Generally, good questions, even if they have not rented out yet.

Yes, and one last question on current tax in the quarter. We have come in a bit beyond our expectations, is this a run rate we can expect in the future?

You mean 14 million? Yes. No, it is not, it also says in the report that 9 million is the introduction to the property sale that we mentioned. Okay, thank you. So it will be of 14,9 introduction to tax. Thank

you very much. That's all.

Thank you very much for the questions. Then we move on to the word to Emil Ekholm from Pareto. Here you

go. We heard you Emil.

It seems that it will not come.

Hello, Erik and Henrik. I was going to start with the drift net marginals, which was quite high for Q1. Above all, it seems to be the cost of the property, which is quite low. Is it a mild winter we have to thank for that, or what do you depend on?

Yes, it is above all a mild winter, which is clear. Then there are other explanations as well. We have actually gone through a year shift and we get an inflation adjustment in the rent agreement, but we do not get that on the cost side. But I would say that the majority is mild winter. Then we generally have a positive development on the energy savings side, which I talked about earlier, with 40% over six years, but that specifically is mild winter.

And also the timing on the rent can vary, depending on what happens in the next quarter.

I would also like to know about the time when it is more than 5% in the December trade. How much volume do you talk about?

It is a low volume. I think that number is approximately 6 million. If you think that we have approximately 800-900 million revenues and about that long sales, we have about 100 million that falls up every year. In the perfect world, we have to trade the urban part of the portfolio, which is not Stockholm, at about 30%, so 25 million is what we want to trade per year. Then in a quarter it will be normally lower, but we want to reach a little higher than 5%. We want to have a number of rentals that will be around 20-25%, which has been historically. It is on a lower base than what we want, but I think it is on -5.4 million crowns, the base that they trade.

What can you say about the geography of what we have been dealing with? Is it a split or a concentrated area?

It is concentrated in Stockholm, the best conditions in Stockholm.

You have about 10% of the revenues that are out of Sweden, especially in Denmark. Based on the debt side, do you also have loans in Sweden? I think you have a Danish analysis.

We have loans in Sweden, but we are in the local currencies of the local banks. We use the real credit system in Denmark.

Can you imagine that it is about the same size as an international loan? It is a little representative.

I do not know if I am asking the right question, but if we take the large volume in Denmark, it is about a significant lower loan rate, 155% loan rate, on the other hand, lower margin.

That was everything. Thank you.

That was all the questions we had. Thank you for today's presentation. Thank you to everyone who has asked questions.