Nordic region’s first WELL-certified building to be built by Castellum
Castellum has begun construction on a new office building in the Hyllie district of Malmö – the first building in the Nordic countries which has been registered for certification according to The WELL Building Standard, a new international building standard that takes responsibility for people’s health and well-being in their workplaces. The investment is estimated to SEK 350 million, including land acquisition.
Eminent – the building’s market designation – is part of Hyllie 4:2, and will comprise 9 600 sq. meters of leasable area. The new building is expected to be completed during the first quarter of 2019.
Castellum has signed two leasing contracts, corresponding to an economic occupancy rate of 62% in relation to the total annual rental value of SEK 22,7 million. It is a five-year agreement with Boozt Fashion AB regarding approx. 4 900 sq. meters and a seven-year agreement with Open Community Concept AB (Mindpark) regarding approx. 1 500 sq. meters.
“It is satisfying to grow with a leading-edge project in the well located Hyllie – and that the property is already well-rented”, says Henrik Saxborn, Castellum’s CEO. “It is also good to note that we are taking the next major step on our sustainability journey after last year being ranked as the world’s most sustainable real estate company in the segment of office and logistics premises”.
WELL-certification is based on parameters defined by scientific studies developed by the WELL Building Institute (IWBI), an independent organization based in New York. IWBI awards certificates, which are issued on third-party approval. Today, only around 30 WELL-certified buildings in the world are present.
WELL is assessed on seven concepts which influence health. Most new and modern buildings already comply with four of these – air, water, light and sound. But the three remaining concepts – nourishment, fitness and a sense of well-being (mind) – are unique for this new certification method.
A few examples in the new office building in Hyllie:
- Art and design will promote everyday exercise on the stairways
- Outdoor offices in the courtyard and a roof with a view of the Öresund Bridge
- Bicycle service and electric-car charging points
- Square foot gardening on the roof and an on-site bistro
- Vertical gardening of edible plants on the outer walls
- Group activities for tenants, for example: yoga on the roof and running in the park
- In the café / bistro, more useful dietary options will be offered, including less exposure of sugar products
- Information through literature and signage that makes tenants aware of how diet and exercise contribute to better health
The building will also be environmentally certified with the ambition to reach Miljöbyggnad Gold level.
After deduction for outstanding commercial papers, Castellum has unutilized credit of approx. SEK 10 billion, which will be utilized for this investment.
Castellum is one of the major listed real estate companies in Sweden. The fair value of the real estate portfolio amounts to approx. SEK 74 billion, and comprises of commercial properties for office, retail, warehouse and logistics with a total lettable area of approx. 4.4 million sq. meters.