Urban Partners’ real estate investment arm, Nrep, has, through its NSF V fund, entered into a strategic partnership with Swedish care home developer Sehlhall Fastigheter (‘Sehlhall’). The new venture has an ambition to become Sweden’s leading later living developer and manager, with a significant identified pipeline.
The initiative will meet the need for a major boost to Sweden’s social infrastructure provisions, focusing on the development of modern care and nursing home facilities, designed with the well-being of residents, families, and staff in mind.
As Sweden’s elderly population grows rapidly, the demand for new care home units is estimated at approximately 3,000 per year, equivalent to around 50 new facilities annually. In addition, there is a significant need to modernise the existing property stock. Addressing this challenge requires new solutions, greater resources, and players with the right experience, capabilities, and long-term approach – both in strategy and in capital.
Nrep’s investment marks a new phase for Sehlhall, transitioning from a development-focused company to a long-term owner. With a significant capital injection, Sehlhall will now be able to scale its operations and build a portfolio of properties for long-term management. Nrep’s extensive experience in developing, owning, and managing social infrastructure across the Nordics complements Sehlhall’s agility and its position as a leading player in the senior living sector.
The partnership creates a strong foundation for meeting an increasing societal need. The ambition is, as a first step, to develop at least 40 new care home developments across Sweden over the next five years, in growing municipalities presenting high demand. The partnership aims to build a portfolio valued at approximately €700 million.
Rune Kock, CEO at Nrep, said: “We are entering into this venture with Sehlhall as a long-term and active partner. Both of our organisations share a clear commitment to strengthening Sweden’s social infrastructure – an increasingly vital mission in the face of today’s welfare challenges. Over the years, we’ve followed Sehlhall’s impressive progress closely and have already experienced the strength of our collaboration through previous successful partnerships. As the market leader in sustainable care facility development, Sehlhall is uniquely positioned for long-term growth. Together, we are focused on building a high-quality, enduring portfolio that sets a new standard for elderly care in Sweden.”
With €1.6 billion of exposure to the sector, Nrep is an established investor in care homes across the Nordics, predominantly through its “Altura” platform brand, which currently manages approximately 60 modern care assets. Altura will continue to operate as a separate platform within Nrep, with an ongoing ambition to expand its portfolio of high-quality elderly care facilities through acquisitions, independently of Sehlhall. By continuing to focus on their respective platforms—Altura and Sehlhall—Nrep aims to develop long-term, sustainable elderly care solutions throughout the Nordic region, responding to clear and growing demand.
Dan T. Sehlberg, CEO and founder of Sehlhall, said: “With Nrep as a new co-owner, Sehlhall gains the ideal investment partner to strengthen our execution capabilities. This capitalisation enables us to continue growing our existing platform and to carry out even more projects for long-term asset management. We are pleased to be growing our contribution towards addressing Sweden’s demographic challenges. This feels both important and inspiring.”
