Daily Newsletter

29 November 2023

Daily Newsletter

29 November 2023

BRA Bygg signs contract for Gothenburg office building in Sweden

More than half of the office space at the peninsula has already been signed.

Upasana Mukherjee November 29 2023

BRA Bygg, a Swedish subsidiary of Veidekke, has entered a collaboration contract with Global Business Gate for the construction of a new Gothenburg office building project in Sweden.

The Global Business Gate office project, owned by Elof Hansson Fastigheter and Alecta Fastigheter, is expected to serve as a hub for internationally oriented companies.

BRA CEO Magnus Riemer said: “We look forward to working with the Global Business Gate team on the construction of the project, which takes place at one of Gothenburg's best office locations.”

The development will be situated on a new peninsula that extends approximately 100m into the Götaelven River at Masthuggskajen, with more than half of the office spaces already signed.

It will consist of two buildings covering a total area of 46,000m² with 26 and 12 floors, respectively.

The first tenants are expected to start moving in late 2027.

Global Business Gate CEO Michael Walmerud said: “Together with BRA Bygg, we are now starting work on the construction of Global Business Gate, which will be an innovative hub and meeting place for export-oriented and international businesses.

“After many years of planning the project, we are pleased to tell you about our collaboration with a contractor on the actual construction.”

The collaborative phase of the project has started.

Veidekke will add the building contract to its order book once the collaboration phase concludes and a construction contract is signed.

This comes after BRA Bygg was contracted by Catena to construct two new logistics buildings with a total area of more than 50,000m² at Landvetter in Gothenburg.

Saudi Arabia construction market dynamics

Per GlobalData, between 2024 and 2027, the Saudi Arabian construction industry is projected to register an AAGR of 5% in real terms, supported by investments in various sectors such as data centers, logistics zones, renewable energy, housing, and tourism projects as part of the Kingdom’s ‘Vision 2030’ economic diversification plan. Construction activity in the energy and utilities sector is estimated to grow at an AAGR of 5.6%, supported by the government’s aim to increase the renewable energy capacity and achieving zero net carbon emissions by 2060.

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