Corem as an investment

Corem is a long-term property owner as well as an active shareholder in Nordic property companies. Through its property business, Corem acquires, manages and transforms properties in attractive logistics locations, with the goal of becoming a leader in the city logistics property market.

Corem has been active in warehouse and logistics properties since it was founded in 2007, creating value for its sharehold­ers through dividends and by increasing the value of its shares. Its solid industry knowledge is a good foundation both for active ownership of other listed property companies and for creating value in its own property portfolio. Ensuring sustainable working methods is an integral part of the business and a prerequisite for long-term value creation.

A growing property company Ever since it was founded, Corem has actively developed and expanded its property portfolio, primarily by acquiring properties. It has grown at a steady pace while maintaining its profitability. The company’s focus is on properties in growth zones with strong future potential, with the aim of becoming a leader in the city logistics property market in selected locations. Continued growth is therefore an important part of Corem’s strategy and the right geographical location and potential for transformation are key factors in acquisitions. In 2020, the portfolio was expanded through project development and acquisitions.
Solid foundation in focused management Corem owns and manages attractively situated properties with a lettable area of nearly 1 billion sqm. With a rental value of SEK 970 million, a broad customer base with 670 unique tenants, and an economic occupancy rate of 93 percent at the end of 2020, the portfolio provides a sound base for the business and a solid foundation for future investment. A geographically pooled portfolio ensures proximity to clients and valuable management synergies. Corem’s own management of its properties is key to creating value over time and its proactive management approach has produced good returns from the outset.
Continuous development and transformation The transformation and development of the property portfolio has become an ever more important part of the business in re­cent years, increasing value creation by in­creasing property values, reducing operat­ing expenses and satisfying clients. Corem continuously invests in property transfor­mation and in 2020 SEK 741 million was invested in tenant adaptations, new builds, maintenance projects and energy-saving measures. Continuous investment in trans­formation and development is important to ensure good long-term development of the company and the strong development of the property portfolio’s value.
A good return to shareholders Corem is listed on the Nasdaq Stockholm Mid Cap with four classes of shares: class A ordinary shares, class B ordinary shares, class D ordinary shares and preference shares. The company’s dividend policy is to distribute at least 35 percent of the reported profit from property management over the long term, less preference shareholders’ right to a SEK 20.00 dividend per share and per year. Corem has continuously provided its share­holders with steadily increasing returns on invested capital since 2007.
Sustainable over time Corem’s business model is based on long-term property ownership, with continuous management, transformation and develop-ment, to effectively develop the company’s value over many years. Every part of the business creates value not just for today, but over a long period of time. This means combining an economically sustainable business with high standards of business ethics, social responsibility and concern for the environment. This creates a long-term perspective that informs both our way of doing business and our way of working. Sustainability is integral to every part of the business and is critical to our long-term value creation. Sustainable entrepreneurship increases Corem’s competitiveness, by reducing its operational risks and ensuring that Corem is a good business partner and attractive employer that is highly trusted. The sustain-ability approach will be managed from 2021 based on three focal areas: being environmentally-friendly and saving resources, being a good business partner and being an attractive employer. Making energy savings is one of the core sustainability goals.