Note 18 Investment property

Investment properties consist of owned and leased assets.

Group, MSEK Note 2019
Koncernen, Mkr Not 2019
Investment properties – owned 
Förvaltningsfastigheter – ägda 500
Rights of use – leased with Nyttjanderätter – leasade 36 36 58
Total Summa 558
Group 2019‚ MSEK Investment property Construction in progress Total
Koncernen 2019. Mkr Förvaltningsfastigheter Pågående nyanläggningar Totalt
Opening acquisition value Ingående anskaffningsvärde 380 260 640
Purchases Inköp 62 62
Sales/disposals Försäljningar och utrangeringar -143 -143
Reclassification Omklassificering 266 -266
Exchange rate differences Valutakursdifferens -4 7 3
Closing accumulated acquisition value Utgående ackumulerade anskaffningsvärden 561 1 562
Opening depreciation Ingående avskrivningar -41 -41
Sales/disposals Försäljningar och utrangeringar 3 3
Depreciation Avskrivningar -14 -14
Closing accumulated depreciation Utgående ackumulerade avskrivningar -52 -52
Opening write-downs Ingående nedskrivningar -10 -10
Closing accumulated write-downs Utgående ackumulerade nedskrivningar -10 -10
Closing recognized value Utgående redovisat värde 499 1 500

 

In addition to owned investment properties there were rights of use of leaseholds for SEK 58 million at the end of 2019. The recognized value was SEK 53 million when IFRS 16 Leasing was implemented on January 1, 2019. The change during the year is due solely to index and exchange rate changes.

Group 2018‚ MSEK Investment property Construction in progress Total
Koncernen 2018. Mkr Förvaltningsfastigheter Pågående nyanläggningar Totalt
Opening acquisition value Ingående anskaffningsvärde 819 117 936
Purchases Inköp 59 190 249
Sales/disposals Försäljningar och utrangeringar -588 -16 -604
Reclassification Omklassificering 90 -31 59
Closing accumulated acquisition value Utgående ackumulerade anskaffningsvärden 380 260 640
Opening depreciation Ingående avskrivningar -55 -55
Sales/disposals Försäljningar och utrangeringar 24 24
Depreciation Avskrivningar  -20 -20
Reclassification Omklassificering 10 10
Closing accumulated depreciation Utgående ackumulerade avskrivningar -41 -41
Opening write-downs Ingående nedskrivningar -10 -10
Sales/disposals Försäljningar och utrangeringar 10 10
Reclassification Omklassificering -10 -10
Closing accumulated write-downs Utgående ackumulerade nedskrivningar -10 -10
Closing recognized value Utgående redovisat värde 329 260 589

 

Loan interest of SEK 0 million (4) has been activated during the year.

Accumulated fair value

At year-end fair value amounted to SEK 603 million compared to the recognized value of SEK 500 million. At year-end 2018 fair value amounted to SEK 707 million compared to the recognized value of SEK 589 million. The fair value of the rights of use (leaseholds), in addition to the recognized value, is immaterial.

Valuing technique, hierarchy and significant unobservable inputs

The valuation of the above fair values are classified on level 3 in the fair value hierarchy. The valuation is built on an internal valuation model. As a complement to this valuation annual external market valuations are obtained for a number of objects. Fair value has been determined through a combination of applying the location/price method, based on recognized comparable purchases and the yield method.

Effect on profit/loss for the year

Group, MSEK 2019 2018
Koncernen, Mkr 2019 2018
Rental revenue Hyresintäkter 61 53
Direct costs for investment property that generated rent during the year (operational and maintenance  costs, property tax and ground rent) Direkta kostnader för förvaltningsfastigheter som genererat hyresintäkter under perioden (drift- och underhållskostnader, fastighetsskatt och tomträttsavgäld) -29 -21
Direct costs for investment property that did not generate rent during the year (operational and maintenance  costs, property tax and ground rent) Direkta kostnader för förvaltningsfastigheter som inte genererat hyresintäkter under perioden (drift- och underhållskostnader, fastighetsskatt och tomträttsavgäld) -6 -4