In the first quarter of 2026, Heimstaden Group increased rental income by 4.2% on a like-for-like basis, while maintaining a very high occupancy rate of 98.7%. Despite continued geopolitical volatility, the group confirmed the resilience of its business model, achieving a record NOI margin. As part of its privatisation programme, Heimstaden sold 634 apartments with a total value of SEK 2,609 million.
In the first quarter, Heimstaden continued to deliver stable growth and high operational efficiency. Rent increases above inflation and a high occupancy level contributed to a further improvement in operating results. The LTM NOI margin reached a record 72.6%, while the quarterly NOI margin rose to 70.8%. Solid operating fundamentals also supported a 0.8% increase in property values.
The net LTV ratio improved further to 48.6%, while the interest coverage ratio rose to 2.3x. In the first quarter, the group also issued EUR 500 million in hybrid bonds, strengthening its financing structure and reducing short-term refinancing risk.
The first quarter of 2026 brought very strong privatisation results. Across all markets, a total of 634 apartments were sold at a 30.4% premium to book value, confirming sustained strong investor interest in the residential sector.
“We started 2026 with strong momentum. Solid operating fundamentals, rent growth above inflation and a high occupancy rate enabled us to achieve a new record NOI margin,” said Helge Krogsbøl, Co-CEO of Heimstaden.
“We are well prepared to operate in the current volatile market environment. Limited refinancing needs provide us with high predictability and resilience to short-term fluctuations. At the same time, we continue to see strong interest from banks in financing residential real estate, supported by significant capital availability,” added Christian Fladeland, Co-CEO of Heimstaden.
“In Poland, we are maintaining stable operating results with a dynamic business model, achieving a very high operating margin — the highest we have reported so far — supported by solid rent growth of 4.6%, even after taking vacancy effects into account. Rental income amounted to SEK 52 million, while the portfolio value, after including the effect of privatisation, increased again to around SEK 4.3 billion. At the same time, we are actively carrying out sales. In the first quarter, sales from the rental portfolio amounted to SEK 239 million. Including the Oh!Praga project, this was our best quarter in terms of apartment sales since the start of the privatisation process. At the same time, we signed more than 300 new lease agreements,” said Paweł Romańczuk, Head of Asset Management & Operations at Heimstaden Poland.
