• Rec. PTP 4% below ABGSCe
• CEPS est. down by 3-4% for '25-'26e
• Share trading at ~10% premium on '25e P/CEPS

Minor miss on most items

Fastpartner reported Q1 rental income of SEK 579m (-1% vs. ABGSCe at SEK 584m), and lower-than-expected NOI at SEK 384m (-3% vs. ABGSCe at 397m), with a 1.2pp weakening of the NOI-margin y-o-y to 66.3%, on account of increased heating and heavy snow removal costs. Thus, recurring PTP was -4% vs ABGSCe. Albeit that occupancy came down ~30bps q-o-q to 92.6%, this was the first quarter since Q2'22 with positive value changes of SEK 119m (0.4% of property values vs ABGSCe at -0.4%), mainly on the back of a large signed lease and due to divestments above book value. Net LTV (ABGSC definition) declined 0.8pp q-o-q to 48.5%.

Nasdaq leaves 24,000sqm for Stockholm CBD

While Fastpartner signed several new leases and divested ~8,600sqm in Stockholm during Q1'24, the big ticket item was the confirmation that Nasdaq, after nearly 20 years, will vacate its 24,000sqm lease in Frihamnen for new premises in Stockholm CBD that is roughly a third of the footprint (8,300sqm). Nasdaq will enter its new lease on 1 April 2025. We do not know the details of the terminated lease, although we assume a rent of SEK 3,500sqm, which accounts for ~3.5% of FastPartner's economic occupancy. Furthermore, Gant will this summer leave its premises (6,000sqm) in the same property in Frihamnen; adding ~1pp on vacancy. With only H&M left, it will likely turn into a project property.

P/CEPS at a premium to the sector in '25e-'26e

Project completions are getting closer, while the recent negative net leasing weighs on estimates. In total, we adjust CEPS by 3-4% for '25e-'26e. The share is trading at a P/CEPS of 19x on 2025e, around a 10% premium to the sector at 17x, but the premium decreases further into 2026 due to the high share of floating debt in FastPartner. Historically, the share has traded at a clear premium to the sector.