Hines Makes First HEREP IV Investment With 3,200-Home Stockholm Platform Alongside Vincero Fastigheter

LONDON / STOCKHOLM – Hines, a global real assets investment manager, announced Oct. 16 its first investment on behalf of Hines European Real Estate Partners IV (HEREP IV): a multifamily development platform in Stockholm, Sweden, with the potential to deliver approximately 3,200 homes. The firm is partnering with residential developer Vincero Fastigheter on the project, and completion of the transaction remains subject to regulatory approvals.

Hines Targets Stockholm's Living Sector

The platform comprises existing industrial assets with the potential to be converted to residential use across two sites in Storängen and Segeltorp. Both sites are within walking distance of key bus and rail transport links, according to Hines. The firm described the platform as one of the largest residential rezoning and development opportunities in the Stockholm region.

The investment takes the form of a 50% stake in Vincero Fastigheter Holding AB, creating a long-term joint venture. Vincero remains responsible for development, zoning-plan work and execution. The platform's estimated completed value exceeds SEK 10 billion, which equates to roughly SEK 3.1 million per planned home. That figure is an implied development value rather than a transaction price.

"Across Europe, the strongest opportunities have been in markets where demand is resilient and supply is hardest to deliver," said Alfonso Munk, Global Co-Head of Investment Management at Hines. "That is why we chose Stockholm's living sector for HEREP IV's first investment. We believe it is a market where Hines' integrated investor, developer and operator model can potentially support long-term value creation while helping address an urgent need for new homes."

Vincero Fastigheter Partnership and Project Details

Hines said the transaction reflects its ability to source complex, off-market investments through long-standing relationships. The deal was originated by the firm's Nordics team, which will oversee the project locally.

"This platform represents a rare opportunity to deliver new housing at scale in well-connected commuter locations across the Stockholm region," said Andreas Rutili, Co-Founder of Vincero Fastigheter. "We look forward to combining our deep understanding of the local market with Hines' global real estate expertise to help bring these communities to life."

Three named projects account for about 470 of the planned homes: Verkstaden, with approximately 285 apartments, and Trehörningen, with approximately 90 homes, both in Storängen in Huddinge; and Instrumentet, with approximately 95 homes in Örnsberg in the City of Stockholm. The broader platform spans Storängen, Segeltorp and Örnsberg and totals approximately 3,200 building rights.

Staffan Unge, Head of Nordics at Hines, said the investment is "a natural next step in Hines' commitment to the Stockholm residential market, building on our global track record of developing high-quality residential communities around the world." He added: "Together with Vincero, we are well positioned to advance one of the region's largest residential development projects and seek to deliver lasting benefits for both investors and future residents."

HEREP IV and the Hines Fund Platform

HEREP IV reached a first close in July 2026 with more than €500 million in equity commitments. The prior vintage, HEREP III, closed in November 2023 with more than €1.6 billion in equity, making it one of Europe's largest closed value-add strategy funds, according to Hines. Total equity commitments across the HEREP series now exceed €3.9 billion. The Stockholm investment was acquired by a sub-fund of HEREP IV.

The series is led by Fund Manager Methan Milkhu and forms part of Hines' global fund platform spanning core, core-plus and opportunistic/value-add strategies across Europe, the Americas and Asia Pacific. Hines, founded in 1957, has 4,600 employees in 29 countries and manages approximately $91 billion of assets as of June 30, 2026.

Stockholm Housing Supply Backdrop

The transaction comes as Stockholm combines persistent housing demand with constrained new supply. Sweden completed about 38,851 multifamily apartments in 2024, but completions fell to approximately 25,792 in 2025. National multifamily housing starts were forecast at roughly 22,000 in 2026. Of the municipalities still reporting housing shortages, 42 are located in the Stockholm, Gothenburg or Malmö regions.

Sweden's residential vacancy rate was 1.3% in 2024. Average Greater Stockholm rents reached approximately SEK 1,693 per square meter annually in 2025, up 6.5% year over year, while prime rents for newly developed residential properties in Greater Stockholm were approximately SEK 3,000 per square meter annually in the second quarter of 2026. About 2,600 apartments were started in multifamily buildings across Greater Stockholm, Greater Gothenburg and Greater Malmö during the first quarter of 2026, a 45% increase year over year from a low base.

Outlook for the Stockholm Residential Platform

The investment places the initial capital of HEREP IV into a large-scale residential development platform rather than a completed, income-producing apartment building. Hines supplies institutional capital and global investment and development capabilities, while Vincero Fastigheter contributes Swedish planning and execution expertise. The pace of delivery will depend on rezoning and the regulatory approvals required to complete the transaction.

Sources

• Hines: Hines Launches Fourth European Value-Add Fund with Stockholm Living Investment