FASHIONABLE RESIDENCES ON THE WATERFRONT

PROPERTY DEVELOPMENT: Old harbour and industrial areas in the Port of Copenhagen are in the process of being developed into highly fashionable residential areas

When property developer Sjælsø Group put a residential development in Copen-hagen harbour up for sale in 2005, potential buyers camped on the pavement for several nights prior to the sale to secure the right apartment. And that was based on just an artist’s drawing of the project. In the first few days, Sjælsø Group sold 119 apartments. Another 91 were sold in an equally short time, while various investor groups took over the other 319 apartments.

Canal system

The Sluseholm project has become one of the most fascinating residential projects in Co-penhagen in recent times. From being an old harbour and industrial area located at the old weir at the southern end of the harbour, Copenhagen Municipality, the Port of Copenhagen and a consortium led by Sjælsø Group, have developed the area into one of the most sought after residential areas for the future. Eight small islands have been created by excavation and landfill, separated by a newly constructed canal system. On each island individual buildings are constructed in close interplay with the water.

“Architecturally we wanted to create a development which on the one hand expresses individuality, and on the other meets the requirements for in-dustrialised buildings,” says Johan Stoustrup, head of letting at Sjælsø Group. “Individuality has been achieved by all buildings having different heights and colours. Windows and doors are placed differently, and the arrangement of balconies and access to the water have been created so that each resident feels that their property is different from all the others. And all this achieved without having a negative impact on the modern, effective building process which is necessary from a price perspective.”

Revitalised harbour

“The Sluseholm project is the first part of a large plan to revi-talise Copenhagen harbour,” says Johan Stoustrup. “The next project – Teglholmen – will be the development of an even bigger old harbour area situated opposite. The area will be transformed into a 160,000 m2 development with businesses, shops and almost 1,350 new residential apartments, as well as a school and various institutions.” The two harbour projects are some of Sjælsø Group’s largest projects so far. But the most spectacular is expected to be the construction of a World Trade Center in the southern part of Ørestad, Copenhagen’s new urban enterprise zone. The 130,000 m2 WTC will be located close to both the motorway which connects Ørestad with Copenhagen’s international airport, and to the Øresund Bridge which provides direct access to Sweden.

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Buying into foreign expertise

In just a few years, Sjælsø Group has become one of Denmark’s largest property developers. In 2005, the group generated revenues of approx. EUR 300 million, a growth of more than 120% compared to 2004. Sjælsø Group forecasts further growth in revenues and profits in 2006.

Growth has been driven by a boom in the Danish residential property market in the last two years. In 2007, this is expected to plateau so Sjælsø Group will intensify its focus on commercial construction.

In 2006, Sjælsø Group created a Nordic platform by acquiring Ikast Byggeindustri A7S (IBI), an expert in construction of retail parks in the Nordic region. With IBI, the group has gained access to expert knowledge not only regarding retail parks, but also the processes and official procedures required for developing office and residential projects in the countries concerned.

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