NIB funds Heimar’s real estate investments in Iceland

The Nordic Investment Bank (NIB) has approved a 12-year investment loan of ISK 4,500 million (approx. EUR 31 million) to Heimar hf to finance three real estate projects in Iceland—the refurbishment of a health and medical center, the expansion of a nursery home, and the construction of an office building.

This loan is financed by the proceeds of NIB’s seven-year, 8.5 billion Icelandic krona inflation-linked NIB Environmental Bond, issued on 20 February 2025.

In Akureyri, the Sunnuhlíð 12 project has reimagined a former shopping center into a modern 4,830 m² health and medical center with an 820 m² extension. The facility, home to both public and private healthcare providers, offers the region’s only major clinic for specialised treatments, reducing the need for travel to Reykjavik. Full operations began in June 2024, making it a central part of healthcare in Northern Iceland.

The investment loan will also finance the expansion of the Sóltún 2 nursery center in Reykjavik, increasing the facility’s size from 6,870 m² to 10,360 m² and adding 67 new care spaces to the existing 92. This upgrade will modernise the facility and address the rising demand for senior care. Construction is expected to begin in 2025, with completion expected by late 2027.

In Kopavogur, Heimar is building an office building, Silfursmári 12, near the Smaralind shopping center. The building will be a new office, retail, or service space in a prime location in Smarinn, at the heart of the capital area. The property will offer diverse opportunities for businesses looking to take advantage of its strong location, excellent facilities, and flexible layout.  Completion is targeted for autumn 2025.

“We are thrilled to launch NIB’s first ISK bond in two decades and are grateful for the strong interest shown by investors. By supporting these real estate projects, we are creating essential spaces that improve healthcare, expand senior care, and drive economic activity in Iceland,” says André Küüsvek, NIB President & CEO.

 “We’re thrilled to see Heimar’s strategic direction over the past years gaining recognition from a leading financial institution in the Nordic region. With increasing interest from foreign investors, this milestone is a key step in diversifying our funding, fueling the continued profitable growth of our core assets,” says Halldór Benjamín Þorbergsson, Heimar CEO.

Heimar hf is an Icelandic real estate company listed on Nasdaq Iceland Stock Exchange. Heimar invests in, leases and manages commercial real estate in Iceland.

NIB is an international financial institution owned by eight member countries: Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden. The Bank finances private and public projects in and outside the member countries. NIB has the highest possible credit rating, AAA/Aaa, with the leading rating agencies Standard & Poor’s and Moody’s. Read more at www.nib.int.

For further information, please contact
Sari Cabell, Senior Banker, at +358 10 618 0519, Sari.Cabell@nib.int

Iiris Anttalainen, Communications, at +358 10 618 0258, Iiris.Anttalainen@nib.int