Aros is one of the larger residential developers in the greater Stockholm region. It mainly develops apartments for the mid+ segment but also for the affordable housing segment. Aros operates a relatively slim organisation with e.g. outsourced construction. Aros’ projects are increasingly being developed on its own balance sheet, compared to in fund structures and joint ventures as it has mainly been historically. The company intends to develop a portfolio of investment properties to secure steady income streams. Aros ordinary shares were listed on First North in 2021: the main shareholders are Vencom and ALM (since H2’22).
Low/negative GDP and population growth, demographic changes, high inflation and/or interest rates are all risk factors for Aros, as it may reduce customers’ purchasing power and/or willingness to buy new homes. Rising input costs for construction as well as changes in legislation and/or politics are also significant risk factors for the company. Finally, Aros is exposed to the risk of declining property values, and banks/lenders’ willingness to provide suitable financing.