Sweden's enforcement authority Kronofogden has priced the bankrupt housing association Femmans hus, known as the Chinese Wall, at 60 million kronor in Rosengård, Malmö. The property needs major renovations estimated at 40–50 million kronor, according to housing company Trianon. A viewing took place on Tuesday morning for potential buyers.
The housing association Femman in Rosengård went bankrupt last autumn with debts of 3.5 million kronor. Kronofogden is now selling the rundown property, comprising 67 apartments over nine floors, to cover the debts. The asking price is 60 million kronor, though no full technical survey has been conducted, and more issues may arise, according to Johannes Paulsson at Kronofogden. Housing company Trianon has managed the property under forced administration for the past year. Its CEO Olof Andersson attended Tuesday's viewing as both administrator and potential buyer. “In principle, all apartments in the building will need to be renovated. We assess it will cost between 40 and 50 million kronor to get this house into acceptable condition,” he said. Renovation needs include elevators, laundry facilities, ventilation, and moldy apartments. On Tuesday, representatives from several housing companies toured the gray concrete building, climbing stairs—elevators are not recommended—through empty apartments and into the basement. The property's issues gained national attention seven years ago via Sydsvenskan reporting, leading to new laws protecting residents in housing cooperatives. Selling an entire association is highly unusual, Paulsson emphasized. Upon sale, the units convert to rentals, as with the neighboring property bought by municipal company MKB in 2021. Former owners lose their investments but remain liable for any bank loans. The auction is upcoming, with access possible by late April.
