Renting to Companies in 2026: Block Leases and Corporate Housing
The interest in renting out housing to legal entities (companies) has exploded in 2025 and leading into 2026. For you as a landlord, this often means higher rent levels, longer contracts, and a tenant who rarely causes problems with late payments. However, renting to a company differs legally from renting to a private individual. Here is the expert guide for those who want to step into the corporate housing segment in Sweden. This guide is specifically tailored for expats and international professionals living and working in Sweden, offering practical advice and insights into navigating the Swedish rental market.
1. Why Choose a Company as a Tenant in Sweden?
Companies often seek housing for consultants, international recruits, or employees on temporary projects. The benefits for you as the owner are clear:
Ability to pay: The risk of payment default is minimal. Corporate tenants prioritize timely payments.
Less wear and tear: Many corporate apartments are used as overnight accommodations and therefore experience significantly less wear and tear than a permanent residence. This is especially true for consultants or project-based employees.
Simplified legal aspects: By using block rentals, you can in some cases waive parts of the mandatory rules of the Swedish Rent Act (see below). This provides more flexibility in negotiating lease terms.
Examples of Companies as Tenants in Sweden:
Consulting firms: Need temporary housing for their consultants working on assignments in various Swedish cities. For example, a consultant from Deloitte working on a project in Gothenburg may require a temporary apartment.
Construction companies: Seek accommodation for their employees during construction projects throughout Sweden. Think of a construction crew working on a new highway outside Stockholm.
IT companies: Need housing for specialists flown in from other countries. A software engineer from India working for Ericsson in Kista might need corporate housing.
Healthcare sector: Rents apartments for locum doctors and nurses. A British doctor working as a locum in a hospital in Malmö would be a typical example.
Universities: Housing guest lecturers and researchers from abroad.
2. Block Rentals in Sweden: News in SOU 2025:65
One of the biggest news items in the bill that comes into force in 2026 (SOU 2025:65) is that the model for block rentals is being expanded and simplified. This is particularly relevant for expats who may be unfamiliar with the nuances of Swedish rental law.
Block rental means that you rent out at least three apartments (or parts of a property) to the same tenant (often a company) who in turn sublets them. Previously, permission from the Rent Tribunal (Hyresnämnden) was required for this, but the new rules make it easier for private individuals and smaller property owners to use this form to create a more flexible rent setting. This change reduces bureaucratic hurdles and makes block rentals more accessible.
Step-by-Step: How Block Rentals Work in Sweden in 2026:
Find a company: Contact companies in your region that may be interested in renting multiple homes. Target companies known for hiring consultants or international staff. Networking through business organizations or online platforms like LinkedIn can be helpful.
Negotiate terms: Discuss rent levels, contract duration, and what services should be included. Be prepared to negotiate on price and services like cleaning or internet access.
Write a contract: Use a standard contract for block rentals or seek help from a lawyer to create a custom agreement. It's crucial to have a legally sound contract that protects your interests.
Leasing: The company sublets the apartments to its employees or consultants. Ensure the company understands its responsibilities as a sublessor.
Advantages of the New Rules for Expats:
Reduced administration: No need for permission from Hyresnämnden (Rent Tribunal), saving time and effort.
Flexible pricing: Opportunity to set market-based rents, potentially increasing your income.
Simplified process: Easier to manage multiple units through a single tenant (the company).
3. Setting the Rent: What is a Reasonable Rent (Skälig Hyra) in Sweden?
In Sweden, the concept of "skälig hyra" (reasonable rent) is crucial. While block rentals offer more flexibility, you still need to be mindful of market rates and avoid excessive pricing. For expats, understanding this concept is vital to avoid legal issues.
Factors Affecting Reasonable Rent:
Location: Rent in major cities like Stockholm, Gothenburg, and Malmö is generally higher.
Size and condition: Larger apartments and those in good condition command higher rents.
Amenities: Features like balconies, parking, or in-building laundry can justify higher rent.
Market rates: Research comparable properties in your area to determine a fair price. Websites like Hemnet and Booli can provide valuable data.
How to Determine a Reasonable Rent for Corporate Housing:
Research comparable properties: Look at similar apartments rented to companies in your area.
Consider additional services: If you offer services like cleaning, furniture, or internet, factor these into the rent.
Be transparent: Clearly communicate how you arrived at the rent to avoid disputes.
Document everything: Keep records of your research and calculations to support your rent.
4. Contract Considerations When Renting to Companies in Sweden
When renting to a company, several contract considerations are essential. These differ from standard residential leases and require careful attention.
Key Contract Clauses:
Parties: Clearly identify both the landlord and the tenant (the company).
Premises: Accurately describe the property being rented.
Rent: Specify the rent amount, payment schedule, and any late payment fees.
Lease term: Define the start and end dates of the lease.
Use of premises: State that the property is for residential use by the company's employees or consultants.
Maintenance and repairs: Outline who is responsible for maintenance and repairs.
Termination: Specify the conditions under which the lease can be terminated.
Subletting: Clarify the company's right to sublet the apartments.
Governing law: State that Swedish law governs the agreement.
Importance of Legal Review:
It is highly recommended to have a lawyer review the contract before signing. A lawyer can ensure that the contract is legally sound and protects your interests. This is especially important for expats who may not be familiar with Swedish law.
5. Tax Implications for Landlords in Sweden
Renting out property in Sweden has tax implications. Understanding these is crucial for maximizing your returns and avoiding penalties.
Key Tax Considerations:
Rental income: Rental income is generally taxable.
Deductions: You can deduct expenses such as maintenance, repairs, and mortgage interest.
Capital gains tax: If you sell the property, you may be subject to capital gains tax.
Resources for Tax Information:
Skatteverket (Swedish Tax Agency): The Skatteverket website provides comprehensive information on tax rules and regulations.
Tax advisors: Consider consulting a tax advisor for personalized advice.
6. Finding Corporate Tenants in Sweden
Finding corporate tenants requires a different approach than finding individual renters. Here are some strategies to consider:
Strategies for Finding Corporate Tenants:
Networking: Attend industry events and connect with companies that may need corporate housing.
Online platforms: List your property on online platforms that specialize in corporate housing.
Real estate agents: Work with a real estate agent who has experience in corporate rentals.
Direct contact: Contact companies directly and offer your property as a solution for their housing needs.
Building Relationships with Companies:
Building long-term relationships with companies can lead to a steady stream of tenants. Offer excellent service and be responsive to their needs.
7. Furnishing and Equipping Corporate Housing in Sweden
Furnishing and equipping corporate housing can increase its appeal to companies and justify higher rents.
Essential Furnishings and Equipment:
Furniture: Provide comfortable and functional furniture, including beds, sofas, tables, and chairs.
Appliances: Include essential appliances such as a refrigerator, stove, oven, microwave, and dishwasher.
Kitchenware: Provide basic kitchenware, including plates, cutlery, glasses, and cookware.
Linens: Offer clean and comfortable linens, including sheets, towels, and blankets.
Internet access: Provide high-speed internet access.
Television: Include a television with access to Swedish and international channels.
Creating a Comfortable and Functional Space:
Focus on creating a space that is comfortable and functional for business travelers and temporary residents.
8. FAQ: Renting to Companies in Sweden - A Guide for Expats
Q: What is blockhyra and how does it benefit me as a landlord?
A: Blockhyra (block rental) involves renting out at least three apartments to a single company, which then sublets them to its employees. The new regulations in 2026 simplify this process by removing the need for Hyresnämnden (Rent Tribunal) approval, offering more flexibility in setting rent and managing multiple units.
Q: How do I determine a "reasonable rent" (skälig hyra) when renting to a company?
A: Research comparable properties in your area, considering factors like location, size, condition, and included amenities. Transparency in calculating rent and documenting your research is key to avoiding disputes.
Q: What are the key clauses I should include in a rental contract with a company?
A: Essential clauses include clear identification of parties, accurate property description, rent amount and payment schedule, lease term, use of premises, maintenance responsibilities, termination conditions, subletting rights, and a statement that Swedish law governs the agreement.
Q: What are the tax implications of renting out property in Sweden?
A: Rental income is taxable, but you can deduct expenses like maintenance, repairs, and mortgage interest. Consult Skatteverket (Swedish Tax Agency) or a tax advisor for personalized guidance.
Q: How can I find companies interested in renting corporate housing?
A: Network at industry events, list your property on specialized online platforms, work with a real estate agent experienced in corporate rentals, or contact companies directly. Building relationships is crucial for a steady stream of tenants.
Q: What furnishings and equipment should I provide in corporate housing?
A: Provide comfortable furniture, essential appliances, kitchenware, linens, internet access, and a television. Focus on creating a comfortable and functional space for business travelers and temporary residents.
Conclusion: Maximizing Your Rental Income with Corporate Tenants in Sweden
Renting to companies in Sweden can be a lucrative and stable source of income. By understanding the rules, regulations, and best practices outlined in this guide, you can successfully navigate the corporate housing market and maximize your returns. Remember to stay informed about changes in Swedish rental law and seek professional advice when needed. Good luck!