Investment Strategies in Owner-Led Real Estate Companies : A qualitative study on the family's influence on investment decisions in Swedish real estate companies

This study examines the factors that influence investment strategies in family-owned real estate companies, with a focus on how family influence shapes decision-making within these firms. The research is based on a problem formulation that identifies both financial factors and socioemotional values that may affect investment decisions, particularly in the context of expanding property portfolios. The aim is to describe and explain the significance of these factors for investment strategies related to expansion. The study adopts an abductive research approach and employs a qualitative method, conducting five semi-structured interviews with key individuals from five different family-owned real estate firms. The findings provide insights into how socioemotional factors concretely affect investment strategies and demonstrate that investment decisions are largely shaped by the family’s long-term perspective, control over the company, and strong social bonds. These factors influence capital structure, risk tolerance, relationships with external stakeholders, and potential financial returns. Based on the analysis of empirical data and theoretical frameworks, the study concludes that family influence often contributes to loyalty and responsibility toward the company’s long-term survival, which is prioritized over short-term profit. However, generational transitions can lead to bureaucratic challenges and require balancing control with growth ambitions.