Kinderegg in Kvadraturen

– I don't think anyone makes an investment of a quarter of a billion without feeling a little nervous, but we really believe we've hit the jackpot, Vestli smiles.

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 / 06/06/2024 / Kristian Dugstad

The case is taken from TONO's transparency report, read the full report here

The TONO manager is standing in the backyard at Kongens Gate 12. The 125-year-old building in Oslo was built as the Norwegian headquarters for the Danish Moresco. At the time, it was a workshop and wholesaler of coats and fur goods.

Now it will become a nerve center for music in Norway.

“Three wishes at once”

The news was announced at the end of November 2023. With a stroke of the pen (or rather an approval with bankID), TONO secured the largest investment in the organization's history.

– It's like a Kinder Egg, three things at once, says Vestli. He holds up one of the well-known children's chocolates that have been purchased for the occasion, and smiles at the camera. The Kinder Egg's trinity is said to consist of the chocolate, the toy and the surprise itself. There is little doubt that the property purchase came as a surprise to many, but let's put the metaphor aside there.

– The three big gains at Kongensgate 12 are the financial investment, the new office space and the member facilities we can offer. In total, TONO paid in the tidy sum of NOK 242,5 million. A significant sum of money.

– There are probably some who are wondering whether this will affect future payments. The answer to that is categorically no, Vestli assures. Until recently, TONO has had funds in accounts, in bonds and low-risk funds. In 2023, TONO's members decided, at the annual meeting on June 6, that property purchases could be a way to invest money.

– But just as important are the incredibly exciting opportunities the building offers for its members, says Vestli.

Read more about how TONO finances the purchase of Kongens Gate 12 here

Studios and session rooms

The purchase of Kongens gate 12 is much more than a mere investment of funds. The premise for TONO's entire home purchase is that it should be precisely a home. For us – for our industry colleagues – and for you who are a TONO member. – Unlike shares, funds and interest-bearing securities, this is an investment that can actually benefit both TONO's members and the music industry, says the TONO director.

The ambition is a music studio, session rooms and writing suites, facilities for concerts and events, and social zones where members and customers can meet.

– TONO's statutes state that we will work for the innovation of music. We take that literally when we establish studios and meeting places. We facilitate the creation of more music, more collaborations and greater income, and we also want to get closer to our members and the music industry. By opening our doors and inviting people in, we believe we can achieve this.
By realizing these visions, TONO also fulfills an obligation to its members. A portion of the money that finances the property purchase comes from the sale of TONO's former property at Tøyenbekken 21. In 2022, TONO's annual meeting decided that this money should be earmarked for cultural purposes, and used to establish a music room for TONO's members.

Around the next bend

It has been just over two years since TONO celebrated its move-in as tenants at Møllergata 4. After over 30 years in Galleri Oslo on Grønland, the transition to modern premises and an open office landscape was marked by a mixture of fear and joy. All in all, the experience has been very good. Although the administration remembers the previous round vividly, the Kongens Gate 12 project is of completely different dimensions.

– TONO learned a lot from the previous relocation process. Not least what we can do ourselves, and where we should invest in outside expertise. The process we are now in involves, among other things, technical investments in the building, design of member facilities, public applications and rentals, in addition to our own relocation, says Vestli.

TONO has therefore engaged skilled partners. The project will be led by Fokus Rådgivning, who have previously been responsible for major projects, such as the renovation of Sentralen. They are working closely with HAARK/Hammer Arkitekter and interior architects Kravik-Jørundland.

So to the thousand-dollar question: When? When can we open the musical cheekbones to those it's about – the Music Makers?

– I don't dare set a date here and now, but it's probably realistic that we will start moving into the transition in 2024-2025. Member facilities will open during the next year.

TONO had a turnover of NOK 997,9 million in 2023, see the press release about the results here