Nordicum - Real Estate Annual Finland 2013 | Page 49

Tap into Travel
Invest in Finland believes that there is plenty of unexplored
potential in tourism – also from the real estate perspective
Photo: Visit Finland

One of the sectors which has
really taken off in Finland
recently is travel & tourism which
still has monster potential. In
this field, there are interesting
opportunities for real estate
investors with big ambitions.
As it stands, what the industry
often lacks is prime real estate
to anchor operations, says Tuija
Tommila, Business Development
Manager from Invest in
Finland. There’s a wave of new
construction rising around the
country – but room for more, too.

“T

here are various development projects around the nation with considerable market potential. Invest
in Finland is currently mapping out projects that foreign investors and companies
can participate in,” Tommila says, adding
that the list of prospects ranges from exciting theme parks to exotic winter holiday
destinations.

Nordic Number One
Hanna Lankinen, Senior Director for Invest in Finland, points out that tourism increased significantly in Finland in 2012 –
even though global tourism numbers are declining.
“Tourism has been growing faster in
Finland than in the other Nordic countries,”
Lankinen says, adding that Helsinki’s stint
as the World Design Capital in 2012 probably has something to do with this. She lists
the strengths of tourism in Finland: the country’s location, nature and attractive travel
destinations with strong brands.
“Whether you’re opting for a holiday
in Lapland, Turku Archipelago or Helsinki,
you know that you’re in for something very
special,” Lankinen says. Another booster is
formation of tourism clusters which means
more diverse service packages.
Tommila and Lankinen believe that as
a whole, the tourism industry is underdeveloped in Finland, which means great growth
opportunities for the future.

Russian Love Affair

Finland: The Place to Be

The “ace in the hole” for Finnish tourism has been Russian visitors. In 2012,
the number of Russian tourists reached a
new record, with about 1.5 million overnight stays. Especially the turn of the year
is a hot tourist season as Russians enjoy
long vacations at the time. As 2012 eased
into 2013, about 400,000 Russians headed into Finland. Also tax free purchases by
Russian tourists increased by about a quarter in 2012.
“Proximity to Russia is a clear asset
and Russians constitute the biggest tourist group. They also spend a lot of money on vacation,” Hanna Lankinen says. In
addition to shopping, the Russians especially value Finland’s security and closeness to nature.
Still, there are other, even surprising,
opportunities emerging. For example, increasing numbers of Russian visitors are
coming to Finland for cancer treatment,
perinatal services, surgery and dental care.
The demand for Finnish health services has
been growing rapidly in recent years and
the market is expected to triple by the end
of this decade.

Tommila and Lankinen point out that Finnish tourism is in a very nice position right
now: business is booming, and the Finnish
economy has performed rather well even
with global economic turmoil pressing on.
“Finland is one of the most attractive
countries for investment,” Hanna Lankinen
says. The business environment is rooted
on honesty, as the shared number one spot
on the Transparency International’s listing
for the least corrupt countries suggests. In
addition, Forbes Magazine recently ranked
Finland as number 9 on its “Best Countries
for Business” list. Finland scored especially high in property rights (1), innovation (3)
and corruption (2).
The recent Grant Thornton Global Dynamism Index (GDI) placed Finland even
higher, ranking Finland as the second best
country for dynamic businesses to flourish.
“Furthermore, business is really easy
to do here, with access to free, transparent
information forming a solid base for operations,” Tuija Tommila says, adding that organisations such as Invest in Finland make
sure that the newcomers feel comfortable
right from the start.
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