Nordicum - Real Estate Annual Finland 2020

Sepänkatu 20 consists of five floors above ground and two below; all premises are easily modified according to companies’ needs. The business campus will boast an impressive lobby, lounge and restaurant. There will be conference rooms beside the lobby and a unique setup of smaller offices. Make It a Double According to Lind, the first business cam- pus, Ydinkeskusta (City Center), has been such a great commercial success that Tech- nopolis has been planning to “double the fun” for quite some time now. “In downtown Oulu, there is high demand for modern, flexible office space,” Lind says, adding that the retooling of the city center has shaken things up a bit – in a good way. “The City of Oulu has a clear vision about downtown and the means to see it through,” Lind says, clearly pleased with the dynamic, ‘can-do’ attitude. According to Lind, Sepänkatu 20 is a great choice for companies looking for mod- ern and space-efficient office premises. For instance, ventilation, lighting, telecommu- nication solutions and acoustics are of the highest standard, and space utilization effi- ciency is top-notch as well. Companies today also appreciate a great location, he adds. “Technopolis Oulu is located right in the heart of Oulu city center. Campus is easy to access by train, bus or car.” The railway station, for instance, is only a ten-minute walk away. Retail Renaissance A major move was made in downtown Oulu in the summer, as Trevian real estate fund purchased the majority of the shopping block Pekuri, formerly known as the Stock- mann building. Located in the very heart of the city by the Rotuaari pedestrian boule- vard, the block features as much as 17,000 square meters of leasable space. Commercial Director Tea Siivola from Trevian says that the property in question was highly attractive in the eyes of the real estate fund. Oulu – Fast Facts – over 200,000 residents (250,000 in Oulu Region) – growth in purchasing power during last 10 years among Finland’s strongest – renewed university campus of 23,000 students kicks off in 2020 – average age of residents in Oulu Region youngest in Finland – largest investment projects in coming years: • Nallikari holiday resort +100 Meur • Station center and areena +450 Meur • Terwa Tower – seaside hotel +100 Meur • Future Hospital 2030 projects +1,500 Meur – office vacancy rate at the city centre 4,3 % (Q2/2019) – retail vacancy rate at the city centre 5,8 % (Q2/2019) “Pekuri is the number one spot in town, featuring a lot of opportunities for develop- ment,” she says. The “battle plan” has already been drawn out: the first floor is to feature stores, the second floor will house entertainment and a food garden and the top floors (3–5) will be reserved for offices. “Pekuri can accommodate about 1,000 office workers,” Siivola says. Major Appeal The beauty treatment of the venerable old property, dating back to 1947, will not come cheap: Siivola talks about Trevian investing tens of millions of euros into the make-over. “We want to open up the block and make it more accessible and enjoyable to the citizens,” she says, adding that the service offering will get a serious upgrade, too. A lot of international retail chains, for instance, are interested to hear about the new direc- tion of Pekuri and are now seriously con- sidering Oulu for operations, perhaps for the first time. “We’ve had a lot of very good negotia- tions and expecting new chains for tenants.” More Opportunities to Come? Trevian was active in the local real estate market also in the spring, as it purchased the Pauketie 2 property (6,210 sqm) which houses a car dealership. Siivola says that this year’s two purchases reflect the fact the Oulu is an exciting, dynamic city in the eyes of the real estate fund. “We’re sure to be active again, as a suitable opportunity presents itself,” she says. In fact, Siivola says she has been “positively surprised” by Oulu’s high-level appeal of late: “Talking with prospective tenants, it is clear that they have been quite impressed with Oulu’s recent development.” Juha Ala-Mursula points out that Oulu has some “extra edge” in the field of real estate, too: the city boasts a series of Prop Tech companies who use hi-tech to boost the performance of buildings. “Use of sensors and IoT is opening new possibilities in real estate, for instance, in lighting or safety solutions,” Ala-Mursula comments. l Nordicum 29

Nordicum - Real Estate Annual Finland 2020 | Page 29