Hi!
The Q1’26 presentation focused almost entirely on sales in Asuntosalkku’s premium area in Tallinn (approx. 170 apartments). In Tallinn, Asuntosalkku has approx. 650 apartments. How does the Tallinn housing market look and develop in the so-called non-premium areas?
Asuntosalkku has approx. 60% of its balance sheet value and 70% of its apartments in Finland. These were hardly mentioned. About 45% of the Finnish housing stock was built in the 70s or 80s. There is hardly any information about the Finnish apartments on Asuntosalkku’s website anymore. In Finland, apartment prices and rents have fallen over the last five years, while maintenance fees continue to rise. The maintenance backlog of the older housing stock is growing, and major pipe renovations are approaching. Rents will continue to fall further. There are many reasons: 1) oversupply, 2) changes in student support, 3) Kela’s (Social Insurance Institution of Finland) generally stricter line on granting housing allowances and other benefits. I have owned a fairly large portfolio of apartments in the Helsinki metropolitan area since 2002, so I have a feel for the market.
I would like a portfolio analysis from Inderes or a report from Asuntosalkku where the housing portfolio is divided into 1) Finland, 2) Tallinn premium areas, and 3) other areas in Tallinn. But I am particularly interested in the situation in Finland.