Finland’s Ministry of Defence has rejected 11 applications by non-EU and non-EEA nationals to purchase real estate in strategically sensitive areas, Defence Minister Antti Häkkänen announced on 27 October. The blocked transactions involved plots in Mikkeli, Pargas, Puumala, Taipalsaari, Savonlinna, Simo, Kouvola, Kolari and Tornio—locations that span major transport corridors, military training zones and critical coastal approaches. Applicants were citizens of Russia, Israel, Kazakhstan and Kyrgyzstan.
Under Finland’s 2020 Act on Transfers of Real Estate Requiring Special Permission, any acquisition by buyers outside the European Economic Area can be vetoed if deemed a risk to national security or the functioning of defence logistics. Since Russia’s invasion of Ukraine and Finland’s accession to NATO in 2023, Helsinki has intensified its scrutiny, viewing questionable land purchases as a potential “hybrid-influence” vector. The government has already blocked 33 such transactions since early 2024 and says it will propose additional amendments giving authorities more time to investigate complex ownership structures.
For multinational companies and relocating executives, the decision reinforces the importance of advance legal due-diligence when acquiring Finnish property—whether for staff housing, data-centre sites or logistics hubs. Deals involving foreign holding companies, trusts or ultimate beneficiaries from high-risk jurisdictions can face protracted reviews of six months or more. Real-estate lawyers report that authorities now request detailed business plans, financing sources and security-of-supply assessments before granting approvals.
While the rejections could cool certain segments of Finland’s property market—especially lakeside and archipelago areas popular with affluent non-EU buyers—the broader message is one of predictability: transactions that clearly serve legitimate residential or commercial purposes and pose no defence implications continue to be approved swiftly. Companies should, however, be prepared to provide comprehensive documentation and engage local counsel early in the acquisition process.
Looking ahead, the Defence Ministry is expected to publish new guidance in early 2026 clarifying “protected zones” where foreign acquisitions are presumptively restricted. Mobility managers should monitor these developments, particularly if planning staff housing near military garrisons, coastal infrastructure or the expanding Arctic transport corridor.
Under Finland’s 2020 Act on Transfers of Real Estate Requiring Special Permission, any acquisition by buyers outside the European Economic Area can be vetoed if deemed a risk to national security or the functioning of defence logistics. Since Russia’s invasion of Ukraine and Finland’s accession to NATO in 2023, Helsinki has intensified its scrutiny, viewing questionable land purchases as a potential “hybrid-influence” vector. The government has already blocked 33 such transactions since early 2024 and says it will propose additional amendments giving authorities more time to investigate complex ownership structures.
For multinational companies and relocating executives, the decision reinforces the importance of advance legal due-diligence when acquiring Finnish property—whether for staff housing, data-centre sites or logistics hubs. Deals involving foreign holding companies, trusts or ultimate beneficiaries from high-risk jurisdictions can face protracted reviews of six months or more. Real-estate lawyers report that authorities now request detailed business plans, financing sources and security-of-supply assessments before granting approvals.
While the rejections could cool certain segments of Finland’s property market—especially lakeside and archipelago areas popular with affluent non-EU buyers—the broader message is one of predictability: transactions that clearly serve legitimate residential or commercial purposes and pose no defence implications continue to be approved swiftly. Companies should, however, be prepared to provide comprehensive documentation and engage local counsel early in the acquisition process.
Looking ahead, the Defence Ministry is expected to publish new guidance in early 2026 clarifying “protected zones” where foreign acquisitions are presumptively restricted. Mobility managers should monitor these developments, particularly if planning staff housing near military garrisons, coastal infrastructure or the expanding Arctic transport corridor.
출처: Daily Finland
