Helsinki Garden is being worked on in full swing again.
The Helsinki Garden project has been described as an eternity project for good reason.
The planning of the multi-purpose arena started already in 2010, but the realization of the project is still behind great efforts.
Now, after the backwater phase, Garden’s woodworking is on a new wave.
The confirmed site plan, the preliminary property sale agreement with the city and the project agreement with the construction group SRV create the basis for the fact that the arena may still be built along Nordenskiöldinkatu.
Back support is also given by the state’s 35 million euro support decision, but in terms of funding, Garden is only in the beginning stages.
– This is a very large and challenging project, where we are talking about an investment of around 700 million euros, which involves dozens of different things that must be successful. They are pushed forward one by one. They won’t happen in an instant, but you have to move forward all the time, Jan Vapaavuori, who was named chairman of the board of the project company last week, describes to Iltalehte.
– There is no life-threatening situation here, but there is of course its own time pressure. The project should be started within the next year or two.
Bigger problems
Jan Vapaavuori served as chairman of the Finnish Olympic Committee for the years 2020–24. PASI LEISMA
A pot of almost 700 million euros to seal the actual investment decision with the mentioned schedule sounds like a really strict goal to the layman’s ear.
Vapaavuori tops it off by specifying that time is not the biggest obstacle to the realization of the Garden project.
– Of course, the size of the amount and the general market situation, apathy in the Finnish economy, are challenging. And apathy in the Finnish real estate market, he adds.
– You can even think like this, that in this time that we are living in now, there are our own interests. Construction costs are lower than when the market is going strong. It would be good to get the project started when the construction costs are reasonably low.
The former politician, who has just taken up the position, naturally does not want to set a limit to the Garden’s fundraising, although it is of course clear that things must proceed in a straight line towards the goal.
– Time will always tell what conclusions are drawn at any given time. The goal-setting of the current development company and the board starts from the fact that this must be completed within the next year and a half, he elaborates on the schedule.
Projekti GH oy is owned by HIFK-Hockey and Friends of Garden and an investor Kari Karvinen and investment company Fincap.
Vapaavuori does not want to reveal the status of the financial negotiations, but says the feedback has been positive.
He also names that as one of his own motivators.
– I wouldn’t have started this project if I didn’t believe that this would come true.
Must happen soon
Vapaavuori does not embellish realities.
Without being asked, he points out that the progress achieved so far – state aid and plot reservation – will not last forever.
– It is good to note that the state aid granted by the national government is of course a commitment of this government. There will be new elections and governments in the kingdom, he refers to the parliamentary elections looming in 2027.
The preliminary agreement with the city of Helsinki on the plot sale made last year is valid until the end of the same year.
It does, however, include an option for a continuation.
– But let’s put it this way, the degree of difficulty will increase even more, Vapaavuori admits.
According to the financial statements that ended in April, 24.5 million euros have been spent on planning and promoting the project.
Kulupotti was born before the pandemic and the new arrival of the project, says Vapaavuori.
– Most of the costs have been incurred before then. Actually, almost everything. Of course, there are loans on which interest has accumulated.
– The main thing about the costs is the planning work for the period 2014–2020.
In 2019, the goal was close, but the site plan appeal and Korona prevented the Garden project from coming to fruition.
Elinehto for Helsinki
Vapaavuori highlights the Garden’s importance to the capital’s viability. Jenni Gästgivar
Office and business premises, a hotel and hundreds of apartments are planned next to the multi-purpose arena.
The whole also includes the Helsinki Ice Hall, which is to be transformed into an indoor sports, ball and event arena with a capacity of 4,500 seats.
But at the center of everything is of course the arena, where it is possible to build 19,000 spectator seats.
According to Vapaavuori, the trends show that the recently reopened Veikkaus arena needs a competitor.
– This is a lifeline for Helsinki and also for Finland, that in a world where the experience economy and the event industry are growing strongly, we need a bigger and more modern arena than the current arenas, so that we can compete for international artists and prestigious competitions.
When Vapaavuori is asked if the current task is the biggest challenge of his career, he first answers in the affirmative.
Then the operation to save the Turku shipyard and the goal of halving long-term homelessness during the housing minister’s time come to mind.
– Both of them developed a feeling of despair along the way, whether this would be successful or not. But we succeeded in both, and maybe that made me believe that I want to join this Garden project as well, he thinks.
Vapaavuori reminds that the background of the Nokia Arena that opened in Tampere in December 2021 was also a long and multi-phased process.
– In the end, it also came true.
“Can’t be compared to a traditional presidency”
Jan Vapaavuori it gets a little difficult when you ask him what exactly he can bring to the Garden project.
However, the answer will be formed in the end.
– Let’s say that I have dealt with difficult and complex entities before. Maybe I have the ability to separate the essential from the unessential and systematically run things forward, the man pondered.
Vapaavuori’s day job is at a law firm. The management of Garden matters cannot be done with random meetings, but requires a larger contribution than usual from the board.
– In this type of development company, the job description of the chairman of the board is quite broad. Yes, there is enough to do, and it cannot be compared to a traditional board of directors. If not on a daily basis, then several times a week we deal with it – in many different ways.