Increased uncertainty in the Finnish economy will result in a moratorium on new real estate take-up, but no immediate decline in demand, according to pension fund-owned property firm Sponda.
Chief executive Kari Inkinen told investors the domestic impact of the global financial crisis in the second half of last year would result in potential occupiers putting on hold plans to expand their office space.
According to Inkinen’s words this uncertainty has not been reflected in the office sector as increased vacancy rate, but on the other hand, companies do not have much need for additional premises either.
"The fact the Finnish economy is stable by European standards and its credit rating is the highest possible promotes trust in Finland being a safe investment choice also in the future," he said.
Source: http://www.ipe.com/realestate/finnish-real-estate-market-stalled-by-macroeconomic-uncertainty_43956.php