UPM sells Renforsin Ranta business park in Kajaani

The Finnish forest industry conglomerate United Paper Mills (UPM) has agreed to sell the Renforsin Ranta business park in Kajaani to Kansallisholding Oy, said UPM in a press release.

The site will be operated by Redeve Oy, the parent company of Kansallisholding, specialising in the ownership and development of industrial real estate.

The sale and purchase agreement were signed on Friday, and the ownership and management of the business park will be transferred to Kansallisholding with immediate effect. At the same time, the companies on the site will become tenants of Kansallisholding.

UPM set up the Renforsin Ranta business park on the site and premises of the closed paper mill in Kajaani in 2009 as part of measures to mitigate the effects of the mill closure.

"Renforsin Ranta is a unique success story. Our aim was to create a business park that would employ at least as many people as the paper mill did when it was closed. UPM developed the site to suit new activity and achieved the employment target within few years. Today, nearly 40 companies on the site employ around 700 people. The success has been widely recognised and the business park has been considered a good example of corporate responsibility in practice. Now the next phase of Renforsin Ranta begins, as it is transferred to a new, competent owner," said Pirkko Harrela, Executive Vice President, Stakeholder Relations, UPM.

Redeve has previously acquired several mill and business sites from UPM and operates business parks on these sites. The transfer of Renforsin Ranta to the ownership of a specialised operator of business parks will secure the continued development of the site.

"Renforsin Ranta is a unique addition to our portfolio of business parks and already has a significant tenant base. The area offers opportunities for a wide range of industrial and manufacturing companies in need of space and energy. The existing building stock offers various space solutions, and the area has industrial-scale infrastructure with rail links in place. Electricity is also easily available, for example for data centres," said Jari Lahtinen, Managing Director of Redeve Oy.

UPM and Kansallisholding, however, have agreed not to disclose the transaction amount for the Renforsin Ranta.