Finland rejects 3 property purchase pleas by Russian-owned firm

Minister of Defence Antti Häkkänen on Wednesday issued three negative permit decisions concerning real estate acquisitions by buyers from outside the EU and EEA, said the Ministry of Defence in a press release.

The negative decisions concerned one transaction in Ilomantsi and two in Sotkamo. The decisions were based on the Act on Transfers of Real Estate Requiring Special Permission.

In the Ilomantsi transaction, the buyer was a partially Russian-owned company.

The parcel of real estate in Sotkamo had been sold twice between different companies owned by the same owner.

The companies in question are owned by a foundation registered in the UK, and one of the people in charge of the foundation is from outside the EU and EEA.

The Ministry of Defence justified the Ilomantsi decision on the grounds that the property could be used in a way that could hamper the organisation of national defence, the surveillance and safeguarding of territorial integrity and the assurance of national security.

With respect to the Sotkamo decisions, the applicant did not fulfil its obligation to submit information to the Ministry of Defence during the permit process.

Earlier in October 2023, the ministry also issued three negative permit decisions concerning real estate acquisitions by buyers from outside the EU and EEA.