The real estate sector feared a collapse in values last year. However, no significant impairment was seen regarding the assets of Teknologiakiinteistöt; instead, the company's balance sheet grew and business operations continued much as before.
Last year, the real estate market was weighed down by familiar challenges from the past two years: adjusting to higher interest rates after years of zero interest rates, lower loan-to-value ratios, and generally more expensive and scarcer financing. However, global economic uncertainty did not manifest in the operations of Teknologiakiinteistöt, as the company's turnover grew by nearly five percent from 42 million euros to 44 million euros.
The company's operating profit rose to 45.9 million euros.
– Turnover was increased by new leases and annual index adjustments. Due to long-term lease agreements, the increased efficiency in public sector space utilization did not yet reflect on Teknologiakiinteistöt's turnover last year, says Mikko Lehtinen, CEO of Teknologiakiinteistöt.
Balance sheet grew to 559 million euros
In 2024, Teknologiakiinteistöt invested a total of 34 million euros in tenant improvements and new construction projects, the most significant of which were GeneCity and AkvaCity.
– 2024 was quieter than the previous year regarding new projects. The construction of the factory building GeneCity, carried out for Biovian, was completed at the end of 2024, and the project will be handed over to the user after the completion of the cleanroom contract in the autumn. AkvaCity, the timber-structured building realized for Turun Vesihuolto, was completed in the spring of 2025.
Yhtiön omistamien kiinteistöjen ja etenkin tonttiomaisuuden arvot nousivat kahden laskuvuoden jälkeen yhteensä 24,2 miljoonalla eurolla. Tämän seurauksena Teknologiakiinteistöjen tase kasvoi 504,5 miljoonasta 559 miljoonaan euroon. Kasvaneesta liikevaihdosta ja arvonnousuista johtuen myös yhtiön liikevoitto nousi 45,9 miljoonaan euroon, tuloksen ollessa 23,8 miljoonaa euroa.
Services as a second pillar
Teknologiakiinteistöt's EBITDA margin remained almost unchanged in 2024, at 54.9 percent. The EBITDA margin for the leasing business was 62.4 percent and the EBITDA margin for the service business was 12.5 percent.
– We see a lot of future potential, especially in the service business, and we believe it provides significant added value to our customers and makes their everyday life easier.
The weakening of the general economic situation and the spread of hybrid work were reflected in Teknologiakiinteistöt's occupancy rate, as they were in the entire real estate sector. However, the company's financial occupancy rate remained good, although it fell from 94.5 percent at the end of 2023 to 92.8 percent.
– Demand for office space typically follows general economic cycles with a lag of a few quarters, so we expect leasing demand to recover in line with Finland's economic growth. Despite this, the already known needs to streamline public sector premises will pose challenges for us in the coming years.
Despite the market situation, Teknologiakiinteistöt's average square meter rent increased from 20.5 euros to 21.2 euros. At the same time, property maintenance costs were kept moderate, which improved business profitability.
– Overall, we managed well through a challenging year. I believe that the efficient and attractive premises we offer, along with the associated services, will continue to attract customers in the future, concludes Lehtinen.