General information

General information about A‑Kruunu

A-Kruunu Oy is a state-owned special assignment company operating under the guidance of the Ministry of the Environment. Its task is to build affordable rental housing. The company's mission is also to promote wood construction, housing innovations, circular economy and low-carbon approach.

The A‑Kruunu company

A-Kruunu Ltd is a special assignment company owned by the State and operating under the guidance of the Ministry of the Environment. The construction of the company's first housing projects began in the summer of 2015. In July 2021 we crossed the 2000 homes mark.

A-Kruunu has set a goal of building 800 apartments annually, the majority of which will be in the Helsinki region and the rest in other major growth regions. The goal is to increase the share of wooden apartment buildings in production to a third in 2024.

In selecting the sites for construction, consideration is given to the general demand for rental housing in the residential area and the suitability of the location within the community structure. In addition to timber construction, the construction work seeks to promote new innovations which take the above-mentioned objectives into account.

The majority of housing production takes place in the Helsinki Metropolitan Area and its surrounding municipalities. From the beginning of 2019, the operating area has also been extended to some of the other largest urban regions in our country which have a high demand for affordable rental housing.  A-Kruunu also contributes significantly to the implementation of larger area project and the development of high-quality urban housing in its operating areas.

Good resident selection principles are applied to the selection of residents in order to offer the rental homes to households most in need of affordable rental housing. At the same time, a diverse profile of residents is ensured.

The company operates with a long-term perspective, complies with good practice within the field and operates in accordance with the instructions for state companies’ ownership policy.

 

Finance

A-Kruunu apartments have a high utilisation rate

In 2022, A-Kruunu finished the construction of 579 apartments in great locations in the Helsinki region, Tampere and Jyväskylä. The total number of apartments finished or under construction is already over 3,000. In the General Meeting, new members were elected to the Board.

“The economic utilisation rate of our apartments remained high at 99.6% and turnover was at a reasonable level at 18.7%. There were plenty of applicants for all new apartments. Demand for the Housing Finance and Development Centre of Finland ARA housing has increased during the coronavirus pandemic and even after it for several reasons, including the rising cost of living,” says Jari Mäkimattila, Managing Director.

In recent years, ARA production has been challenging due to the recovery phase of construction.

“The situation changed last autumn. More tenders were received for the projects, and the contractors also contacted us proactively. We are planning to produce around 1,300 apartments in the next few years. However, the considerable rise of interest rates affects the launch of work at new sites, as it increases housing costs for residents,” says Mäkimattila.

The General Meeting kept the objectives set for A-Kruunu mainly unchanged. The company will be almost carbon neutral in terms of emissions arising from its own operations in 2024 and reduce emissions of the value chain in a goal-oriented manner with energy efficiency, wood construction and the development of circular economy solutions. The share of wooden apartment blocks in production will be one third in 2024. The goal remains at annual production of 800 apartments, but the situation of the business cycle and the feasibility of the sites are taken into consideration in the goal.

“We have already implemented a great number of those goals in 2022. For example, district heating was changed into renewable energy in all locations where it was available. As a result of this measure, CO2 emissions from heating decreased by more than 90%. Our production of wooden apartment blocks is already at least at the target level. As regards the goals of apartment production, the development of interest rates in particular will have an impact on the situation now and in the future,” Mäkimattila explains.

The General Meeting confirmed the members of the Board for the following operating year. Matti Vatilo will continue as Chair of the Board and Teppo Salmikivi as Vice-Chair, and Jannica Aalto and Malviina Peltonen as Board Members. Janne Hukkavaara and Johanna Korpi were elected as new members.

 

 

Key fi­gu­res 2022, si­tua­tion 31 De­cem­ber 2022

Turnover (1 Jan–31 Dec) 20.3 M€
Balance sheet 559.8 M€
Number of persons 33
Apartments completed 2,609
Apartments under construction 429
Apartments under planning approx. 1,300

Mo­re in­for­ma­tion:

 

Ma­na­ging Di­rec­tor Jari Mäkimattila

jari.makimattila@a-kruunu.fi

tel. +358 (0)40 755 3924