COPENHAGEN (Reuters) – Finland’s Ministry of Defense said on Wednesday it had blocked three real estate deals, one of which involved a partly Russian-owned company, and which, if allowed, would result in the loss of ownership of Finnish territory. He said it could pose a threat to national defense.
In October, the ministry blocked three planned real estate transactions involving Russian buyers, citing similar reasons.
The ministry said in a statement that the decision concerns one property in Ilomantsi in southeastern Finland and two properties in Sotkamo in central Finland.
The potential buyer of the Ilomantsi property was a partly Russian-owned company. According to the ministry, the Sotkamo real estate parcel was sold twice between companies held by different owners.
It was not immediately clear whether Sotkamo’s real estate deals were linked to Russia. No further comment was available from the Finnish Ministry of Defense.
In response to Russia’s invasion of Ukraine in 2022, Finland has moved to restrict the acquisition of property by Russian citizens near strategically important locations through legal reforms that took effect in early 2023.
Finnish authorities have the right to review transactions by companies outside the European Union and the European Economic Area.
(Reporting by Louise Brusch Rasmussen; Editing by Terje Solsvik and Barbara Lewis)
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