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Government proposal to Parliament: Real estate purchases must not endanger national security

Ministry of Defence
Publication date 20.10.2022 13.54 | Published in English on 20.10.2022 at 14.00
Press release

On 20 October 2022, the Government submitted to Parliament its proposal to develop legislation on the supervision of real estate ownership. The Government proposes revisions to the Act on licence requirements in real estate acquisitions, the Act on the state's pre-emptive right in certain areas and the Pre-emption Act.

The working group set up to prepare the matter submitted its report to the Ministry of Defence on Thursday 23 June 2022.

It is proposed that a new section be added to the Act on licence requirements to ensure that real estate acquisitions would not endanger national security. A licence application could be rejected if the real estate to be acquired is not suitable for the purpose stated in the application. It is also proposed that the Ministry of Defence be given more extensive rights to access information and the right to determine the funding of real estate acquisitions and their source.

Because of the amendments, the State would have the pre-emptive right to buy if this was necessary to ensure national security. The State would also have the pre-emptive right to properties located at a maximum distance of 1,000 metres from the sites of the Defence Forces or the Border Guard. The three-month time limit for exercising the State's pre-emptive right would rise to four months. It is also proposed that the State's pre-emptive right to buy would prevail over the municipality's right of pre-emption.

The proposed amendments would take effect in early 2023.

The Act on licence requirements for certain real estate acquisitions and the Act on the State's pre-emptive right in certain areas entered into force at the beginning of 2020. The proposed amendments aim to strengthen the effectiveness of legislation, to meet better the objectives set for legislation and to anticipate future legislative needs. A further objective is to clarify the rights and obligations of buyers of real estate.

The entire proposal is available on Parliament's website (in Finnish).

Read more about the material of the legislative project on the Gateway to information on Government Projects website (in Finnish).

Inquiries: Senior Officer for Legal Affairs Joona Lapinlampi, tel. +358 295 140 033; Ministerial Adviser Anu Sallinen, tel. 358 295 140 335; and Specialist Joonas Laito, tel. +358 295 140 071.

 
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