National security requirements of legislation on real estate expropriation under review

On 10 December 2024, the Finnish Ministry of Defence set up a project to examine the need to amend the Act on the Expropriation of Immovable Property and Special Rights to Ensure National Security. The project will consider the need to counter various threats and review situations where expropriation is the most efficient and appropriate means for the central government to improve national security and ensure the appropriate use of sites.

The changed security situation has made it apparent that different kinds of hybrid influence activities are being used against Finland, for example, by exploiting real estate and special rights.

"Besides posing a military threat, real estate can be exploited to impact critical infrastructure and vital functions of society. It is important that we have more effective ways to address real estate ownership that poses a potential threat to security, even afterwards," Minister of Defence Antti Häkkänen says.

The project is based on the Programme of Prime Minister Orpo's Government. According to the programme, the Government will examine possibilities to engage in more effective ex post facto intervention and control in respect of assets central to the security of society and security of supply. The Government will also examine the adequacy of the regulation of the acquisition and possession of real estate by parties outside the EU and EEA.

The current act applies to the expropriation of immovable property and special rights to ensure national defence, territorial integrity, internal security, government administration, border security, border control, security of supply, or to safeguard the operation of critical societal infrastructure or other similar societal interests.

The project to examine the need to amend the Act on the Expropriation of Immovable Property and Special Rights to Ensure National Security will be carried out at the Ministry of Defence. Its term is from 10 December 2024 to 10 December 2025.

Inquiries: Kosti Honkanen, Senior Specialist for Legal Affairs, Chair of the project, Ministry of Defence, tel. +358 295 140 607, and Sami Heikkilä, Senior Specialist, Vice-Chair, tel. +358 295 140 452.