Rental housing

Demand for rental housing remained high in all municipalities where VVO Group has a presence. As in previous years, the strongest demand centred on smaller apartments, that is, studios and one-bedroom apartments.

The financial occupancy rate remained at a good level, standing at 97.4 (98.2) per cent for the review period. At the end of the review period, 568 (394) apartments were vacant due to renovations. The tenant turnover rate, which includes internal transfers, remained at the same level as in the corresponding period of the financial year 2014, that is, 13.7 (13.5) per cent.

The average rent for the Group’s 26,745 (26,349) market-based rental apartments (Lumo) was 13.69 (13.05) per sq m per month during the review period, and EUR 13.87 (13.21) at period end. The corresponding figures for the 13,929 (14,113) apartments rented at cost price (VVO) was EUR 12.68 (12.34) during the review period and EUR 12.78 (12.41) at period end.

Demand for rental housing remained high. At the end of the review period, there were 16,199 (20,881) active applications. (Applications are active for three months.) The average number of active applications per rental agreement termination was 18.6 (22.3). A total of 30,868 (35,695) new rental housing applications were received during the review period.

The average period of tenancy remained at an excellent level, 5.9 (5.9) years. Thanks to successful rental control and our housing advisory service, the proportion of annual turnover from rental operations accounted for by rent receivables remained low and stood at 1.2 (1.2) per cent at the end of the review period.

VVO Group is continuously developing its electronic service offering in order to make services as convenient as possible. People living in Lumo and VVO apartments have an extensive range of electronic services available to them. The latest development gave residents around Finland the opportunity to book and rent parking spaces easily in a new online service.

During the review period, VVO Group’s housing advisory service was expanded to the entire country.