A Nordic Story of Youth, Growth and Excellence FACTS ABOUT ESPOO

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1 A Nordic Story of Youth, Growth and Excellence FACTS ABOUT ESPOO

2 2 Contents Location Population Economy Innovation Environment City Structure City Development Living Environment Municipal Finances Contacts

3 3 PREFACE Welcome to join us! Tuula Antola Director for Commercial and Business Development City of Espoo As a Finn I am proud of our country s recent achievements. Inter - national surveys have attested that Finland is one of the most competitive, innovative, stable and least corrupt countries in the world. Espoo is an integral part of Finland, especially if we refer to the economic aspect of the country. Espoo is the second largest city in Finland and part of the Helsinki Metropolitan Area, yet accounts for 50% of the Research and Development value for all of Finland. Furthermore, Espoo companies are responsible for around 50% of the turnover in the Helsinki Stock Exchange. There are around 400 international companies who call Espoo their home, with these ranging from some of the most well-known brand names and multinational firms, all the way down to some of the most globally renowned start-up companies. The people of Espoo are the driving force behind the positive activity that we see in the economy. Espoo residents are the youngest of all the major Finnish cities. Within a period of 50 years the population has increased tenfold and will continue to grow rapidly. The level of education in Espoo is very high and creates the foundation for future innovations. More than 10 % of our residents speak a language other than Finnish or Swedish as their mother tongue and this percentage will grow rapidly. We are proud that Espoo is a place where international people come together. The City of Espoo is highly active in engaging in major programs and investments that will see further enhancement to an already sound infra - structure. This includes extension of the Metro Network to Espoo by 2015 from Helsinki. The area of Tapiola, Keilaniemi and Otaniemi constitutes the T3 Innovation Triangle, in which science, culture and business create new synergies and increases the level of innovative initiatives within the City. Within ten years 5 billion will be invested in the T3 area. Cooper ation with universities, companies and residents is the central element in our approach: Contributing together. Whilst there is a high density of technology building developments and science and business parks, the City itself has managed to keep natural surroundings prominent. Espoo is the safest major city within Finland and provides a safe environment for children to grow up. The citizens of Espoo appreciate a high quality of life and the City is dedicated to provide the very best in future solutions to further maintain this environment. We warmly welcome you, your company, your organization or your community here to experience a comfortable yet high quality of modern living with an eye to a dynamic future.

4 4 LOCATION Location Finland is the link between Europe, Russia and Asia. Finland's geographical location makes it a gateway for companies entering the Nordic, Russian and even the whole European market. Fang Zhou, Chairperson of ZPark, on why this China s leading technology park will soon expand international operations by opening an office in Espoo.

5 5 LOCATION The area around Espoo is a thriving region that covers Stockholm, St. Petersburg and Tallinn. Its direct neighbours are the Finnish capital Helsinki and the Airport city of Vantaa. Monocle magazine awarded Helsinki- Vantaa Airport repeatedly as one of Europe s best airports.

6 6 POPULATION Population POPULATION GROWTH The population of Espoo has increased tenfold within a period of 50 years. Today it is Finland s second largest city and by 2030 the population will grow by 24% to 310,000. Espoo is a bilingual city with about 8.2% Swedishspeaking residents. The City of Espoo is among the most international in Finland. A total of 10.3% of its residents speak a language other than Finnish or Swedish as their mother tongue. By 2030 the inter - national community will grow to 17% POPULATION BY AGE GROUP Espoo is very young. The share of families with children is very high and has been the main reason for population growth during the past 20 years.

7 Espoo has the highest edu cation level of all major Finnish cities. More than half of our residents over 24 years hold a university degree. 7 POPULATION Population over 24 by education level: 22% Basic education 27% Upper secondary 51%University level The economic activity of men and women is on the same level. Therefore most households in Espoo are double- earner households. EMPLOYED YEARS STUDENTS PENSIONERS UNEMPLOYED OTHERS 100 % 80 % POPULATION BY ACTIVITY 60 % 40 % 20 % MEN WOMEN 0 % ECONOMICALLY ACTIVE POPULATION (25 64) BY GENDER

8 8 POPULATION The local unemployment rate is consistently below the national average. 12 % ESPOO FINLAND 10 % 8% Average income per employee in 2009: Espoo 44,566 Finland 34,088 6% 4% 2% 0% AVERAGE UNEMPLOYMENT RATE KEY FIGURES ON HOUSING Espoo Finland Average household size (persons) Average dwelling size (m 2 ) Ownership rate (%) Dwellings in family houses (%)

9 9 ECONOMY Espoo s economy is based on commerce, ICT and science. Economy 20 % 18 % JOBS BY SECTOR ESPOO FINLAND 16 % 14 % 12 % 10 % 8% 6% 4% 2% 0% Agriculture, forestry and fishing Mining and quarrying Manufacturing Energy supply; environmental services Construction Commerce Transportation and storage Hotels and restaurants Information and communication Financial and insurance activities Real estate activities Professional, scientific and technical activities Administrative and support service activities Public administration and defence Education Health; social services Culture and personal services Among the biggest employers are the municipality, Nokia, Tieto Finland, Aalto University and VTT Technical Research Centre of Finland.

10 10 ECONOMY Espoo hosts the global head quarters of renowned Finnish companies like Nokia, Kone and Rovio. Some 400 international companies are located in Espoo, among these are the regional offices of globally operating companies like SAP, Bayer, Microsoft, ZTE, Intel, Toshiba and many more. 50% of turnover at Helsinki Stock Exchange comes from Espoo-based companies. The number of jobs is growing NUMBER OF JOBS

11 11 INNOVATION ENVIRONMENT Innovation Environment Northern Europe s largest high-tech and innovation hub 16,000 students, 16,000 technology professionals and 5,000 researchers of 110 nationalities on 4 km 2 20 R&D Centres are located in Otaniemi. VTT Technical Research Centre of Finland is the biggest multitechnological applied research organisation in Northern Europe. Aalto University is Finland s leading university of science and technology, with 20,000 students, 340 professors and a budget of 400 million. It maintains co operation with, e.g. Stanford University and Tongji University in Shanghai. Company partners are among others Microsoft, Nokia, Kone. Aalto Design Factory, Aalto Centre for Entre - pre neur ship and events like Start-up Sauna create the ideas for tomorrow. Otaniemi and its eco - system of companies, universities and techno - logy centres account for approximately 50% of the R&D value of Finland. Three institutions of higher edu - cation are located in Espoo: Aalto University, Laurea University of Applied Sciences and Metropolia University of Applied Sciences.

12 12 CITY STRUCTURE City Structure Northern Espoo Espoo has many city centres! Espoo was built through progressive city planning that shaped five larger and two smaller city districts. Major urban problems like traffic jams, air pollution and lack of green space are not a problem in Espoo. ESPOO IS A CITY LIKE A CENTRAL PARK. The northern parts of the city are mainly forests and recreation areas. Nuuksio national park is only 20 km away from global company headquarters. In the south ern parts are 58 km of coast line and 165 islands. In Espoo City you are always within 1 km distance from a green space. Old Espoo Kauklahti Espoonlahti 5 km POPULATION BY DISTRICT Leppävaara Espoonlahti Tapiola Old Espoo Matinkylä Northern Espoo Kauklahti Leppävaara Tapiola Matinkylä

13 13 CITY STRUCTURE 95% of residential buildings were built after RESIDENTIAL BUILDINGS BY COMPLETION DATE 25 % 20 % 15 % 10 % 5 % 0 % In the last 10 years, on average 370,000 m 2 of buildings were completed annually. Construction works are continuing rapidly. Espoo is a city where the most modern con struction solutions are applied. CONSTRUCTION INDUSTRY SQUARE METRE RESIDENTIAL BUILDINGS OTHERS

14 14 CITY DEVELOPMENT City Development WEST METRO The largest infrastructure project in Finland By 2015 it will connect Espoo and Helsinki Total investment of 825 million 14 km new tunnel and 7 new stations 100,000 passengers each day Plans for a further extension of 7 km and 5 stations already drafted West Metro Helsinki Metro Planned Extension Metro Station Reserve Station T3 AREA

15 15 CITY DEVELOPMENT T3 UNITES SCIENCE, CULTURE AND ECONOMICS The T3 area consists of three districts Keilaniemi, Otaniemi and Tapiola which foster cult ural, scientific and economic activities. A total of 5 billion will be invested within 10 years to develop the area. One of the key features is the new metro line that connects the three districts. Keilaniemi is Finland s business hub, hosting the global headquarters of renowned Finnish companies as well as the local offices of numerous international companies. Within the next 10 years the tallest residential and office buildings in Finland will be completed. Ring road I will be tunnelled and more green spaces will be created. Otaniemi is Northern Europe s largest high-tech hub, where the entire innovation chain from basic and applied research to start-ups and KIBS are present. Otaniemi is the heart of Finnish innovation and soul of the entrepreneurial spirit. The City of Espoo supports development in Otaniemi with large infrastructure projects. Ring road I will be tunnelled between Tapiola and Otaniemi, and the new Aalto Village will also be residential space for students, research ers and entrepreneurs. Tapiola was created as a model garden city in the 1950s and is nowadays the cultural centre of Espoo with concert halls, sports facilities and shopping opportunities. By 2015 Tapiola will be renewed, eg by creating the largest pedestrian zone in Finland. Floor square metres will be doubled, while energy consumption will remain the same.

16 16 CITY DEVELOPMENT SUURPELTO Suurpelto is the newest district of Espoo. Construction started in 2009 and will be completed by There are 325 hectares of new city area for 10,000 inhabitants. Shops, day-care centres and schools will be within walking dist ance. New service concepts like an automated waste collect ion system and lobbies for e-deliveries make life at Suur pelto even more comfortable.

17 17 LIVING ENVIRONMENT Living Environment High-quality public services, world-class education, a very safe and stable living environment Espoo is the safest of all major Finnish cities. In a European comparison e.g. Espoo s rate of domestic burglary is six times lower than the average of Euro - pean cities. Finland is one of the least corrupt countries in the world, according to Trans - parency International. The Fund for Peace named Finland as the most stable country in the world. Public services are customer-centred and of high quality. Regular surveys on all municipal services are published annually. Early childhood education and care is pro vided in small groups all around the city by well-educated and multi-disciplinary staff. The services are valued highly by the Espoo parents. Primary and secondary education is worldclass, according to the OECD. Espoo residents loan in average 17 books or other media annually from municipal libraries. The average of European cities is about 5.

18 18 MUNICIPAL FINANCES Municipal Finances The City of Espoo is investing heavily in future development projects. Municipal tax income was 4,774 per capita in 2010, whereas the national ave rage was 3,414. At the same time Espoo has the lowest municipal tax rate of all major cities in Finland. CITY CORPORATE GROUP EXPENDITURES AND INVESTMENTS OPERATING EXPENSES INVESTMENT EXPENSES MILLION

19 19 MUNICIPAL FINANCES Loans per capita are significantly below the national average. The equity ratio is 86.5% FINLAND ESPOO MUNICIPAL LOANS PER CAPITA DISTRIBUTION OF SEATS IN THE CITY COUNCIL AFTER 2008 ELECTIONS NATIONAL COALITION PARTY 26 FINNISH SOCIAL DEMOCRATIC PARTY 11 GREEN LEAGUE OF FINLAND 10 TRUE FINNS 7 SWEDISH PEOPLE S PARTY 6 CENTRE PARTY OF FINLAND 3 LEFT ALLIANCE 2 CHRISTIAN DEMOCRATIC PARTY OF FINLAND 1 FOR THE POOR PARTY 1

20 CONTACTS Tuula Antola Director for Commercial and Business Development Mayor s Office Olli Isotalo Development Director Technical and Environment Services Jussi Eerolainen Chief Real Estate Officer Technical and Environment Services Glenn Gassen Coordinator of International Affairs Mayor s Office Sources: Statistics Finland Ministry of Employment and the Economy Otaniemi Marketing Aalto University Länsimetro Oy City of Espoo Eurostat Layout: Public Design Oy Publisher: City of Espoo 9/2012

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