Year 2015 was good for REIM even be er expecta ons await in 2016

2007-2015 REIM Real Estate Investment and Management Oy Ltd # 49 Winter 2015 Hämeenlinna Imatra Joensuu Jyväskylä Kouvola Lahti Lappeenranta Mikkeli Oulu Porvoo Tampere www.reimgroup.com e-mail: first name.last name@reimgroup.com Mailing address: PL 34 53101 Lappeenranta Suomi Finland Year 2015 was good for REIM even be er expecta ons await in 2016 Visiting address: Väinö Valveen katu 2 53900 Lappeenranta Phone 0207 438 400 The concern board of REIM Group had their first mee ng in 2016 on February 9th in Lappeenranta, the main office of its mother company. The ini al informa on about the results in 2015 from the concern s different companies hints towards posi ve development and the expecta ons about the soon-to-be-ready financial statements are rather posi ve. The concern board has expecta ons that 2016 will be a good year for the company based on presenta- ons held by CEO of the concern Saija Toivonen and Financial Manager Jani Takala, and the conversa on a erwards. The new strategy for 2016 was made last December and is now being implemented in the group. REIM Group s Concern board in Lappeenranta on the board s first mee ng in 2016, from le to right: Antero Jun la, Kai Kosunen, Saija Toivonen, Kari Metsäkallio and Timo Multanen. Professional services of REIM Group already since 1966 Real Estate Finance Brokerage

COLUMN KOLUMNI Timo Multanen, mo.multanen@reimgroup.com timo.multanen@reimgroup.com Pos osoite: PL 34, 53101 Lappeenranta Käyn osoite: Väinö Valveen katu 2, 53900 Lappeenranta Timo Multanen, MBA, AIT, AIT, toimi was European President Council of European of Real Council Estate of Professionsin Real Estate Professions (CEPI) puheenjohtajana (CEPI) in years 1999-2011. 1999 2011. CEPI edustaa yli 250 000 eurooppalaista represents kiinteistöalan over 250 000 ammattilaista European real 27 estate maassa. professionals Suomesta CEPI:n in 27 countries. jäseninä ovat The Suomen Finnish Real Isännöintiliitto Estate Management ja Kiinteistönvälitysalan Federa on Keskusliitto. CEPI and Multanen The Central toimii Federa on REIM Groupin of Finnish hallituksen Real puheenjohtajana. Estate Agencies are Hän members on ollut Suomen of CEPI Kiinteistölehden in Finland. Multanen vakituinen acts as kolumnisti Chairperson vuodesta 2006 alkaen. of the board of REIM Group. He has been a permanent columnist of Finnish Real Estate Magazine since 2006. Published with the permission of Finnish Real Estate Magazine. The column was first published in the December issue 10/2015 of Finnish Real Estate Magazine. Kymmenen Ten years not for vuotta, nothing vaan ei suotta Aloitin I began as Suomen the permanent Kiinteistölehden columnist vakituisena of Finnish Real kolumnistina Estate Magazine vuonna in 2006. 2006. This Tämän particular lehden column myötä marks tulee ten täyteen years of writing kymmenen for this vuotta. magazine. Se merkitsee In practice lähes this means sataa almost yksittäistä a hundred kolumnia columns kiinteistöalan in the flagship jo magazine vuonna in 1925 the field aloittaneessa of real estate lippulaivalehdessä. founded in 1925. Kolumnieni aihekirjo on laaja alkaen Venäjän eri The maantieteellisistä themes of my columns alueista have Euroopan been very ja widely spread man kiinteistöalaan from different sekä geographical merkitykseen. regions Puhu- in maail- Russia mattakaan to the field kotimaisista of real estate aiheista in aina Europe nyt päättymässä rest of olevan the world, vuoden as alkupuolen well as its meaning. eduskun- and in the tavaaleihin. In addi on to these themes my columns handle current domes c Jokaisen issues kolumnin like the kirjoittaminen Parliament elec ons ollut in hyvä the prosessi beginning of kirjoittajalle last year. itselleen. Asioita on joutunut puntaroi- myös maan, Wri ng taustoja each selvittämään column has been ja tiedostamaan, a good process pyrkien also for pelkistettyyn the writer sekä himself. terävään Things ilmaisuun. have to Palautettakin be researched, olen backgrounds saanut lukijoilta, need ja to sitä be aina checked arvostanut. and recognized Kymmenen while kolumnistivuoteni aikana on myös omalla kohdallani tapahtunut aiming for a clear and sharp expression. I have go en feedback paljon. Vuosina 2006 2008 toimin CEPI European Council of Real Estate Professions järjestön useissa tehtävis- from our readers and I appreciate it. During my ten years as columnist of this magazine many things have happened sä. Aluksi isännöitsijöiden eli CEAB hallituksessa kolme in my life. During the years 2006 2008 I worked on several vuotta, ensin taloudenhoidosta vastaavana, ja myöhemmin pääsihteerinä. Vuosina 2009 2011 toimin CEAB- ja cases in the CEPI European Council of Real Estate Professions. I worked in the board of CEAB board of real estate EPAG- järjestöjen kattojärjestö CEPI:n puheenjohtajana, ohjaten 27 Euroopan maan kansallisis- managers for three years, first as treasurer and later as General Secretary. In years 2009-2011 I was President of CEPI, umbrella organiza on of CEAB and ta jäsenjärjestöistä koostuvaa toimintaa. Nuo tehtävät avarsivat maailmaa ja antoivat hyviä näkökulmia myös kolumnistin rooliini. EPAG, and I coordinated the work of 27 na onal organiza ons in Europe. These jobs opened the Nyt päättyvänä vuonna pieni unelmani siitä että CEPI suurimpana ja CEI world up for me and gave me good points of view for my role as columnist. toiseksi suurimpana Euroopan kiinteistöalan järjestönä yhdistävät By the end of last year my dream of the merger between CEPI as the largest voimansa on toteutumassa. Sen and CEI as the second largest organiza ons in real estate in Europe eteen itse tein hartiavoimin töitä. On tärkeätä että kiinteistöalalla on Euroopassa ja finally came true. I personally worked hard to make EU:n ytimessä yksi ja this merger come vahva ääni. CEPI-CEI on nyt todellisuutta, pitkän ja moninaisen true. It väännön is important jälkeen. that there is one strong voice in Europe and Kuluneet in the heart kymmenen of EU. CEPI-CEI kolumnistivuottani exists now a er pitävät a long sisällään hard myös process. monta haasteellista asiaa REIM Groupissa, pää- and työssäni. During Kesken the previous CEPI President ten years kauttani that I jouduin have been ottamaan a columnist several aikaa uudelleen challenging rakkaan issues have yhtiömme arisen at toimitusjoh- my day job joksikin tajuuden in REIM Group. hoidettavaksi. While being Saimme President asiat of kohdalleen CEPI I had to hyvän take ydinjoukkomme the leadership of kanssa our dear ja nykyisellään Concern for olen a while. voinut We jo were useamman able to vuoden get everything toimia ja under vaikuttaa control REIM with Groupin our good päätoimisena people hallituksen and a er that puheenjohtajana I have been able hallitusammattilais- to make a difference core osaajiemme as full-day Chairperson kanssa. Strategia, of the board operatiivisen of REIM johdon Group with tuki ja the seuranta assistance avainasioina. of our board Ja tuloksia of experts. on Strategy, syntynyt support ja syntyy of kiinteistöalalla, the opera ve board isännöinnissä. and monitoring are key issues in our work. Kirjoitin We have myös go en Sanoma-konserniin and con nue to kuuluneeseen get great results maakuntalehti the fields of Etelä-Saimaaseen real estate and real kolumneja estate management. vuosina 2007 in 2009. I also Nuo wrote kolumnit columns käsittelivät in our pääasiassa regional newspaper yhteiskuntaamme, Saimaa, politiikkaa, which kansainvälisyyttä, is a part of the Sanoma asenteitamme. Concern, in Tämän years Etelälisäksi 2007-2009. olen kirjoittanut Those columns yksittäisiä were mainly pyydettyjä about our kolumneja society, useisiin poli cs, eri interna onality julkaisuihin, myös and ulkomaille. our a tudes. Suomen In addi on Kiinteistölehti this I have toki wri en säännönmukaisuudessaan some sporadic columns on ollut in different oma lukun- pub- to sa, lica ons omassa both sarjassaan. in Finland and abroad. The Finnish Real Estate Magazine Kymmenen has naturally vuotta on been kuitenkin a chapter sellainen its jakso own league. että kolumnistikin Ten years voi is todeta: such a aika long aikaansa me that kutakin. a columnist Kiitän can Suomen state: Kiinteistölehden enough is enough. päätoimittajaa, I thank the Editor toimitusta in Chief ja of kustantajaa The Finnish minulle Real Estate suodusta Magazine, mahdollisuudesta, their editorial staff jonka and olen their kokenut publisher for this opportunity, matkaksi which kiinteistöalan I consider to be asioiden an interes ng tarkas- mielenkiintoiseksi teluun. journey Samalla towards kiitän learning nöyrästi about kaikkia the kolumnieni issues in the lukijoita. field of Säännölliset real estate. kolumnini In addi on päättyvät to these people nyt tähän I humbly kirjoitukseen. thank all Minulle the readers on ilmaistu of my kuitenkin columns. Suomen My regular Kiinteistölehden columns end puolelta with toive this että ar cle. satunnaisesti I have, however, tarttuisin go en kynään an offer vielä from tulevai- The now suudessa. Finnish Real On hyvin Estate mahdollista Magazine to että pick jonakin up my päivänä pen and kiusaus something käy riittävän from suureksi. me to me. It is very possible that the write tempta on Hyvää Joulua will become ja Menestyksellistä too strong one Uutta day. Vuotta näinä haasteellisina Merry Christmas aikoina and toivottaen! Successful New Year in these challenging mes! TIMO MULTANEN

More innova on will be the determining factor in achieving greater progress. Countries economic and trade policies can either help or hurt global innova on. For example, policies such as robust investment in and tax incen ves for research and education support global innova on. In contrast, policies such as export subsidies or forced localiza on harm REIM Group on Facebookissa EXECUTIVE SUMMARY global innova on. If na ons increased their supportive policies and reduced their harmful policies, the rate of innova on worldwide would signi accelerate. is report assesses countries on the extent to which their economic and trade policies either construc vely contribute to or nega vely detract from the global innova on system. If the world is going to maximize global innova on, it will need to develop stronger mechanisms to encourage na ons to do more contribu ng and less detrac ng to innova on. Mailing address: PL 34, 53101 Lappeenranta Visiting address: Väinö Valveen katu 2, 53900 Lappeenranta The most innova ve countries in the world Finland le the giants behind 1 Finland Schumpeterian 15.6 14.1 13.9 ITIF / Informa on Technology & Innova on Founda on www.i f.org Below Average Beneficial Policies Below Average Harmful Policies Above Average Beneficial Policies Below Average Harmful Policies Below Average Beneficial Policies Above Average Harmful Policies Above Average Beneficial Policies Above Average Harmful Policies

Ari Viinikainen is now leading the real estate management work in Jyväskylä Many people have wondered where the successful and wellknown real estate management office run by Ari Viinikainen for 33 years has disappeared to from the town. It hasn t disappeared anywhere and neither am I. We con nue doing the work of REIM Group is now on Facebook www.reimgroup.com www. likarelia.fi i Väinö Valveen katu 2, 53900 Lappeenranta, Finland Phone +358 207 438 400 real estate management like before with the same staff and in the same premises. The only visible difference to our clients is that nowadays the sign outside of the office on Vaasankatu says REIM Isännöin (Brokerage). The business of Real Estate Management office A Viinikainen Ky merged with the na onwide and privately-owned Finnish company REIM Group in the beginning of May 2015. Long and hard considera on was needed A er this acquisi on the real estate management concern now has offices in eleven cities in Finland. Ari Viinikainen con nues being CEO of the daughter company REIM Jyväskylä Oy. For Viinikainen le ng go of entrepreneurship was not an easy decision. His own company was successful enough but its development towards growth would have required new solu ons. The time used on running the business, the increase in the costs of informa on technology and wise use of the office s own resources started to weigh more on the scale. At some point the limit gets crossed and new solu- ons need to be made, Viinikainen says. If you want growth and improvement in the service, you also need to get some help from others. The level of requirements constantly keeps growing in the form of new tasks regulated by law. The me used on these tasks is difficult to add to the prices of the services. As an entrepreneur Viinikainen had to use more and more me on different negotiations about issues connected with running the business. He wanted to have more me to his own real estate manager s work. The fi eld of real estate management keeps on developing and changing all the time. It also focuses more into bigger organizations. As a part of the bigger REIM Group s real estate management we have even better chances than we used to have before. Ari Viinikainen con nues in the real estate management office that he founded in Jyväskylä only now as CEO of REIM Jyväskylä Oy. Barely anything changed in the real estate manager s life. During the summer and autumn Viinikainen has been busy with the façade renova on of As Oy Kauppakatu 7 during which the building s balconies have been renovated. In July the scaffolds for the beginning demoli on of several contracts were being built. Jyväskylä REIM Lappeenranta Oy was chosen to conduct the real estate management of the renovated Asunto Oy Lappeenrannan Keisarinko in the address Raastuvankatu 9. The renova on was implemented by construc- on company A1. Before the stone building this corner was occupied by Elise Fontell s wooden house, which was known as the emperor s house because Alexander III stayed there two mes in 1885 and 1891. These visits were huge media events at the me and over 100 journalists came to see this. The emperor enjoyed the house. Unfortunately the house burned down in 1929. Lucky for the neighboring wooden city hall, which was built in 1829, the fire didn t spread any farther. Raastuvankatu 9 was originally built in 1931 and it was used as an office for the government s acid factory. The building was designed by Lars Sonck. The emperor s house consists of 37 smaller apartments and the overall area is 1512 m². During the war this building was a safehouse and a Lo a Svärd café. As a reminder of this use there is a Lo a Svärd museum right next door and on the other side of the road there is a statue of Lo a Svärd, first of its kind in Finland. A er the war all Finnish White Guards were categorized as fascist organiza ons. The organization s possessions were quickly transferred into other organiza ons hands so that the USSR wouldn t get their ownership. This way the stone building ended up under the ownership of Lappeenrannan sotaorpojen ja sotaleskien sää ö (Founda on of the war orphans and war widows of Lappeenranta). The house has also been used as the city hall of Lappeenranta and the last tenants were the management of South Karelian social and health services before the building was renovated into its current residency use.

Mailing address: PL 34, 53101 Lappeenranta Visiting address: Väinö Valveen katu 2, 53900 Lappeenranta Expert and decision maker interview CEO of The Finnish Real Estate Federa on It would be reasonable to add levels of freedom in land use and construc on How is The Finnish Real Estate Federa on nowadays? A strong year of growth is behind The Finnish Real Estate Federa on along with its member organiza ons. Almost 1 000 housing companies have joined the real estate organiza ons and 1 700 tenement investors have joined the landlords. Now there are almost 26 000 member real estates and over 9 000 landlords. The growth in the amount of our members shows us that the strategy Policymaker at your service, that was accepted in 2014, is func- onal in prac ce. In the feedback survey of summer 2015 we got fla ering grades. On a scale of 1-7 our services were given an average grade of 5,53. CEO of The Finnish Real Estate Federa on Harri Hiltunen is a heavyweight professional in issues related to the real estate business going on in both Finland and European Union. In addi on to leading the already 109-years-old Finnish Real Estate Federa on, Hiltunen is also a member of European Property Federa on EPF s board. What are the challenges in the field of real estate currently and in the near future, and what is The Finnish Real Estate Federa on doing about them? The growing need for renovations in tenement and other buildings requires investing into the counselling services of renovation construction, member education and development opera ons. The domes c migra on in Finland to municipality and city centers is going to complicate the owners possibili- es to invest in renova ons since the investments cannot be made profitable. The governments and municipali es enthusiasm to make property taxa on more stringent only complicates the situa on even more. We have suggested that the state of property taxa on should be evaluated and one should think how it takes the property s ability to create cash flow, which allows the property tax to be paid, into considera on. The value of an empty lot and the building doesn t bring any money into the bank with which to pay the taxes. During the past few years there has been a common line of thought in the use of land and construction that following norms bring happiness. This way of thinking should be brought to an end and it would be reasonable to add freedom in land use and construc on. Suomen Kiinteistölii o ry Annankatu 24, 3. krs, 00100 Helsinki phone. (09) 1667 6761 fax. (09) 1667 6400 info@kiinteistolii o.fi www.kiinteistolii o.fi Can interna onality be seen in the everyday life of The Finnish Real Estate Federa- on? Finland is a member of the European Union so a growing amount of norms around the themes of properties, living and building begins with joint decision-making in the EU. Finland s representa ves in Brussels meaning officials, members and ministers of the European Parliament need to make sure that the issues they make decisions about in Brussels can be applied in Finland. If actions are taken only when the EU regula ons are being implemented into the Finnish laws and regula on, it is irreversibly too late. The buildings energy efficiency requirements, joint financial poli cs in the Euro states, fi nancial solidity requirements in funding apartments are examples of issues that need to be affected already in the very beginning not when they are already in Arkadianmäki. The Finnish Real Estate Federation is one of the founding members of the European Property Federa- on (EPF). EPF with its partner networks is a channel for both influencing the decision making in the EU and ge ng informa on about projects that affect the real estate business. Why would you recommend being a member of The Finnish Real Estate Federa on? The membership of the Finnish Real Estate Federation is an affordable way for condominiums, property owners and landlords to benefit from versa le and wide range of counselling, educa- onal, trusteeship and communication services. With the typical membership fee of 190-250 Euro the housing company s board, real estate manager and performance auditor get a good return on their investment. As many as 97% of the member companies chairpersons and real estate managers are willing to recommend the membership. Addi onal informa- on about the membership www.kiinteistölii o.fi The Finnish Real Estate Federa on Policymaker at your service is concretely promo ng your home!

South Karelian proper es sold, rented and evaluated by REIM Brokerage Ltd! 2007-2015 A rare site for wilderness, recrea on and development. Proprietary lot of 24,4 ha with several buildings with the area of 290m² (building permit for 2 600 k-m²). Two main buildings, sauna building, grill house (fish processing premises, fish smoker) etc. KESÄ RANTA Co age village near the nature by Saimaa In Kyläniemi proprietary lot of 4,3 ha, four residential buildings á 12 m² and four log cabins á 32 m², maintenance building, cafeteria building all together circa 874 m². In addi on to these trailer parking, playground and boat dock are available. Zoned for four lots with their own beaches. Price request 1.000.000 MUURA- MÄKI for sale for sale A fisherman s dream in Puumala Price request 700.000 More information Sales locations: REIM Brokerage Ltd Jorma Pakkanen p. +358 500 651 935 KINKAMO for sale A piece of Finnish history of design in Varkaus A lake villa in the middle of nature. Kinkamo villa is located in Kopolanniemi, Varkaus circa 300km away from Helsinki. The property area is 4,6ha. The area of the main building and the sauna building is 345m². Price request 700.000 Hoidamme We asuntojen rent apartments vuokrausta with years vuosien of experience, ammattitaidolla, make your tarjoa offer through kauttamme us call - soita Kari Karille p. 0207 p. 438 0207 412. 438 412. Väinö Valveen katu 2, 2, 3. 3krs, rd floor, 53900 53900 LPR LPR etunimi.sukunimi@reimgroup.com firstname.lastname@reimgroup.com www.reimvalitys.fi www.reimrealestate.com Jari Vahviala; Jari LKV, Vahviala MBA; LKV, business MBA toimitilat proper es; p. 0207 438 411 Harri Tanskanen; broker, LKV, Harri Tanskanen business kiinteistönvälittäjä, proper es LKV, toimitilat/ / rented vuokra-asunnot, apartments; p. 0500 518 383 383 Kari Hämäläinen; Hämäläinen myyntineuvottelija sales nego ator, vuokra-asunnot rented apartments; p. 0207 438 412 Jorma Jorma Pakkanen; Pakkanen myyntineuvottelija sales nego ator; Imatran proper es; toimitilat p. 0500 651 935