Senate Properties is an unincorporated state enterprise operating under the Ministry of Finance and is self-financing and not included in on-budget activities. Central government rents are based on a gross rent model, which means that Senate should be able to pay all property costs, including renovation, upkeep, borrowing costs and real estate taxes with the rent. Senate makes no profit from rents paid by central government clients. Financial responsibility at Senate means effective use and the preservation of value of real estate assets.
The Ministry of Finance sets annual financial and operational targets for Senate Properties and Defence Properties Finland. The Ministry of Finance also decides on the annual revenue entry target and Parliament decides on the service targets and the maximum amount of investment.
Investments in clients’ facilities amounted to more than €400 million last year and will increase to €600-700 million going forward. Revenue rendered to central government has averaged €35 million a year. Revenue entry comprises sales of real estate and returns on premises rented to actors outside of central government.
We are one of Finland’s largest public procurement organisations. Our annual procurements amount to more than €800 million. The largest procurements relate to building investments and property upkeep. We particularly employ actors in the construction and real estate sectors, and in 2022 the impact on employment of services we bought amounted to almost 6,000 full-time equivalents.
Effective procurement practices ensure cost effectiveness, high quality and responsible supplier practices in respect of the services and products we buy. By setting high standards for the environmental factors and supplier responsibility in respect of products and services, we promote sustainability across society.