An agreement has already been signed for a hotel to be built next to the arena. One of Europe’s largest event organisers is coming on board. Only the financiers are missing.
The 32 000-seat arena planned for Vantaa is moving forward in the city’s decision-making process. On Monday this week, the City Council decided to lease the 3.7 hectare site next to Kivistö station to the project company for 50 years.
On Tuesday, the Vantaa City Environment Committee approved a proposed zoning change to allow for the arena and the hotel to be built next to it. The plan is still being discussed by the City Council and the City Council. This should happen before the turn of the year.
– A big arena brings us a lot of opportunities. It has the seating capacity of an Olympic stadium and is also available in winter. We must remember that tourism and events generate more income for the whole of Finland than agriculture, forestry and fisheries combined,” says Viljanen.
According to Viljanen, in the future Vantaa wants to be an important city for organizing events.
Concerts and hotel already agreed
When the plan enabling the hall is approved at the turn of the year, the project company Arena 3.3 Oy can apply for a building permit. Before that, however, financiers must be found for the event center.
However, the war in Ukraine has also brought uncertainty to the financial sector. If Russia had not attacked Ukraine, there would already be funds to build the arena, believes Sillanpää.
According to the financiers, leaving may be made easier by the fact that the arena already has some kind of agreements on tenants.
– We are able to offer financiers a fixed return with a 10-20 year contract, says Sillanpää.
According to Sillanpää, there is a 10-year operator contract with Lippupiste Oy, the Finnish representative of CTS Eventim AG, one of Europe’s largest companies in the field, for organizing events and concerts.
On the other hand, there is a 20-year operator agreement with the Holiday Inn chain for the running of the hotel to be built in connection with the arena, says Sillanpää.
– The hotel generates rental income of almost three million euros per year, and the Lippupiste contract is also significant, says Sillanpää.
The city of Vantaa plans to rent out the hall’s sports facilities during the day. According to Sillanpää, if the arena becomes a reality, Vantaa will buy the use of sports facilities for school children for the next 16 years for around one million euros per year.
According to Vantaa city manager Ritva Viljanen, it has not yet been decided how much space Vantaa will rent, but the issue is currently being prepared. It is supposed to be taken to the city council for a decision soon.
– If such a large hall is built, the city is without a doubt a partner, and it does not have to build its own sports facilities in the area. Investments can be saved, Viljanen states.
The arena will be a few minutes from the airport
According to Viljanen, Kivistö, located in Länsi-Vantaa along the Ring Road, Hämeenlinnanväylä and Kehä kolmosen, is an excellent location for the arena because it is easy to get there by train, car and plane, even from abroad.
– It is one of the best places in Finland in terms of traffic. People from abroad also come to big international events, and the airport is just one stop away, Viljanen enthuses.
If financiers are quickly found for the arena, construction may begin as early as the end of next year. The construction of the center is estimated to cost around 150 million euros.
– The goal is for the arena to be ready at the turn of 2025–2026. It has been thought that one of the world’s biggest artists, for example Lady Gaga, would perform at the opening, says Sillanpää.
*You can discuss the topic until Saturday 19 November 2022 at 23:00.*