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YIT internal magazine - ing 01/2012

YIT Group publishes the magazine titled "ing" twice a year. The magazine is designed especially for our clients, partners, shareholders and also for the public. In magazine "ing" you can read about our international activities in all areas of our products and services.

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YIT internal magazine - ing 01/2012

  1. 1. www.yitgroup.comYIT maintains Kesko storesA modern motorway builtbetween Koskenkylä and KotkaThe Gorelovo business parkin St. PetersburgYIT Studies guarantee the future1833224428YIT Corporation Stakeholder Magazine 1/2012Towardsthe futureThe Konepaja area in Helsinki is a prime exampleof YIT’s work. It has a century of colourful historybehind it. Ahead are new, bold and innovativeimplementations that pay homage to the old.
  2. 2. 2YIT Historybook publishedHundred years of experience is a chroniclethat tells a story of YIT’s progress to becomean international company.*Saimaa Canal locksbuilt by YIT’s predecessorsPohjarakenne Oy: IlistoyeInsinööritoimisto OyVesto: Tsvetochnoye OyYleinen Insinööritoimisto:Iskrova, Brusnichnoye.All four locks werelocated in the canalsection leased fromthe Soviet Union.2
  3. 3. YIT helpedto buildthe Saimaa CanalTEXTTimoherranenPHOTOYITArchiveThe Saimaa Canal was the flagship ofFinnish construction engineering in the1960s. The predecessors of today’s YITparticipated in the canal project, makinga significant contribution to the result.For example, the companies built four of the canal’seight locks. Its technical execution made the SaimaaCanal a high-quality traffic system, and the leaseagreement was renewed a few years ago for another50 years.During the canal’s construction, YIT’s predeces-sor was known as Pellonraivaus Oy. The subsidiariesof this conglomerate – Pohjarakenne Oy, Oy YleinenInsinööritoimisto, and Insinööritoimisto Oy Vesto– participated directly in the building of the canal.A five-year project, construction of the canal,started in the autumn of 1963. In addition to thelocks, these companies built canal sections, ports,and bridges. The conglomerate’s dredging fleet deep-ened the waterways from the Bay of Vyborg to thecanal. The fleet’s suction-tube dredgers Tursas 2 and4 and the dipper shovel dredger Pera I, along withboring platform Pera 7, assisted with the dredging.The significance of the Saimaa Canal, opened in1968, was not limited to the traffic it conveyed. Thesuccessful completion of the canal convinced theSoviets of the skills of the Finns. In 1970, the SovietUnion commissioned the building of the industrialcomplexes in Svetogorsk and Kostomuksha fromFinns. These border area projects meant a great dealto for the economy of the construction companiesand for Finnish employment.3
  4. 4. On this special year for YIT, we can look back in our companys history in a spirit of celebrationfor the results we have achieved. With the strong competence of its staff and the strengthof its company culture, YIT has advanced good living environments for people already fora hundred years. All of us at YIT and all our customers can today be proud of the peoplewho have steered the company so well even through the toughest times. Being a trailblazersometimes means facing rough stretches along the way.The beginning of the new century bears little resemblance to the last, the time whenYIT started in Finland. We no longer see horse-drawn carts hauling goods from the countrysideto population centres, for example. They have been replaced by heavy vehicles that requiregood road connections, including bridges. Agricultural Finland has urbanised, and people havemigrated to cities and towns.Construction focuses on cities and towns and their neighbouring regions. Cattle pastureshave been transformed into residential areas, traffic routes and industrial sites. After the wars,YIT cleared land for Karelian refugees to live and farm on. Now YIT designs and developsentire residential areas. Even older city districts, such asthe Konepaja area in Helsinki, will be given a new look – bybuilding new and paying homage to the old.The E18 road, a modern motorway built between Kotkaand Koskenkylä, will create new opportunities in Russiantrade. The news broke recently that the motorway will beextended all the way to Vaalimaa on the Russian border,thanks to the 240 million euros allocated for the Hamina-Vaalimaa stretch by the Finnish government. This secures aconsiderable amount of work for the road builders.YIT needs builders of the future. Collaboration has startedwith six universities of applied sciences. We will be in chargeof the training, provide the students with practical trainingpositions and guarantee them jobs after graduation.Kesko Corporation is among our largest partners. YIT’scompetencies in building technology and energy efficiencyhave been at the service of Kesko already for years. In Kes-ko’s properties, our maintenance provision covers a total areaof one million square metres. Both parties benefit from this.Ragnar Kreuger (4 August 1897–27 October 1997) wasthe strong leader of YIT through the decades. We respectand honour his valuable legacy of courage and innovation inwhat we do today.I wish you a useful and enjoyable read!A valuable centennial tradition“After the wars, YIT clearedland for Karelian refugeesto live and farm on. NowYIT designs and developsentire residential areas.”Eija SandbergEditor-in-Chief4YIT Corporation Stakeholder Magazine 1/2012
  5. 5. Looking back –what do you see?YIT, a diverse companyResults throughcollaborationClean airNew businesspremises availablein St. PetersburgStudies thatcombine school withbuilding site workReino Hanhinen and Esko Mäkelä talkabout interesting things in YITs historyAn interview with Presidentand CEO Juhani PitkäkoskiKesko’s commercial properties arewell cared for without compromisingenergy efficiency.A solution developed byYIT in Germany purifiesair for industrial plants.YIT developed a business parkin the St. Petersburg region.YIT Studies guaranteea supply of competentconstruction people in the future.11 Pekka Helin forecaststhe emergence of customisedliving circumstances614www.yitgroup.com/YIT_GROUP/about-us/MediaThe -ing magazineand other YIT publicationsare available ata single location.18263344www.yit.fiGet the informationyou need aboutYIT’s services andtopical news.yit100.yit.fi/yit100/YIT100_uk/Learn more aboutour history atour anniversary site.22 The modernmotorway issafe and green.Painotuote441 032YIT is a major Europeanservice company cateringto the real estate andconstruction sectorsand industry.We construct, developand maintain a goodliving environment in theNordic countries, Russia,the Baltic countries andCentral Europe. In 2011,YIT’s turnover was around€4.5 billion. The Group nowhas approximately 26,000employees. YIT’s share isquoted on NASDAQ OMXHelsinki Oy.Publisher: YIT Corporation, P.O. Box 36, FI-00621 Helsinki, tel. +358 20 433 111, www.yitgroup.comEditor-in-Chief: Eija Sandberg Editorial board: Kirsi Hemmilä, Tuija Hirvonen, Sari Malka, Elena Vanhanen,Katja Tiitinen, Tuija Vilhomaa Editorial secretary: Terhi Paavola, Maggie Oy Layout: Maggie Oy | ZeelandCover: YIT Printing house: Erweko Painotuote Oy Paper: Edixion ISSN: 1795-7850 Read -ing online:www.yitgroup.com/media/publications Source of address: YITs customer and shareholder registerChange of address: postit@yit.fi or tuija.jamsa@yit.fi Feedback and ideas about articles can be sent to:eija.sandberg@yit.fi The next -ing will come out in October 2012.Engineering for Living – YIT Corporation Stakeholder Magazine28 Old meets newat the Konepaja areain Helsinki.PEFC/02-31-12056 2812 44
  6. 6. 6TEXT Leena Koskenlaakso PHOTOS Juha TörmäläLooking back- what doyou see?YIT Group’s former executive power duoReino Hanhinen and Esko Mäkelä got together to discussthe ups and downs during the recent decades.
  7. 7. 7YIThas been successful because we areproactive, development-oriented, creativeand innovative. A good example of thiswas the realisation – made long beforethe oil boom – that what was neededin the Middle East was clean water. It led to us delivering wastewatertreatment plants to Jordania in the 1960s, says Reino Hanhinen, formerCEO and current vice chairman of the board of YIT Group.“Yes, in the 1970s we operated successfully in many Middle Easterncountries,” says Esko Mäkelä, former executive vice president andfinancial director of YIT Group.“But by the mid-80s we had to pull out of the Middle East becauseEuropean construction firms could no longer withstand fierce Koreancompetition.”Out into the Big WorldHanhinen says another secret to YIT’s success has been its long-termstrategic development and renewal.“Finland is a small country, and when we started searching for growthopportunities, we had to start looking beyond our own borders. In the1970s, growth was found in the Middle East, but during the decades thatfollowed we have turned our gaze first to the Baltic Sea region and thento Scandinavia, Central Europe and Russia,” he notes.“Ever since the late 1980s we have focused on construction andtechnical building systems. Our strategy has been slightly modified alongthe way, but for the last 25 years it has remained strictly aligned. Growthhas been achieved through project deliveries, building maintenance andlifecycle services.”YITs founding istraced to the Swedishengineering companyAb AllmännaIngeniörsbyrån (AIB),which opened upa branch office inFinland in 1912.1919 TheGreat War,Finland’s independenceand the Finnish Civil War,all contributed to a rapiddeterioration of the com-pany’s momentum, leadingto the companys withdrewfrom the Finnish market.1920 Theoperationsof AIB’s Helsinki officewere resumed in the formof a new Finnish companyof the name Ab AllmännaIngeniörsbyrån –YleinenInsinööritoimisto Oy.1924 Thecompanywent bankrupt, butoperations continueduninterruptedunder the leadershipof Ragnar Kreuger.1912Reino Hanhinenstarted his careerat YIT 45 years ago.He led the companyuntil 2005.
  8. 8. 1930 At the endof the 1930sthe company’s operationsexpanded to includecompanies in the forestindustry. YIT designedand implemented extensivewater management systems,with pipelining usinglarge wooden pipes madeof plans and othercustomised equipment.1955 YITexpandedits operations fromwater management toother sectors of theconstruction industry.1958 YIT wasawardedits first constructionexports project in Iraq.1940s During thewartimeYIT was engaged by theacquistions departments ofthe armed forces of bothFinland and Germany.1940 On 1940 thelegal predeces-sor of the present-day YIT– Pellonraivaus Oy – wasfounded as an importantnational venture to clear land to in-crease the amount of arable farm-land needed in the post-war years.1948 YIT expanded toinclude a new line,the import and sales of water-supply pipes.1949 YIT bought itsown workshopfor its workshop operations.8Esko Mäkelä’s careerin YIT spanneda total of 41 years,from 1987 to hisretirement in 2006.
  9. 9. Focusing on building systems“Technical building systems require less working capitalthan the construction of residential buildings, which evensout economic cycles. Building systems brings in revenuefaster, levelling out YIT’s cash flow and supports our cyclicconstruction business, Mäkelä, a meticulous numbers man,points out.”“The acquisition in 1995 of Huber, a Finnish plumbingcompany, and the purchase of ABB’s Scandinavian, Balticand Russian building systems business in 2003 were amongthe most memorable events during my career, he adds.“Ordinary people and many investors still regard us asa construction firm, although morethan 60% of YIT’s annual revenuecomes from building systems and realestate maintenance,” Hanhinen says.“That’s true. And YIT is stilltaken for a Finnish company,although our staff in othercountries – a total of some 16,000– outnumbers the less than 10,000people we employ in Finland,”Mäkelä responds.Particular strengthsWhen asked to name things that YIThas been particularly good at, Hanhinen does not hesitate.“We have been able to develop and manage our personnelso well that during economic fluctuations we were saved byreacting quickly to the warning signals in our operatingenvironment. Of the four major Finnish construction firms,we were the only one that survived the severe recession inthe early 1990s.”Mäkelä agrees, “I would say we have been good at transi-tion management. We were able to get all employees involvedby telling them we were all in the same boat. We had to layoff many people, but it was a matter of saving the rest ofthe YIT Group.“The importance of personnel development and speakingto people in words that they understand cannot be stressedenough. We employ close to 26 000 people, and the group’sbottom line depends on their daily accomplishments. What’s1960s YITscompetitorPellonraivaus Oy acquired acontrolling interest in YIT aswell as in another competitorInsinööritoimisto Vesti Oy.1961 Pellonraivauscompletedits first construction projectin Soviet Union.1985- 1987YIT, Vestoand Perusyhtymä were mergedto form YIT Corporation.1987- 1988YIT underwentone of the most extensivereorgansations in the economichistory of Finland.1964 YIT returnedto the MiddleEast, this time to Jordan.1968 PellonraivausOy changedits name to Perusyhtymä,Vesto and YIT continuedto operate under theownership of Perusyhtymäas independent companies.1970s YIT madea strategicdecision to expand its opera-tions and venture into themaintenance of steel struc-tures and industrial pipelines.1984 YITlaunchedits housing constructionbusiness. more, all our managers have a deep understanding of whatour daily business is about,” Hanhinen says.“Our bold recruitment policy is also one of our assets.We systematically recruit many young trainees to grow withus. They provide the potential for building a superior team,he adds.”Mäkelä suggests that the decision to become a listedcompany, made in the mid-1990s, contributed to YIT’s growthin a major way.“Our time on the Helsinki Stock Exchange is one ofthe most successful periods in Finnish economic history. Wehold an unsurpassed record for being able to raise dividendsfor our shareholders every single yearbetween 1995 and 2007. The fact thatold shareholders have been able tosell some of their YIT shares hasprotected us from a hostile takeover.”Times of crisisLooking back, it has not been onlysunshine and successes. There havebeen crisis periods when YIT wasliving on a knife edge.“In the construction business, firmsare often close to financial meltdown. Forus, the most dramatic years occurred justafter the mid-1980s. We were so close to crashing into a concretewall that we had to make a financial U-turn,” says Mäkelä.“By that time, the Perusyhtymä Group had been establishedbut it was a dispersed group where the companies, Perus-yhtymä, YIT, Vesto and Makrotalo, were competing withone another, trying to increase their shares of the Finnishconstruction market. Perusyhtymä had also diversified intoother fields, such as industrial engineering,” Hanhinen explains.Hanhinen was appointed CEO of YIT, the first company toland in serious difficulties, in 1985. Eighteen months later,having remedied the problems at YIT, he grabbed the steeringwheel at Perusyhtymä, YIT’s mother company, which had,meanwhile, gone downhill and was now in crisis. During thefollowing year it became clear that if the group was to be saved,all companies had to be bundled together. Finally, 1987 sawthe establishment of the YIT Group.“Our time onthe Helsinki StockExchange is one ofthe most successfulones in Finnisheconomic history.”9
  10. 10. “It was a really big operation where we had to let largenumbers of people go, and several business lines were sold. Butit paid off. When the economy slumped in the early 90s we hadalready resurfaced and were full of drive. We reacted to thesituation faster than our competitors, choosing an eye-of-the-needle strategy. We decided to squeeze ourselves through whatwe considered a tight spot by reducing our fixed costs. Later wesaw it was not a tight spot, but a long and tightening pipe. Butwe emerged from the slump in the 90s with only minor bruises.”Bad decisions vs.things to be proud ofAt certain times there has beentoo much risk-taking and poorjudgement. Mäkelä recalls therenovation project of HotelMetropol in Moscow, whichturned out to be a protectedmuseum-class buildingrequiring extra sensitive workingmethods that sent costs soaring.“Back in 1986 it threatened tocapsize YIT’s boat.”“But the thing I’m very proudof is that YIT was the first to introduce a residential mortgagesystem into Russia in 2002. Today, about 40% of the homes wesell in Russia have been financed through a mortgage. This isvery important for the growth of the residential constructionmarket, and something I will mention to St. Peter when I arriveat the Pearly Gates,” Mäkelä claims.1990 YITcommenced itslast Soviet Union project.1992 The companymoved itsheadquarters to Panuntiein Helsinki.1995 The acquisitionof Oy Huber Abstrengthened YITs positionand opened up newoppurtunities in Sweden.1997 The company boughta controlling interestin the St. Petersburg-based consturctioncompany Lentek.2003 the acquisition of ABBsbuilding systems businessalso involved new business operationsin Sweden, Norway, Denmak, the Balticcountries and Russia. Building systemservices were later expanded tocover Central European countries suchas Germany, Austria, Poland, the CzechRepublic, Hungary and Romania.Reino Hanhinen,M.Sc. (Eng.), D.Sc. (Tech.) hcReino Hanhinen worked for YIT from 1967until 2005, acting as the Chief ExecutiveOfficer of YIT Group from 2000 until hisretirement in 2005. From 1985 until 1987he worked as the CEO of YIT, and after thathe changed jobs and became the CEO ofPerusyhtymä, where he continued workingfor 18 years until 2005. He has been memberof YIT’s Board since 1988. He held theposition of Chairman of the Board twice, firstfrom 1989 to 2000 and again between 2006and 2008. He is currently Vice Chairman ofthe YIT Board. In addition, Reino Hanhinenplays a prominent role in the governanceof other Finnish top companies. He hasbeen the Chairman of the Board of steelfirm Rautaruukki since 2009, and a memberof the Board of elevator and escalatormanufacturer Kone since 2005.Esko Mäkelä,M.Sc. (Eng.), MBAEsko Mäkelä’s career in YIT spanned atotal of 41 years. Between 1987 and hisretirement in 2006, he was the ExecutiveVice President and Chief Financial Officer ofYIT Group. Prior to that, he worked as CEOof YIT from 1986 to 1987. Earlier on in hiscareer, he held various positions in Finlandand abroad, including YIT’s regional managerin Saudi Arabia in the 1970s. Esko Mäkeläwas the first person to hold a position inthe Perusyhtymä Group organisation when itwas established in 1981.“Our 26,000professionalsserve customersin 14 countriesand the numberof shareholdersis over 30 000.”201210
  11. 11. 11AgendaPekka HelinDirector,Developmentof ResidentialConstruction“The forms of social interaction are evolving.Alongside the use of social media,a strong desire is emerging for people to gettogether and do things together.”Global trends can also be seen in the way people live, and they have an effect onwhat kind of housing is built, and when, where and how this is done. Sustainabledevelopment, ageing populations, continuing urbanisation and new forms ofsocial interaction have an impact on the way people live in the most concreteways. Sustainable development means, among other things, more stringentenergy regulations for housing. The builder’s challenge is to meet the requirements for energyefficiency in a way that is not evident on the outside or compromise the comfort of living.Conversion opportunities are needed as teleworking increases as part of the sustainability trend,making it necessary for part of the home to also serve as an office. Flexibility of spaces isimportant, also in the everyday lives of reconstituted families where the number of familymembers may fluctuate during the week, sometimes by multiple persons.Population ageing means that soon three out of every four households will have one ortwo persons living in them. How do ageing people like to live? There must be plenty of choice,because the category of ageing people is heterogenic, with varying hopes and needs.Accessibility is needed, but the same goes for shared spaces as well as individualised solutions,even to a high degree of customisation.Meanwhile, urbanisation is increasing at an ever faster pace. In twenty years, the number ofpeople living in the Greater Helsinki region will be 1.5 million. Elsewhere in the country, regionalcentres that are able to evolve dynamically are growing as well. Builders need to understandthe changes taking place in their respective areas. In the capital region, the dearth of buildingland is a reality today, and it is extremely importantto be involved in ensuring that there will be afford-able housing available in the future as well.The forms of social interaction are evolving, too.Alongside social media, a strong desire is emergingfor people to get together and do things together.This means that we need living rooms to share –something completely different from the uninvitinghobby premises in housing blocks of old.Builders also need to remember that a home ismore than walls, ceilings and floors. Only ratherrecently have Finns learned to demand individualityin housing. For a long time we settled for the housing norms created as a consequence oftwo migrations, one after the Second World War and the other resulting from urbanisation inthe 1960s and 1970s. Wishes of homebuyers are easy to fulfil in the construction stage.We used to wonder whether individual solutions have an effect on the resale value. Now webegin to comprehend that these homes are built for us, not for prospective future buyers.Customers will surely welcome the comprehensive and tailored housing solutions that wehave come up with at YIT. They feature opportunities for integrating technical solutions to makeeveryday life easier. The eHouse helps you to monitor your water and energy consumption,among other things, and keep your house documentation up to date. And how does theopportunity to acquire cleaning or shopping services together with the apartment sound to you?Or getting a professional interior decoration service for your new apartment?More and more people are answering yes.How does the opportunityto acquire cleaningor shopping servicestogether with the apartmentsound to you?11
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  13. 13. The egg of Aepyornis maximus,an elephant bird species, is thelargest known bird egg in the world.Elephant birds weighing some500 kg used to lay eggs big enoughto fit in a bucketful of water.Modern-day ostrich eggs trulyshrink in comparison.Elephant birds became extincthundreds, perhaps thousands ofyears ago. The egg in the photomay be up to 10,000 years old.Only a few eggs of Aepyornismaximus remain intact in the wholeworld. One of them is part of theegg collection of the MuseumOologicum R. Kreuger. Eggs were a hobby of RagnarKreuger (1897–1997), the founderof YIT and the head of the companyfor 50 years. He assembled one ofthe world’s most remarkable eggcollections. The collection coversthe entire globe and features anumber of rarities.In the 1960s, Kreuger donatedhis collection to the Universityof Helsinki, and the eggs havesince been in the custody of theFinnish Museum of Natural History.The collection has immeasurablescientific value, and it is still beingutilised for research purposes.The collection is not open to thepublic. World’s biggest eggPHOTOSJannelehtinenBroods of European Honey Buzzard.Docent Torsten Stjernberghas worked at the MuseumOologicum R. Kreugersince the 1960s.1313
  14. 14. According to President and CEO Juhani Pitkäkoski, the driving forcesthat have made YIT a trailblazer are courage and a hands-on mentality.This feature in YIT’s culture has remained the same for a century,in everything that YIT endeavours to do.Towardsthe futurewith diverse approachesTEXT Eija SanDberg PHOTOS Juha Törmälä14
  15. 15. When I think of boldmoves in the historyof YIT, one thatcomes to mind is thecompany’s decisionto take on projects inthe Middle East. That was quite a leap intoa virtually unknown market area, one whosepredictability was questionable. Already then,Ragnar Kreuger, the founder of YIT, waslaying a foundation for an approach thatwas both bold and ahead of its time, saysPitkäkoski.The company delivered a water supplyplant and two steel water tanks to Karbala,Iraq in July 1960. The delivery was precededby tough and complicated bidding negotia-tions that started in 1957 and were conductedin Ragnar Kreuger’s quintessentially unyield-ing style. This was followed by a contract forwastewater treatment plants in Amman andAkaba, Jordan, when YIT was already settingits sights on Saudi Arabia.The journey continued in the Middle East,when in 1967 YIT headed for Riad to builda water pre-treatment plant and three watersupply plants. The next move was to go toMedina with a partner to strike a deal on therunning and maintenance of the citys waterpurification plant. In 1978, the company un-dertook a water supply plant project for thecity of Jeddah, and a couple of years later ittook on a wastewater treatment plant contracttogether with a partner.“We build, develop and maintain a goodliving environment for people in accordancewith our mission. The YIT culture continuesto rely on its familiar strengths: having theinitiative to be a pioneer and having the cour-age to make bold moves. We have staff whothink creatively and in new ways. They havethe ability to develop things and see them ina new light, from the customer’s perspective,listening to the customer,” Pitkäkoski boasts.In the Medina project, the courage of YITspeople was indicated by the fact that almostthirty employees of the company along withtheir families moved to a community in thedesert. They could not have stayed in Medina,a holy city in Islam, due to the differences incultural customs and leisure habits. The mat-ter was solved by building these one hundredpeople a community of their own. This trulycreated a sense of unity among them. Theycollaborated on many fronts, such as arrang-ing schooling and leisure-time activities fortheir children and spending free time together.There was a strong “can-do” spirit in the air,and you could see it both in the grown-upsand in the children.“I have been personally involved in plansand projects related to the development ofbuilding technology, and one such scheme,in particular, is firmly imprinted in my mind:the acquisition of ABB’s building technol-ogy business, a move that required a greatdeal of courage. The key persons behindthe move were Reino Hanhinen, EskoMäkelä and Sakari Toikkanen. I learneda whole lot from the transaction process and from fa-miliarising new fellow workers with YIT’s culture. Everybusiness acquisition is a unique process where you canalways learn something new for the next case," Pitkäko-ski reminisces.The number of YIT staff roughly doubled when theABB business was acquired in 2003. As a result of theacquisition, the companys competence in building tech-nology expanded to also cover Scandinavia, the Balticcountries and Russia.“Building technology must always work flawlessly,regardless of building size or type. Our competence inbuilding technology is second to none in the market, andour service concept in technical property maintenance ismore wide-ranging than what you find elsewhere. Pre-ventive maintenance and regular and need-based repairshelp the customer to maintain the value of its property.By developing and improving the technical systems,the propertys energy consumption and carbon dioxideemissions can be reduced,” Pitkäkoski underlines.“We take responsibility of the management of buildingtechnology, energy consumption and services offered inthe premises. In matters related to technology and sys-tems, our competencies include heating, water, air con-ditioning, electricity, cooling, security and data communi-cation systems, automation, servicing and maintenanceof technical systems, increasing the efficiency of energyconsumption and optimising energy consumption.”To extensivemarkets byacquisitions.15
  16. 16. “The range of our Construcionsservices is wide. It covers the con-struction of new residential, office,commercial and logistics premises,entire residential areas, free-timecentres and service centres, aswell as renovation, modernisationand conversion of existing proper-ties into new uses. In Finland, we are developingenergy-efficient construction. In the future, energyconsumption in our new buildings will be about halfof the normative energy consumption level deter-mined by the Finnish government.”“The Tilanero (“space genius”) concept is a goodexample of how we contemplate future conceptsfor office premises together with our customers andhow the solutions should address not just the useof space but also building technology and interiordecoration. One of our related pilot projects is lo-cated at Kalasatama in Helsinki. The Motor-Centerconcept, aimed at companies in the vehicle servicebusiness, is another example of YITs concept de-velopment.”“One of our goals is to bolster our position asFinlands largest player in the residential construc-tion business. Last year, our most substantial futureinvestment in Finland was the preliminary agreementmade with VR, the national rail company, on construction rights inHelsinki, Turku and Hämeenlinna.Area development and premises concepts of the future can beseen in our pilot construction projects.”“In the future, one considerable site of area development willbe the district of Niemenranta in Tampere, where fifteen differentproperties will be erected. In Lauttasaari in Helsinki, in the area ofMerenkulkijanranta, we have already built apartments with consid-eration to combining comfort of living and energy efficiency. Ourconstruction work continues there,” Pitkäkoski says.“Our various service concepts make life easier for homebuyers.Listening to the customers and forecasting future living needs isan important part of our develop-ment and design work.Our infrastructure constructionoffers a wide range of services:earthworks, foundation works, rockconstruction, water construction,municipal engineering and streets,roads, bridges, harbours, sportsareas, parks and waste handlingareas.”“In the improvement of RingRoad I, one of our segments wasthe “Mestarintunneli” tunnel, whichfeatures eight underground drivinglanes on a stretch of 500 metres. For the most part, the tunnelwas cut through solid rock. A total of 200,000 cubic metres ofrock was cut from the line of the tunnel. During the construc-tion stage, as many as 70,000 vehicles by-passed the tunnel siteevery day, which was extremely challenging also in view of trafficarrangements and traffic flow.”“Currently we are involved in the E18 motorway project. Thisis a project where we can exhibit our best competencies ininfrastructure construction. The main project responsibility lieswith the Finnish Transport Agency that ordered a service packageincluding design, construction, maintenance and finance from aconsortium established jointly by YIT, Destia and Meridiam.”“We have also signed a letter of intent with Lemminkäinen oncollaboration concerning nuclear plant construction projectsin Finland. Together we can offer the required resources andcompetencies both in terms of quantity and quality. It is highlyjustifiable for us to join forces in these kinds of challengingcontracts whose duration is long,” Juhani Pitkäkoski states.A good livingenvironment for people16
  17. 17. “We offer services for industrialmaintenance and investments. Wedevelop services related to pipe-lines, vessels and electric, automa-tion and ventilation systems on acontinual basis. Energy efficiencyis always the starting point in all ofour planning work.”“Our job is to help our custom-ers increase the efficiency of theirproduction throughout the plantlifecycle.We have a competitive advan-tage in that we can offer our customers a number of dif-ferent maintenance service concepts, from the servicing ofindividual pieces of equipment all the way to maintenancepartnership agreements,” Pitkäkoski says.“YIT has a new kind of service centre at the Kilpilahti in-dustrial park in Porvoo. The centre can meet all of the needsof our customers from industrial services to building technol-ogy solutions. Our main customers there are Neste Oil andBorealis Polymers. A year ago, Borealis Polymers Oy and YITsigned an agreement on maintenance partnership in Finland.The purpose of the partnership agreement is to develop astrong and competitive maintenance concept for Borealis’smanufacturing plants at Kilpilahti, Porvoo. Pre-manufacturingis mainly done at YIT’s engineering workshops. In Sweden,YIT upgrades the converter equipment at SSABs steel millin Luleå.According to Juhani Pitkäkoski, thedemand for new investment projectsin Central Europe was at a good levellast year.“We expect the demand for our en-ergy services to increase in the future,as European countries are adopt-ing more stringent energy efficiencynorms. In Germany we have extensiveopportunities to achieve – and experi-ence – further development as themost competent company in the business. The devel-opment of YIT’s services will be supported by the com-pany’s own product development centre in Aachen,Germany. We have also examined opportunities toutilise renewable energies, particularly solar energy.”Servicesfor the needsof industryCentral Europeanand Russian markets“Our services are aimed at sustainabledevelopment, and our implementationsare based on lifecycle thinking. We areconstantly developing innovative solutionsof our own in technology, service, energyefficiency and construction. In the lifecyclemodel, we take responsibility for thedesign work and implementation, but alsoof site maintenance during operation andservices for a period that is agreed on withthe customer.”“in Finland, an example of this is theHuhtasuo school and daycare centre ofthe City of Jyväskylä, which is based onthe lifecycle model. In addition to buildingthe facility, we will be incharge of the buildingtechnology solutionsand maintenance andall lifecycle servicesuntil 2033,” Pitkäkoskiexplains.“In Finland, we havegood opportunities tostrengthen our positionfurther.”Sustainabledevelopmentand lifecyclethinking“In Russia, we have developed a service conceptfor homebuyers together with local banks. Theconcept facilitates housing purchases with mortgageprogrammes, and its popularity is steady. Thefact that those purchasing a YIT Home can geta mortgage on affordable terms is a competitiveadvantage for us.”“Commencement of housing development in Rus-sia is another bold expansion we have made, and itwill provide us with amazing opportunities for manyyears to come. We have always made big movesand made changes. Now we are an important resi-dential builder in Russia and the Baltic countries.Furthermore, we have started residential construc-tion at a good pace in the Czech Republic and Slo-vakia as well,” Pitkäkoski says.17
  18. 18. Openness, trust and genuine partnership. Together wecan achieve more than on our own, and both sides willbenefit from the collaboration.Jari Pihlajamaa, Maintenance Manager at Kesko saysthat the collaboration between YIT Building ServicesFinland and Kesko Corporation has strong foundations. The relationshiphas been developed continuously, and both parties have strived system-atically to enhance it for the last 11 years.“We have worked towards the same goals. You need to be open whenyou contemplate things together. The established operating proceduresare good only if both sides benefit from them.”At the beginning of the new millennium, Kesko was among the firstmajor companies in Finland to outsource its building services operations.At present, Kesko controls about 950 properties in Finland.YIT and Kesko have collaborated in the provision of services forKesko trading sites since 2001.to maintainYIT maintains 350 Kesko Corporationproperties. “Optimal conditions” are the keywords in the long-standing collaboration.TEXT Pertti Suvanto PHOTOS Jussi VierimaaOne millionsquare metres1818
  19. 19. Finland’s largestK-citymarket is lo-cated at Länsikeskusin Turku. In a hyper-market of gargantuanproportions wherecooling, heating andventilation must beproperly maintainedand serviced. MattiSantanen and SamiPasi inspect that eve-rything is working rightin the machine room atthe top of the building.1919
  20. 20. The service agreement currentlycovers the building technology man-agement, technical service and mainte-nance, energy management and manage-ment of property services at 350 Keskotrading sites in south-western Finland,Finnish Lakeland, East Finland, NorthFinland and Osthrobotnia. The ag-gregate total area of the propertiesamounts to about one million squaremetres. The storekeepers at the tradingsites are also involved in the arrange-ment.Long collaboration and partnershipconstitute a good basis for productiveoperations and development. Annualthemes have been selected for the col-laboration, and the agreement has beenreviewed and revised along the way. Theannual themes guide the development ofthe collaboration, and target achieve-ment is monitored at regular intervals.“For us, the number one thing hasbeen the ability to make changes if itleads to better results. A good atmos-phere is conducive to ideas for changes.They may be minor and simple, but witha property volume as large as this, theycan be reduplicated, and sometimessmall things may become somethingbigger.”Pihlajamaa mentions an example insourcing related to property develop-ment.“Based on the feedback from YIT’smanagers, we have been able to focusour purchases on more long-lastingproducts. An example of this are theautomatic doors that are very importantfor shop operations.”Energy efficiencyis key for KeskoLong-term collaboration has also gener-ated good results in the improvement ofthe properties’ energy efficiency.In Kesko’s world, energy efficiencyis important both in view of ensuringbusiness profitability and protecting theenvironment. Corporate responsibility isone of the companys key values.The K-group is a signatory to theenergy efficiency agreement of the com-mercial sector and is committed to cut-ting its power consumption by 65 GWhby the end of 2016; the targeted reduc-tion equals the annual energy consump-tion of some 3,250 detached housesheated by electricity.Since 2008, Kesko Corporation hassourced exclusively carbon dioxide freepower for the K-group. This makes adifference, since Kesko’s business isvery energy-intensive, and the companyaccounts for about one per cent of allpower consumption in Finland.The energy theme was brought up inthe context of the collaboration backin 2004. The annual theme year createdsavings of about one million euros forKesko.“About 3 to 4 years ago, YIT carriedout a project called “the energy rally”in 259 of our properties. In the project,YIT inspected the sites to see how thetechnology was working in practice andperformed fluid analyses for the heating,cooling and ventilation networks. Thishelped to eliminate functional problemsin the systems. These “rallies” broughtus considerable savings in energy con-sumption,” Pihlajamaa touts.“Our guys”Additionally, YIT systematically com-missions its partners to perform “clean-liness audits” at Kesko sites, intendedto demonstrate to the customer how theservice works by means of photo mate-rial. The audits cover the cleanlinessof the properties outdoor areas, roofs,technical facilities, main entrances andloading areas, and the results are com-piled in a report a few pages long.In 2010, efforts began to make com-panies in the trading sector committedto energy efficiency, and storekeeperstook a keen interest in this. A substantialshare of the trading sites have been con-nected to YIT’s central building controlroom, and their conditions and buildingsystems are monitored continuously.“Through YIT’s managers we cantrain storekeepers in energy efficiencymatters. In connection with their sitevisits, YIT managers provide storekeep-ers with insights on how energy savingscan be achieved in the operations.”Pihlajamaa stresses that when col-laboration has a long history behind it,you know that it works right. This givesthe customer a basic sense of safety andtrust.“YIT’s technical managers have beenwith the company for a very long time,and they are well acquainted with ourlocal people. They are like a part of ourown organisation, even though they donYIT’s colours. Another good result fromthe long-standing collaboration is thedevelopment of a good managementculture. Both parties know what needsto be done and what it takes to get itdone. In addition to day-to-day mainte-nance, we have plenty of developmentwork and projects going on between us.”“For us it is important that thework is done at the same quality level20
  21. 21. throughout the country. This has beenone of YIT’s strong suits. When you aredealing with large volumes and a myriadof events, a key thing is to get thingsdone in an easy way.”“Take safety for example. Our execu-tive management has defined it as theabsolute bottom line in everything wedo. We have had no issues with snowloads in the winter. The accumulationof snow is measured regularly, and thesnow is removed from the roofs im-mediately when necessary. Problems arebrought up in good time, and people areaware of what they need to do. The sys-tem works, and we can rely on it.”Optimal conditionsAccording to Pekka Pöykkö, Directorof YIT Building Services Finland, thekey to providing Kesko with propertyservices is to successfully combine theviewpoints of technical management,technical service, remote monitoringand energy competenceThe values of both Kesko and YIThighlight leadership, the ability ofchanging with the times, developmentand responsibility. An example of thisis the newly-developed “fourth genera-tion” agreement, building on the open-ness and trust that are the collabora-tions foundation and on the efficiencyof both parties. The collaboration hasshifted from calendar-based serviceintervals to need-based servicing: meas-Kesko is a leading provider of trading sector services. It is engaged in thefood trade, the home and specialty goods trade, the building and homeimprovement trade, and the car and machinery trade. Kesko’s chain oper-ations comprise about 2,000 stores in Finland, Sweden, Norway, Estonia,Latvia, Lithuania, Russia and Belarus.Kesko was included, for the eighth time, on “the Global 100 Most Sus-tainable Corporations in the World” list, announced at the meeting of theWorld Economic Forum in Davos, Switzerland in January 2012. On the list,Kesko is the 43rd most sustainable company in the world. Kesko has beenon the list since it was started in 2005.The most substantial direct environmental impacts of Kesko’s opera-tions are the emissions from the production of electrical and heating en-ergy required by the properties, the emissions from transports and thewaste from warehousing operations. Indirect impact arises from the man-ufacture, use and disposal of sales articles and their packaging.In its environmental operations, Kesko aims to continuously reduce itsdirect environmental impact in relation to the volume of its business. In itsenvironmental calculation, Kesko monitors the effects of its environmentalmeasures on its financial result.Responsibilityon a global scaleurements, analysesand procedures asneeded.“It is not abouthow you arrange yoursnow removal, lawnmowing or emptyingof waste bins. Thebiggest effects on trading site conditionsand the cost structure can be achievedby managing overall circumstancesand the property life cycle. We join ourforces to determine the optimal level forbuilding maintenance and related costs.At the same time, we are looking forinnovative solutions, also in developingthe maintenance work,” Pöykkö says.An agreement concept based on costresponsibility encourages both partiesto create savings without adverse affectson the circumstances or availability ofproperties.One goal is to efficiently utilise thecompanies’ state-of-the-art reportingand monitoring systems.To optimise property maintenanceand the level of costs, you need to beable to obtain sufficient quantities ofrelevant data that is specific and up-to-date. Information is collected in manyways, including YIT’s 24/7 buildingcontrol room and the informationsystems and ERP systems of bothcompanies. Through maintenanceit is possible to create the desiredcircumstances in the properties in away that is as energy efficient and costefficient as possible.“One basic notion is that we wantto purchase circumstances instead ofa mile-long list of individual tasks.Another thing is that we feel uncomfort-able about speaking of cost minimisa-tion. There may be easy ways to cutcosts right down to the bare minimum,but these often bring less than desirableresults. What you have to do is find theoptimal level of costs together,” says JariPihlajamaa, Maintenance Manager.Jukka Itkonen,shopkeeper atthe K-citymarketin Länsikeskus,is satisfied withhow the buildingmaintenanceworks.YIT commissions cleanlinessaudits on properties’ outdoorareas, for example. YIT’sMatti Santanen and Sami Pasiare going over a report.21
  22. 22. This modern motorway has been designed and isbuilt with attention to its surroundings and theenvironment, providing the best possible usercomfort for people and also respecting the needto provide secure circumstances for other livingspecies. The project is carried out by TieyhtiöValtatie 7 Ltd, a joint venture between YIT, Destia, MeridiamInfrastructure Projects S.á.r.l. and Ilmarinen Mutual PensionInsurance Company. TYL Pulteri, a work consortium formedjointly by YIT and Destia, is in charge of building it.In autumn 2011, the work consortium started the rebuild-ing of national road 7 into a motorway between Koskenkyläin Loviisa and Kyminlinna in Kotka. This stretch is one offour remaining projects carried out to develop the E18 roadbetween Turku and Vaalimaa. And it is also among the worstproblem areas on the E18 road. Rebuilding the stretch into amotorway will improve traffic safety, facilitate trade betweenFinland and Russia, and boost the growth of logistics servicesand travel.The work was ordered by the Finnish Transport Agency thatinvests altogether nearly 650 million euros into the project.Beside the construction expenses, the sum covers project fund-ing and road maintenance until 2026.The existing dual carriageway will be developed into amotorway from Koskenkylä to Loviisa, on a distance of 17km. Furthermore, 36 km of new motorway will be built fromLoviisa to Kotka. Six new grade-separated interchanges willA modernmotorwayEarth moving equipment are already rumbling between Kotka andKoskenkylä, excavating the ground and grading it into a road base.But the sights have been set much further ahead. E18 isFinlands own “silk road” that may one day lead as far as Asia.be built on the motorway, at Loviisa East, Ruotsinpyhtää,Ahvenkoski, Pyhtää, Siltakylä and Heinlahti. Additionally, thegrade-separated interchanges at Loviisa West and Sutela will beimproved.The stretch will also have 56 bridge locations that will feature68 bridges in all. Of the bridges, 14 will run over water, 26 willprovide crossings and 5 will be “green bridges”, i.e. wildlifecrossings. Underpasses will also be built, 4 for wildlife and 7for pedestrians and bicyclists. There will be three rest areas onthe road stretch. Two of these will be a new pair of rest areas atPyhtää, and the third one is the Ahvenkoski rest area that willbe revamped. Altogether 19 km of new pedestrian and bicyclelanes will be built at and around population concentrations.New noise barriers will be erected over a total distance of 35 km,and new groundwater protection will cover a distance of 4 km.In addition to the Kotka-Koskenkylä motorway YIT isaccompany with Kesälahden Maansiirto Oy to carrying outbypass in Hamina.Respecting nature and habitationIn the area that will be affected by the E18 road, municipali-ties and companies have started a project entitled “The GreenMotorway” together with the government. The purpose of theproject is to examine opportunities for making the E18 motor-way an international pilot in the development and introductionof more sustainable road traffic and road technology.“The Green Motorway project is set out to make the newTEXT Tuija Vilhomaa PHOTOS the Finnish Transport AgencyLoviisaEastconnectionTheMarkinamäkitunneltheAhvenkoskibridgesLoviisaWestconnectionKoskenkylä22
  23. 23. E18 road a test bench and display window for ecological solu-tions and renewable energy forms such as biofuels and electriccars,” says Jere Keskinen, Planning Manager at TYL Pulteri.“We are involved in The Green Motorway thinking, andwant to achieve development particularly in energy efficiency.For example, we aim to reduce the consumption of electricityin road illumination with smart controls and LED lights. Weare also looking for opportunities to harness solar energy orgeothermal energy.”Thanks to the extensive noise barriers, the 55-decibel noiselimit, which is considered the limit for harmful exposure, willnot be exceeded in residential areas once the road is ready.From the environmental standpoint, the most essential areain the project is Ahvenkoski. Only there does the road run bythe seashore. The shores and waters of Ahvenkoski are in-cluded in the Natura 2000 preservation scheme.“The Ahvenkoski bridge, for example, provides simply mag-nificent views, and thanks to the fully transparent noise barri-ers, these can be enjoyed from the road as well. The impressivearch bridge of Ahvenkoski with its Langer girder structurealso has a connection to the historical constructions in thearea, reminding us of the regions historical bridges," Keskinensays.A rock tunnel to be built atMarkkinamäki in Ahvenkoski“Green Motorway” also means that green bridges, underpassesand animal crossings will be built to facilitate the safe move-ment of wildlife. In forest areas, green bridges will be builtacross the motorway, and landscaped to make them appearnatural. The bridges will be connected to the landscape onwidths of up to 60–70 metres, and they will narrow to about35 metres in the middle.In Finland, there are a couple of previous examples of roadstructures built for animals.“Up to the present time, actual green bridges have only beenbuilt at the other end of the E18 road, at Lohjanharju andNational road 7 is a busy road. During recent years,heavy vehicle traffic of goods transports betweenFinland and Russia has increased in particular.Between 1998 and 2008, car traffic increased by 24per cent, while heavy vehicle traffic grew by as muchas 50 per cent. Traffic jams, environmental problems,near-accident situations and actual accidents were alltoo frequent on this stretch of road. Once the currentproject has been completed, traffic safety and trafficflow will improve there.Traffic telematics – including weather-controlledvariable speed limits, warning signs, info boards andtraffic monitoring equipment such as cameras, trafficmeasurement points and road weather stations – willbe built from Porvoo to Kotkas Rantahaka over adistance of about 83 kilometres.“The implementation of telematics is challenging,particularly as the road segments are introducedgradually once they have been completed. Anotherchallenge arises out of the fact that the FinnishTransport Agency is simultaneously building anddeveloping its own data communication andtelematics projects with which the E18 telematicsmust connect seamlessly,” Jere Keskinen explains.Safer travelAhvenkoskiPyhtääSiltakyläHeinlahtiSutelaKymilinnaJumalniemiLeft: Thanks to thetransparent noise barriersalong the new motorway, themagnificent scenery can beadmired from the road.Illustration of the mouth ofthe motorway’s rock tunnel atMarkkinamäki in Ahvenkoski.23
  24. 24. In the life cycle model, the serviceprovider is responsible for projectplanning and designs, construction,finance and road maintenancethroughout the agreement term.The Finnish Transport Agency,which ordered the Koskenkylä-Kotka project, has signed a serviceagreement with Tieyhtiö Valtatie7 Ltd that in turn has made anagreement on the road design andconstruction work with TYL Pulteri(YIT and Destia). The construction,care and maintenance of themotorway will be carried out as acomplete service until 2026.Part of the motorway will be openfor traffic in 2013, and all of it in2014. The road arrangements willbe entirely completed by the end of2015.E18 Koskenkylä–Kotka motorwayaccording to the life cycle modelSammatti. Building the road in a rock tunnel also helps to keepnatural areas more intact and facilitates the safe movement ofwildlife. There are already plenty of green bridges elsewhere inEurope and in the USA, and they are considered a natural partof a contemporary motorway. The monitoring data suggeststhat animals learn well how to use the bridges and underpassesas intended,” says Seija Väre, M.A. at Sito Oy.Elk fences and exclusive wildlife crossings drastically reducethe number of road traffic accidents involving animals.“The green bridges and underpasses on the Kotka-Koskenkylä motorway will also be important in the sense thatthe road, once completed, will not isolate coastal fauna frominland wildlife," Väre points out.Future growth corridor fromOslo to St. PetersburgNational road 7 is part of Finlands international E18 roadconnection – the country’s most important road connection– and the Nordic Triangle traffic system prioritised as impor-tant by the European Union. The Nordic Triangle connectsthe Nordic capitals to one another, to the rest of Europe andto Russia. National road 7 is also part of the Trans-EuropeanNetworks (TEN). In its budget framework session in April, theFinnish government provided good continuation to the previ-ous decisions concerning the E18 motorway project by grant-ing 240 million euros for rebuilding the stretch from Haminato Vaalimaa.The E18 road connection is important for Finnish and inter-national business life, both in the concrete sense by providingport and airport connections but also by the message sent byits very development.“The road project will generate a new kind of interest inFinland among international logistics clusters,” says EeroHattari, Director at YIT’s International Construction Services.Landscape construction by means of artOf all routes of entry to Finland, the E18 road is the busiestone, and it gives many newcomers a first impression of thecountry. The road is intended to present the surrounding areasin a pleasant way, with respect to their defining features, his-tory, nature and business life. Landscaping is intended to blendthe road with the surrounding nature and scenery.The road environment design also involves an art concept,one that was created separately. Detailed finishing is most vis-ibly apparent in bridge columns, noise barriers and illumina-tion and landmarks along the road.“The bridge columns and noise barriers at the interchangesof Loviisa East, Ruotsinpyhtää and Siltakylä will be providedwith a patterned appearance. A noise barrier featuring an arttheme has also been designed for the main village of Pyhtää.Wood is used in noise barriers and bridges, for example.Additionally, we will use landscape lighting to highlight sitesthat are particularly spectacular, such as the surroundings ofthe tunnel opening at Markkinamäki,” Jere Keskinen says.24
  25. 25. Well oiledcollaborationYIT has taken care ofmaintenance at Mildola Oy’svegetable oil plant since 2002.TEXT Marikka Nevamäki PHOTOS ShutterstockMildola Oy, a company basedat Kantvik in Kirkkonummi,Finland, develops and produ-ces vegetable oils for the food,restaurant and catering in-dustries, as well as compressedanimal feed blocks for the animal feed industry.YIT and Mildola have collaborated closely in in-dustrial maintenance for over 10 years already.“Our job is to make sure that the technologyat the Kirkkonummi production plant workssmoothly,” says Antti Huttunen, head of unit atYIT Industrial Services.“Outsourcing service and maintenance this wayworks well for us, as the agreement guaranteesflexibility in resource management and makesthe entire range of YIT’s comprehensive services25
  26. 26. The Clean Air Solutions team specialises ineliminating volatile organic compounds, orVOCs, from industrial production. The teamhas developed equipment that purifies ex-tract air by thermal means. With the equip-ment, different gases emitted in printingprocesses and in the manufacture of paints and coatingscan be filtered so that they present no hazard to health orthe environment.“Our customers arecompanies thatmanufacture paints,coatings and covers in theplastics, chemical, pharmaceutical,printing and paint and coatings industries, forexample. In Germany, we also have a new and rathersubstantial customer group in biogas plants,” says ErnstLuthardt, Sales Manager.Clean Air Solutions was established in 1985 in Germany,when the country’s air protection legislation set limits forVOC emissions. YIT acquired the company in 2010. Theintroduction of air protection legislation around the worldensures a continuing market for the business.“We are headquartered in Germany, but we operateon a global scale. We have delivered some 250 extract airpurification systems around the world. Most of them arein Germany and other European Union countries, but theycan also be found in Russia, Asia and South America.”Steady marketClean Air Solutions has strong competencies in researchand development, and carries out its projects from startClean airfrom plantemissionsGas and odour emissions from theuse of solvents are a problem in manyindustrial processes as they pollute theair. But with YITs Clean Air Solutions,all such emissions can be removed.available for us. In addition to gettingthe basic work done, we can relyon YIT in vibration measurements,thermal imaging and compressed airsurveys with minimal effort on ourpart. We also performed an energyreview of the production plant togetherwith YIT,” says Toni Oravakangas,Maintenance Engineer for Mildola Oy.Smooth and seamlessYIT has 9–10 employees stationed atMildola’s plant. Their responsibility isto ensure flawless operation of the pro-duction equipment.“Our success is measured in manyways, including how the availabilitytargets for plant technology are met inpractice. The customer expects us tobe able to propose improvements anddevelopment where necessary to furtherincrease its business efficiency. This typeof active collaboration is importantfor us,” Huttunen explains. Mildola’sOravakangas is very pleased with howsmooth the collaboration has been.“For us, high quality is a key competi-tion factor. Interruptions would pose arisk both to quality and product safety.To be able to rely on highly competentpeople who are willing to discuss allmatters in a good team spiritbrings us peace of mind,”he concludes.Mildola OyMildola Oy is a production companyowned by Avena Nordic Grain Oy. Mildolaproduces annually about 40,000 tons ofvegetable oils for the food, restaurant andcatering industries as well as 80,000 tonsof high-protein animal feed blocks for theanimal feed industry. The production plantat Kirkkonummi, Finland has a staff ofabout 40 persons, some of which work forthe parent company Avena and others forYIT. Avena Nordic Grain Oy is part of theLännen Tehtaat group. Avena sells Mildolaproducts in Finland, other Scandinaviancountries and the Baltic countries.TEXT Merimari kimpanpää PHOTO YIT ARHIVE26
  27. 27. A sales trump in energy efficiencyClean Air Solutions started out by sellingthermal oxidisers. But today, there is not muchdemand for them. They have been subsumedby catalytic combustion plants and regenerativethermal oxidisers that are considerably moreenergy-efficient. Energy efficiency and utilisa-tion of process heat are sought after since thecost of equipment, including installation, rang-es between 200,000 euros and 1 million euros.“Companies may relate to extract airpurification as a mere expense item. It is astatutory procedure that does not add tothe production. Minimising the costs andrecovering at least a part of them serves thecompanies’ best interests. This is why the energyefficiency of the equipment is important, andthe equipment that we provide is truly energyefficient. Back in 1985, the energy efficiency wasextremely low, but today we can utilise a largeshare of the heat created in the purificationprocess,” Luthardt says.Clean Air Solutions• Established in the Federal Republic of Germanyin 1985• Part of the YIT Group since 2010;headquartered in Aachen, Germany• Manufactures systems for different industries forthe removal of harmful gases• Has a staff of 22 highly educated employees• The 2010 net sales amounted to almost9 million eurosA system built insummer 2011 foran automotiveindustry companyin Germany. Acombination oftechnologiesfeaturing aconcentratoror a catalyticcombustion plant. Correspondingsystems are usedby other customersin China and Brazil.to finish. In 2010, its net sales amounted to almost 9million euros.“Our growth opportunities within the EuropeanUnion are limited. To a large extent, the relatedlegislation is already in effect. In Asia and SouthAmerica, the markets are growing. Countries in theseareas have adopted legislation either according to theEuropean model featuring absolute thresholds or theU.S. model where the regulations are based on target-ing a relative decline in emission volumes. We need tohave a presence there,” Luthardt says.Clean Air Solutions must also pay attention to thechanging market.“In the 1980s and 1990s, our main customer wasthe printing industry. Now our sales to printing hous-es have diminished virtually to naught, because print-ing production lines feature integrated equipment forthe purification of extract air. Our main markets arewhere equipment replacements are needed.”Seeking synergiesClean Air Solutions currently has a staff of 22 per-sons, who are sent on assignments to customer sites incountries where the company does business.“Every system is different. The equipment is bulkyin size and weighs in at 10–100 tonnes. There are in-stances where you simply cannot transport it; instead,you have to build it in situ. To have reliable local part-ners is, therefore, crucial for us,” Luthardt explains.Clean Air Solutions has not yet collaborated exten-sively with YIT companies in different countries.“We set out to examine YITs customer pool toidentify prospective cases for us, and currently oursearch is focused on the Scandinavian countries,”Luthardt says.27
  28. 28. 28
  29. 29. Dockside in London, Tribeca in New York and Konepaja inHelsinki. All these areas represent new and modern city centreliving, where an old industrial area is converted for the useof the expanding city and its people.Bold architecture derives from industrial history and combinesthe old with the new. A new city district emerges, one witha focus on the standard and comfort of living.Konepaja in Helsinkipulsates with lifeTEXT Sari Malka PHOTOS YIT Archive29
  30. 30. 1Ahundred years ago, at the time of Finlandsindustrialisation, this was a place where theybuilt steam locomotives. The engineeringworkshop, entitled “Konepaja” in Finnish, wasa lively community in its own right, providingaccommodation and the means of living forup to 2,000 people. Lately, Konepaja has experienced a revival.It is one of the most important residential schemes of the Cityof Helsinki, in collaboration with VR (the Finnish national railcompany) and YIT. The area will be home – a YIT Home – to2,500 people, and almost as many jobs will be based there.“The Konepaja area is something unique; seldom does theopportunity arise to draw up plans for multiple square blocksof residential housing in the inner city of Helsinki. It is anideal location, with all the services ready, and with a back-ground suggestive of industrial history commemorated by theold buildings. Construction of the area takes place at a timewhen Helsinki is facing a dearth of building plots and the cityis falling short of its residential programme targets. In view ofthis, there will undoubtedly be a high demand for apartmentsin the area,” says Harri Isoviita, head of YITs Residential con-struction business.The new embracing the oldalong Aleksis KivenkatuConstruction of Konepaja started in summer 2006 in theSahamäki area, at the western end of Aleksis Kivenkatu. Thiswas based on an invitational competition arranged by the Cityof Helsinki, YIT and VR. The competition was won by thearchitects firm Arkkitehtitoimisto Nurmela, Raimoranta, TasaOy with their proposal dubbed “Expres”.The design work was done by a team led by Professor JyrkiTasa, and the result is a pleasant, colourful and community-oriented whole, comprising blocks of buildings interspersednicely by rowhouses that add a touch of life to the scene. Theglassed balconies of the houses bring a lively feel to the court-yards that are protected from traffic noise.Architectural solutions pay homage to the milieu’s tradi-tion by applying red brick as the primary material on buildingfacades. The roof storeys, building ends and the ground floorsfeature colourful metallic surfaces that add variation to the fa-cades. Passing through the square block is the “art axis”, wheremetal surfaces with different colours rotate, and the colouredsurfaces are illuminated during the dark hours. The history ofthe area resonates in the steel gates, fences and lighting fixtures,among other things.Diversified living across generationsThe first houses of Konepaja already have residents. Many ofthese people moved there from nearby areas, and understand-ably so; the new, high-quality apartments are truly appealing.Another familiar sight are families with children, for whomthere is good day-care and schools in the area. In a number ofhouses, the residents represent several generations.Timo Paju moved to Konepaja three years ago from NorthHelsinki, where he lived for over 30 years in a detached houseand a row of houses. He says that when he bought the newapartment he actually got more than just a place to live; he isvery happy with Konepaja and the services at hand.“We moved to the inner city once ourkids had flown the coop. And we haveliked it here. My mother also lives here,in one of the new buildings. We feel likewe are in the city centre, because the tramtakes us right to the Stockmann depart-ment store, and the Opera House, theNational Theatre, the Hartwall Arena andthe Olympic Stadium are all within walk-ing distance. And the opportunities foroutdoor exercise are simply excellent here.A walk around Töölönlahti Bay is just theright length for an evening stroll.”Timo Paju is Chairman of the housingcooperatives board and pays closeattention to the development of the area.“Obviously we are looking forward tothe completion of the entire area and theend of construction work here. It is alsointeresting to see what will be done withthe old warehouses. In our opinion, theycould serve in a similar capacity as now,1 An “art axis” runsthrough the block,where metal sur-faces with differentcolours rotate. Thecoloured surfacesare illuminatedduring the darkhours.2 The old buildingsprovide a point ofcomparison forthe architecture ofthe new residentialbuildings. Thearea will be givena new look, thatof a modern citydistrict.3 Timo Paju haslived in the Ko-nepaja area forthree years. Heconsiders the areato be right in thecentre of Helsinki,because you cancatch a tram thereto the Stockmanndepartment store.4 YIT Homes for2,500 residents.30
  31. 31. Konepaja’s industrialhistory dates back 100 yearsThe Finnish National Railways engineering workshopat Pasila was inaugurated in 1903, in the middle ofFinnish industrialisation.A total of 50,000 freight cars, 2,000 wood-framedpassenger cars and over 700 steel-framed passengercars were manufactured there, along with componentsfor complete railway bridges. Konepaja was like “a citywithin the city”. It had its own shop, doctor, health con-tribution fund, welfare fund, power station and trainingschool as well as hobby circuits in sports and culturalactivities. The number of people working in the areawas near 2,000 at most, and Konepaja was one of thelargest industrial employers in Helsinki.The National Board of Antiquities has rated the con-centration of buildings at Konepaja as one of Helsinki’smost important cultural environments.3 4231
  32. 32. as bases for small businesses. For example, the circus schoolthat operates on the premises has performed at our courtyardparty.”A “dragon house” erected on TeollisuuskatuConstruction of the block of housing on Teollisuuskatucommenced in November. The block, known as “the dragonhouse”, comprises 12 housing companies and about 300 apart-ments – YIT Homes – of different sizes. This block of housingwas designed by Hannu Huttunen and Markku Erholtz ofARK-house arkkitehdit Oy.The colourful line of buildings be-longing to “the dragon house” is madeup of an uninterrupted brick base thatis six storeys high with towering cubestopping the base, and protruding overthe eaves of the base on the side ofTeollisuuskatu. The “star houses”bordering on the park differ from thebuildings on the street both in termsof dimensions and essence.The residential buildings togetherconstitute a large square block sur-rounding a large communal yard thatis both noise-and car-free. The communal yard is located abovethe level of the park that is in the centre of Konepaja, and thebase wall on the communal yard creates a separate territoryfor the yards of each building. The parking spaces are situatedbeneath the communal yard.The first site under construction, Asunto Oy Wilhelm, willbe completed in the summer of next year. Located on the cor-ner of Traverssikuja and Teollisuuskatu, it will form the firstpart in the grand scheme of “the dragon house”. It will emergeeleven storeys high and comprise spacious city homes, eachfeaturing a balcony as wide as the apartment plus a sauna.Think about the balconies and how nice it will be to cool offthere after sauna, enjoying the bright lights of the city.More housing plans to be drawnThe plan for the third stage of residential construction at theeastern end of Aleksis Kivenkatu, is under preparation andshould be ready this year. The residential buildings in this areawill complement the range of residential buildings that arecurrently designed or under construction, and they have beendesigned by Anttinen Oiva Arkkitehdit Oy.Design work is underway for an oasis-type city park to besituated at the heart of Konepaja. The park’s ambience willbe enhanced by the line of brick struc-tures at the end of the engine hall. Thepark will be pierced by a pedestrian/bicycle lane, Konepajanraitti, and theVenttiilikuja street, which will connectTeollisuuskatu and Aleksis Kivenkatuwith one another.The old buildings of Konepaja cur-rently house a variety of businesses, andare also used for leisure activities. A newplan for this area has not been approvedyet; the future use of the area is currentlyin the planning stage, and the same goesfor the business complex on Sturenkatu.Konepaja is part of Greater PasilaIn the future, the Konepaja area will be firmly connected toPasila, which also is a central component in the evolving met-ropolitan area of the Helsinki region. It is planned to becomethe second centre of Helsinki. It is already home to a concen-tration of Finnish digital media, an expanding congress andfair centre and Finlands largest sports and events area.Central Pasila, to be built in the place of the rail yard thatwill be taken down, is planned to become the new vibrant cen-tre of Pasila. The new area that links the eastern and westernsides of Pasila will feature residential housing, office and busi-ness premises and a wide range of services.“It is an ideal location,with all the servicesat hand, and with abackground suggestiveof industrial historycommemoratedby the old buildings.”The new Konepaja islocated at Vallila, amere three kilometresfrom downtownHelsinki, betweenAlppiharju and theVallila industrial zone.Tram line no. 9 runsbetween downtownHelsinki and Konepaja,the bus connectionsare very good and thePasila railway stationis well within walkingdistance.32
  33. 33. Industrial Park112 haMurmanskSt. PetersburgGorelovoGorelovoMoscowKievTallinnPulkovoairportRing roadRing roadHelsinkiPort ofSt. PetersburgPort ofBronkaPort ofUst-LugaSt. PetersburgGorelovo is offTO a flying startin RussiaTEXT Pirjo Kupila PHOTOS YIT ARCHIVEYIT’s industrial park at Gorelovo,St. Petersburg facilitates a smoothentry into the Russian marketsfor Finnish industrial SMEs.33
  34. 34. Finnvera, a specialised financing company owned by theState of Finland, markets Gorelovo to Finnish businesses to-gether with Finpro, an organisation promoting the growth andsuccess of Finnish companies in international markets. FinnishSMEs setting up shop in the industrial park can also acquirefinancing from Finnvera for equipment purchases and to shoreup their working capital.Pietiläinen considers leased premises a viable alternative forSMEs, even larger ones, looking to expand into Russia.“The number of Finnish SMEs that are able to acquire pro-duction premises and recognise the expense directly on theirbalance sheet is diminutive,” he points out.According to Pietiläinen, a Finnish company must have an-nual net sales of at least 10 million euros and a very profitabledomestic operation so as to have the opportunity to set up amodern production system in Russia. But companies can se-cure the necessary volume by networking with other companiesin the field.“The clusters planned for Gorelovo will provide SMEs withmany synergy benefits that will balance out the higher expensesof premises in the industrial park. In a market this big, no-oneneeds to be afraid of treading on someone elses toes, becausethere will be enough customers for everyone,” he says.Production premises that are worth their priceMaria Kravtsova, Sales Director at YIT Lentek in St.Petersburg explains how foreign companies often find it diffi-cult to comprehend that the idea of coming to St. Petersburg inthe hope of setting up cheap production is not valid. Her jobis to sell premises at the Gorelovo industrial park to corporatecustomers.“According to calculations prepared last year by the as-sociation of automotive spare parts manufacturers in the St.Petersburg region, an investment project in the St. Petersburgeconomic area requires 30–50 per cent more capital than aproject of the same size elsewhere in Europe,” Kravtsova says.But the association’s calculations also showed that the marketvolume and growth rate make the investment worthwhile.When Atria went to Gorelovo in 2006, it was the first largeindustrial manufacturer in the area.One year earlier, the company had acquired the entire stockof Pit-Product, a St. Petersburg-based meat processing com-pany. At that time, the Russian company had two productionsites, one of which was located in a multi-storey building onthe banks of the Neva river. It was clear that a new solutionwas needed, one that would better support Atrias growth tar-gets in Russia.Four out of five Finnish companies establishing apresence in Russia start out in St. Petersburg, andwith SMEs, the proportional share is even larger.In Russia, purchase and leasing of building plots,zoning, securing of permits and connections andconstruction work are subject to many risks.The industrial park developed by YIT in Gorelovo,St. Petersburg differs from many of its local competitors,because it provides production companies with an environ-ment that is ready for use and operated on the basis of Westerncontract principles.“At Gorelovo, we have resolved the two main risks related toinvestments in Russia, plot ownership and public infrastruc-ture,” says Eero Hattari, Director at YIT.Companies have the opportunity to buy directly from YIT aplot that has already been zoned and provided with all the nec-essary connections, or leasing premises that YIT has built andwill secure an investor for.The investor can be a private entity or a consortium of realestate companies. For investors, YIT offers a ready fund solu-tion that has been tried and tested in Russia. Investors will beguaranteed a steady return through the long-term leases withreliable tenants. Additionally, the favourable location of thearea will facilitate an increase in the value of the properties’value.Joining forces creates more volumeThe Gorelovo industrial park is situated by the south-westernborder of St. Petersburg in the vicinity of the new ring roadand the Pulkovo Airport. The area is part of the LeningradOblast that surrounds St. Petersburg.Thanks to the ring road, the entire economic area of St.Petersburg and the main roads leading to the different cornersof Russia are easy to reach from Gorelovo. The area is alsowell served by rail connections. Waterways – the port of St.Petersburg – are 15 kilometres away from the industrial park.A number of foreign companies are already operating inthe industrial park, the largest being Pit-Product, the sausagefactory owned by the Finnish food processing company Atria,and Gorigo, the logistics centre owned by a Finland-based realestate capital fund.About 300,000 square metres of unused building rights arestill available in the industrial park, and YIT is planning toestablish clusters of industries there, among them the buildingproduct industry and the engineering industry. Negotiationsare well underway with companies that will be the central en-gines of these clusters.“Why should every Finnish SME learn the making of green-field investments in Russia the hard way, when even biggerWestern companies fail to master this,” says Timo Pietiläinen,head of Finnvera’s representative office in St. Petersburg.34
  35. 35. Atria had a lot of requirements related to infrastructure andlogistics which weighed in on the decision about location. Forexample, the new processing plant would require over 2,000cubic metres of water per day, whereas even a larger logisticscentre basically needs no more water than what is consumed inthe staff facilities.Atria arranged a bidding competition that was won by YIT.YIT then built Atrias new production premises in Gorelovo asa turnkey delivery. Atria was able to focus on its own compe-tencies in production and logistics.“In proportion to our Russian net sales, which at the timewere less than 100 million euros, the 70-million euro plantinvestment was extremely substantial,” says Juha Ruohola,Executive Vice President of the Atria Group.He says that the expectations placed on Gorelovo were suc-cessfully met, once YIT was able to find a solution to the prob-lems of water and waste water in the area.The Gorelovo plant, completed in spring 2010, has graduallybecome Atrias main site in Russia, and the company has con-centrated its production there also from its plants in Moscowand Sinyavino, St. Petersburg.Better space efficiencyAt Gorelovo, no company needs to purchase or lease a colos-sal hall by itself; the minimum agreement size is 1,000 squaremetres. However, YIT has set a target for the minimum size ofindividual buildings at 10,000 to 15,000 square meters.“As zoned land is fairly pricey, it makes sense to share theuse of the areas related to security, access and warehousingefficiently,” Hattari explains.In St. Petersburg, the prices for leasing industrial premisesfrom the Soviet era range between 2 and 10 euros per squaremeter, depending on the location and condition, whereas atJyri Häkämies, the Finnish Minister for EconomicAffairs, states that technological development andthe transformation of production methods havehelped to maintain the construction industry as oneof the spearheads of Finnish competence also on aninternational scale.“The construction industrys role as an export indus-try has continuously strengthened. This is a matter ofimportance to Finland and the Finnish people. We needindustries whose exports are expected to grow andwhich have a strong ability to compete on the interna-tional markets.Minister Häkämies continues that the most importantexport markets for Finnish building products arethe Nordic countries and Russia, with many CentralEuropean countries are not far behind. The Russianmarkets are growing at a brisk rate. St. Petersburgrepresents vast potential forFinnish construction companiesand consortiums.“In the Russian projects,industrial parks are importantbecause the idea behind them isto build production premises forcompanies on a turnkey principleand lease the premises to thecompanies, after which the sitesare transferred to the end-in-vestors. One of the prime examples is the business parklocated at Gorelovo in St. Petersburg, developed andimplemented by YIT. The area has an excellent location interms of logistics, and the infrastructure required for theoperations is already in place.”Häkämies underlines that industrial parks like Gorelovoare an excellent solution for SMEs that want to establisha presence in the Russian markets, safely and at reason-able expense.“The industrial park concept can well be considered anexport product of almost strategic importance, not just inthe direction of Russia but also elsewhere, and especiallyin emerging markets. In this, I would like to specificallyrefer to China and India as well as the large emergingcountries of South America, with Brazil at the helm.”Minister Häkämies wishes century-old YIT the best ofsuccess in the future.Gorelovo, the capital lease is 12–14 euros per square metre.“We must bear in mind that at Gorelovo, the premises arenew and they are tailored down to the last square meter tomeet the companys operating needs, and there is no fearof arbitrary lease hikes in the traditional Russian style,”Hattari says.According to him, the production premises will be ready forbusiness within 12–18 months of the signing of the prelimi-nary agreement.• Over 100 hectares of zoned industrial area,of which about half is still available.• Completely ready infrastructure in place as well asa sufficient provision of energy, power, water and ITresources for industrial production use.• An excellent location in the heart of theSt. Petersburg economic area, right beside theSt. Petersburg ring road.• The fact that the area is basically ready forconstruction means that production premises canbe built there on a quick timetable.• Provides companies with a risk-free operatingenvironment at a competitive price.• Customers can lease premises or develop them tobe recognised in their balance sheet. The lessorsadhere to Western contract practices.• For investors, the area offers a fund solution thathas been tried, tested and is ready, as well assteady returns.Gorelovo GreenstateA substantial export productPhoto:PrimeMinistersOffice35
  36. 36. “Pärnu is a great townwith all the parks andbeaches. Pärnu is locatedright at the gates of Europe,which makes it a nice andcomfortable departure pointfor travelling to CentralEurope, for example.”According to LeeviSallinen, the one room thatthey now have is perfectlysufficient for their currentneeds.“After all, this is our first residence in Estonia. It may well bethat one day well swap to something bigger."A good investmentJari Laaksonen, a private investor from Jämsänkoski, Finlandhas also bought a residence in Pärnu. Currently the two-roomapartment is at his own disposal, but he considers the purchasea sound deal also in investment terms.“Some people say that I’d get a better rental income inHelsinki, but with the money Id have to spend to get one apart-ment there I can get more than one in Pärnu.”Before sealing the deal, Laaksonen examined the residentialLeevi Sallinen, who makes him home in the Finnishcoastal town of Kotka, can think of no argumentagainst the decision to buy an apartment inPärnu, Estonia.“The price to quality ratio was solid, and theflat is new and superbly located.”The one-room flat bought by the Sallinen couple, a com-pact abode with an area of 29 square metres, is one of 38units in a small apartment building right near the sea sometwo and a half kilometres from the town centre of Pärnu. Allthe required services are available within walking distance.“YIT has become known as a reliable construction com-pany, and thats why we wanted to buy something they hadbuilt,” Sallinen touts.The Sallinen couple made the purchase in autumn 2011.For them, the entire purchase process felt safe and pleasant.“Things worked out flawlessly, both in terms of the agree-ment-making and the services related to the purchase. Theprocess was simply effortless in every respect.”Getting their own place at Pärnu was something theSallinen couple had been planning for a long time. On theirfrequent travels to Estonia, they kept a close eye on the localhousing market. Eventually they bought an apartment oftheir own; a decision that has proven even better than theyhad anticipated.A secondhome atthe gates ofEuropeRiitta and Leevi Sallinenfrom Kotka bought a one-roomapartment in Pärnu, Estonia.TEXT ville vanhala PHOTOS Toomas kokovkin, TOMI AHOPÄRNUTALLINNJariLaaksonen36
  37. 37. market in the region, and decided on ahouse built by YIT.“I knew the company to be depend-able. I already hold shares in YIT; whyshouldn’t I have trusted them this time?”Making the deal was effortless, andLaaksonen also commends the ease andflexibility with which the construction company respondedto his wish to have a sauna built in the apartment.“The addition of a sauna was a breeze. I also felt I didwell to enhance the apartment rather inexpensively withthe sauna, which was fitted truly well,” he says. At thesame time, he gives credit to the professional finish by thebuilders.The apartment turned out so well that Jari Laaksonen hasprimarily used it himself.“Pärnu is a fine location. Being based in central Finland,I can now stretch my summer out nicely. Summer reachesPärnu one month earlier than it does Finland and lingerson for a month longer. I enjoy myself in that quaint littlemaritime town.”A keen observer of the development of housing prices,Laaksonen has had no reasonto be disappointed.“The prices seem to be developing favourably from mypoint of view.”YIT buildsYIT Homes in seven countries:Finland, Russia, Estonia, Latvia, Lithuania, The CzechRepublic and Slovakia. In Finland, YIT also offersChalets and Villas leisure-time apartments. Thecompany’s international provision draws interest fromcustomers in different countries trying to find a holidayhome or looking to invest in real estate. Finns, forexample, are interested in housing in Estonia, whereasRussians are buying residences in Finland as well asRiga, the Latvian capital.More information: YIT Homes in Estonia: www.yitkodu.ee,YIT Homes and leisure-time residences in Finland:www.yitkoti.fi (in Finnish); www.yitdom.ru (in Russian)The Lappeenranta-Imatra region in south-eastern Finland isa busy travel destination, and a highly popular, particularlyamong people from St. Petersburg, Russia.“We are the strongest building developer in thearea, and have magnificent shoreline plots availablefor construction far into the future. Real estate salesin the area are booming. I find that the proximity ofthe national border adds similar features to the livesof people on both sides of the border, here in EasternFinland and near the metropolis of St. Petersburg," saysPentti Karhu, Regional Director for YIT Saimaa who isresponsible for the sale of YIT’s leisure-time residences.About 90 leisure-time residences will be erected nearthe Imatra spa, and in addition 90 residences for year-round and leisure-time living are planned to be builtin the Saimaa Gardens leisure-time resort located inRauha, Lappeenranta. In Mikkeli, Savonlinna and Lap-peenranta there are five residential construction sites tofeature altogether 120 residences between them.“Special attention has been paid to developing theservice provided to Russian customers, including servingthem in their own language. From the customer’sstandpoint, buying a holiday home abroad involves asubstantial investment in a foreign country, and thereforeit is important to go over all legal provisions related toFinnish real estate transactions and any other detailscarefully with the customer. Our own sales expert in St.Petersburg has a key role in this. Customers save timeby buying a residence from YIT: they are provided withexpert service, and they get the residence on a turnkeybasis. Russian customers appreciate the harmoniousfinishing packages offered by YIT, as well as the stylishdesign solutions which add to the comfort.Leisure-timeresidences gainpopularity amongSt. PetersburgersRiitta and LeeviSallinen enjoy theirnew apartment inPärnu, Estonia.37
  38. 38. NEWSAttractive Riverstone in RigaRecently the real estate devel-opment company YIT Celt-nieciba SIA commissioneda project called Riverstone,comprising two residential buildingslocated in the Kipsala district of centralRiga. Riverstone is one of the mostsuccessful YIT Celtnieciba’s projects,with all of the apartments being sold.The new Riverstone residentialproject consists of two four-storeyresidential buildings with one-, two-,and three-room apartments ranging insize from 35 to 70 sq.m. One buildinghas 50 units and 26 undergroundparking spaces and the other has24 apartments with 13 undergroundparking spaces. The apartments arenow ready for occupancy. They weredesigned using a rational planningconcept and each apartment has anindividual meter of heat consumption.“We are one of the few real estatedevelopers who foresaw a marketfor the new project and movedforward with construction of severalresidential projects. The brisk sales ofRiverstone and the rising interest inother YIT projects in Riga confirm thatcommissioning the project was theright direction for us to go in. Currentand potential buyers include bothlocal residents and foreign buyers,and there is rising interest in housingby investors who see it as a goodplace to put their money,” says AndrisBoze, Chairman of the board of YITCeltnieciba SIA.Kipsala is ideal for people whowant a central Riga location but justoff the hustle and bustle of the city.With its advanced infrastructureand convenient location, Kipsalahas had a significant impact on thedevelopment of the city environment.Riverstone covers 3 500 squaremeters, including garden andplaygrounds. With a starting priceof 1,000 VVLs per square metre,the apartments are in the mid-pricerange for Riga. As with other projectsdeveloped by YIT Celtnieciba SIA,the construction of Riverstone drewon the extensive Scandinavianexperience in construction norms,housing functionality, and energyefficiency standards.When public and privatebuildings of larger sizeare faced with theneed of large-scaleenergy renovation, they may find theESCO service agreement concept anattractive choice because the costsof property renovation can be cov-ered with guaranteed energy savingsachieved through ESCO co-opera-tion. With ESCO, the customer gets acomplete package featuring consul-tation services, contracting of workand continuous monitoring of energysavings.In November 2009, the Danish mu-nicipality of Halsnæs and YIT enteredinto an energy investment agreementthat will create energy savings inroughly 120 properties owned by thecouncil. The agreement value is EUR12.2 million.Stage 1 featured an analysis of thebuildings energy consumption plusproposals for energy savings pro-jects in Stage 2. Stage 2 comprisedthe contracting and installation workleading up to the actual use. Stage3 means actual use, including a ten-year warranty period, until 2021.The total surface area of the projectis 175,884 m², and the total invest-ment amounts to DKK 90.3 million.Annual cost savings are estimated atDKK 6.1 million, representing 30.7%of total costs, and the costs of elec-tricity consumption are expected todecrease by 28.5%. The depre-ciation period for the agree-ment is 15 years.ESCObrings energysavings inDenmark38
  39. 39. The Tallinn TV Tower is a well-known Estonian landmark.Originally built for the 1980summer Olympics it is hometo TV and radio broadcasting and is abig draw for visitors. At 191 metres itis Tallinn’s tallest construction.In 2007 the tower was closed forrenovation after failing to meet firestandards. The contract went to ASYIT Ehitus and AS YIT Emico afterthe initial constructor pulled out. YITEhitus project manager Tiit Jorssays the project was an interestingchallenge.Work began with the non-structuralelements of the building and repla-cement of ceilings on three floors.Construction debris was removed byhand using barrows and small lifts.Driving gears and cables in the liftswere replaced increasing the speedup to 3.5 m/s, non-functioning anten-nas were removed, and a new facademaintenance system was installed.The tower got a facelift with a newroofed entrance, refurbished interiors,and will boast the highest terracerestaurant in the Nordic countries.YIT has completed the work and nowthis venerable tower on the Tallinnskyline is open for visitors.Tarjanne is the new projectof a Slovakian developmentcompany YIT Reding. Itsarchitectural approach isbased on functionality and high livingstandards. The project combinesan excellent location and creativeapproach with quality materials andfunctional solutions.“No compromises need to be madebetween lush, green surroundings ina peaceful setting and great comfortof living,” says Jana Velická, SalesDirector for YIT Reding. “The newelegant houses of the Tarjanne projectstand out from many other new build-ings in Bratislava in the sense thatthey have a carefully selected locationon the outskirts of Dubravka, a niceand cosy district. The site surroundedby green areas, which give to inhabit-ants more privacy.”Tarjanne will emerge in thepicturesque district of Dubravka, inthe immediate vicinity of the SmallCarpathian mountains, adjacent tothe surrounding woods of DevinskaKobyla.Practical placement and privacy.At Tarjanne, each floor has only a fewapartments. This ensures a good degreeof privacy. The apartments have parkingspaces allocated to them, both next tothe houses and indoor car parks. Theapartments have either 2, 3 or 4 roomsand come with a balcony or a terrace.“Besides selecting high-quality materi-als, we have also striven to make theapartments smart and well appointed,"Velicka says.Their layouts follow the highly functio-nal Finnish style.Save energy, save money. Tarjannemeets the requirements for low-energyresidential housing. An example of theadvantages is the energy consumptionin heating, 33 per cent less than thenorm. "Project designs incorporaterenewable energy technology, suchas solar panels for heating the water.This cuts down the costs of heatinghousehold water by up to 40 per cent,”adds engineer Milan Kolesár, theproduct manager in the project.Tarjanne Dúbravka –confortable living in a Finnish styleTallin TV towergets a make over39