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Tampere Region

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Tampere Region Summary Starting points Travel and Service Centre The master planning for the Travel and Service Centre and the making of the local detailed plan no. 8640 have been started in 2016. In addition, project planning for an underground parking facility and the preparations for the related local detailed plan no. 8670 began in 2017. 3 The report on the comparison options at the master planning phase proposed an option to function as a basis for further planning. On 6 April 2017, the project steering group approved the option. The option and its scope data are the starting point for the estimates regarding the economic impacts. The planning and immediate impact area for local detailed plan no. 8640 Starting point for the estimates Premises (phase 1 + phase 2) •Offices: 56,500 gross floor m2 (30,255 + 26,245) •Retail: 27,308 gross floor m2 (15,000 + 12,308) •Housing: 115,073 gross floor m2 (67,278 + 47,795) •Total: 198,881 gross floor m2 6 April 2017 Study design Scenarios for the estimates — The basic scenario until 2040: moderate growth until 2030 and from there onwards, accelerating growth — The international airport scenario, the passenger terminal at the Travel and Service Centre Levels in the study of the traffic system — Tampere Central Region — National level — International level Levels in the study of the ecosystem . Inc. — Network level Images : — Organisation level Source Method Assessment of the ecosystem effects as a method The conventional unit of measurement in urban development is the gross floor square metre. The value of a gross floor square metre often becomes simplified into the price of land, construction costs and the profits expected from a property investment. The final value of a gross floor square metre is created by the activities of the residents and the enterprises using the premises: i.e., by the ecosystem effects. The ecosystem effects deal with the income effect caused by a change that will take place in the mobility of people. Method In the ecosystem theory, value is created at the network level and appropriated at the organisation level Network level Organisation level Features of an ecosystem Value creation Value appropriation Means for value appropriation Results Foreign tourism income in the Tampere Region Current state — 210,000 overnight stays by foreign travellers (Visit Finland’s statistics) — Income flow 31 million euros Basic scenario 2040 — Assumption: Annual growth of 4% in tourism (Visit Finland) Source: Matkailu ja työllisyys Tampereen seutukunnassa vuonna 2012 — 525,000 overnight stays by foreign travellers — Income flow 79 million euros Overnight stays by foreign travelers in the Tampere Region in 2040 International airport scenario 2040 1 400 000 1 200 000 8 — Assumption: The annual number of passengers travelling 1 000 000 via Tampere-Pirkkala Airport will be 4 million higher than in 800 000 the basic scenario 2040 600 000 — 25% of the air passengers will be foreigners 400 000 200 000 — 44% of the foreign visitors will stay overnight in the 0 Tampere Region and the rest in other Finnish regions CurrentNykytilastate 2040 perusbasic 20402040 airportlento — 1,330,000 overnight stays by foreign travellers Income flow from the overnight stays by — Income flow 199 million euros foreign travelers (€ million per year) 250 200 150 100 50 0 CurrentCurrentNykytilastatestate 20402040 basic basicperus 204020402040 airport airportlento Results Domestic tourism income in the Tampere Region Current state — 1.24 million overnight stays by domestic travellers (Visit Finland’s statistics) — Assumption: 150 euros / person / day Source: Matkailu ja työllisyys Tampereen seutukunnassa vuonna 2012 — Income flow 186 million euros Overnight stays by domestic travelers in the Basic scenario 2040 Tampere Region (million travelers per year) — Assumption: An annual growth of 4% in tourism (Visit 3,50 Finland) 3,00 9 2,50 — 3.1 million overnight stays by domestic travellers 2,00 — Income flow 466 million euros 1,50 1,00 International airport scenario 2040 0,50 0,00 — Assumption: The growth in domestic travel will comply with CurrentNykytilastate 20402040 basicperus 20402040 airportlento the basic scenario 2040 Income flow from the overnight stays by domestic travelers (€ million per year) 500 400 300 200 100 0 CurrentNykytilastate 20402040 perus basic 2040 airportlento Results Income gained from daily shopping Current state — During the peak hour, 1,880 long-distance train passengers (10% of the number of daily passengers) — They spend 16 euros on daily shopping on their trip — 200 long-distance bus passengers — They spend 12 euros on daily shopping on their trip — The annual income flow: 16 million euros Basic scenario 2040 10 — During the peak hour, 2,000 long-distance train passengers — During the peak hour, 1,580 commuter train passengers Tampere Travel and Service Centre – Spending by visitors €/day — 200 long-distance bus passengers €/day — Income flow in 2040: 26 million euros Regional travellers 11,86 daily consumer goods 5,05 International airport scenario 2040 specialty shops 3,86 restaurants/cafés 2,95 — For the part of daily shopping, the increase in Train travellers 16,08 the income flow will comply with the basic daily consumer goods 3,37 scenario 2040 specialty shops 3,86 restaurants/cafés 8,85 The spending by the visitors has been calculated as shopping during one day. i.e., their consumption at the Travel and Service Centre during their trips. Average value of daily consumer goods 21,90 Source: Santasalo, PTY The ecosystem perspective describes the long-term economic impacts of urban development The ecosystem effects of the Travel and Service Centre project can be estimated in two ways: Housing Housing Retail Retail Offices Offices Value creation in the ecosystem Value appropriation in the ecosystem describes the potential of the economic describes the result of the economic activities activities Value creation: companies’ turnovers and residents’ income • Value creation in the ecosystem consists, for the part of offices and retail premises, of the combined turnover of the enterprises and shops that occupy the premises and, for the part of housing, of the combined income of the residents • Based on a cash flow statement • The turnovers and the income have been discounted to the current value and summed for the cash flow statement period of the property Housing • Offices: 5,100 million euros Retail Offices • Retail: 1,100 million euros • Housing: 2,300 million euros • As for the offices, for example, 200 times higher than the value of the land and 31 times higher than the value of the property investment Desribes the potential of the economic activities enabled by property type Value appropriation: the operating profit and the savings • Value appropriation in the ecosystem consists, for the part of offices and retail premises, of the combined turnover of the enterprises and shops that occupy the premises and, for the part of housing, of the combined income of the residents • Based on a cash flow statement • The turnovers and the income have been discounted to the current value and summed for the cash flow Housing statement period of the property Retail Offices • Offices: 700 million euros • Retail: 50 million euros • Housing: 300 million euros • As for the offices, for example, 28 times higher than the value of the land and 4.4 times higher than the value of the property investment Describes the result of the economic activities enabled by property type Comparison of the ecosystem effects in the two scenarios Housing Housing Retail Retail Offices Offices Basic scenario Value creation Value appropriation Airport scenario 8000 1000 6000 800 600 4000 M€ M€ HousingAsuminen 400 AsuminenHousing Liiketilat 2000 RetailLiiketilat 200 Retail Toimistot OfficesToimistot 0 Offices 0 Results Ecosystem effects in the airport scenario Offices The changes in the ecosystem effects for the part of retail premises, taking into account the increased traffic flows and demand due to the •Value creation + 29% Tampere international airport •Value appropriation + 34% •Value creation will increase by 18% (a total of 1,303 million euros) Retail • The share of services out of the retail premises will increase to 45% and the average rent level will increase by 20% •Value creation + 18% •Value appropriation + 488% •Value appropriation will increase by 488% (a total of 294 million euros) • The growing traffic flows will considerably increase the profit Housing margins of the service entrepreneurs operating at the retail •Value creation + 9% premises •Value appropriation + 33% The changes in the ecosystem effects for the part of offices when more international companies are located in the area (the rent and The changes in the ecosystem effects when the residents’ average yield levels in Ruoholahti, Helsinki, Catella 2017) income is 33% higher (Statistics Finland) •A 29% increase in value creation (a total of 6,603 million euros) •Value creation will increase by 9% (a total of 2,507 million euros) • The yield will decrease by 1.25 percentage points • Imputed rent will be the same as in the basic scenario • The rent will increase by 4.5% • The occupancy rate will improve by one third • The share of the rent out of the turnover will decrease by 0.25 • Less people will move to the area percentage points •Value appropriation will increase by 33% (a total of 500 million euros) •Value appropriation will increase by 34% (a total of 929 million euros) Results Ecosystem effects in the basic scenario / year OFFICES € 325 MILLION HOUSING
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