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Society

Finland's Espoo Center: 2 Hypermarkets, 105 Homes by 2028

By Aino Virtanen

In brief

Espoo's city center is set for a major overhaul with two new hypermarkets, 105 apartments, and improved transport by 2028. Project leader Mikko Kivinen highlights resident-driven demands for change in the long-neglected area. This redevelopment aims to transform Espoo into a vibrant urban core rivaling Helsinki.

  • - Location: Finland
  • - Category: Society
  • - Published: 1 hour ago
Finland's Espoo Center: 2 Hypermarkets, 105 Homes by 2028

Illustration

Finland's Espoo city center will add two hypermarkets and 105 apartments by 2028, marking the first concrete steps to transform its long-neglected core. Project manager Mikko Kivinen confirmed the developments after years of resident demands for better services and aesthetics in the administrative heart of Finland's second-largest city. This redevelopment aligns with Espoo's strategy to polish a shabby area that has seen little progress despite its central role in the Helsinki metropolitan region.

Addressing Decades of Neglect

Espoon keskusta has struggled with a rähjäinen or shabby appearance, frustrating locals who have awaited upgrades to match Espoo's status as a tech and business hub. The area, home to city hall and key institutions, has lagged behind other parts of the city in retail and residential offerings. Kivinen said residents have consistently called for improved amenities and a more vibrant urban environment. This project responds directly to those calls, aiming to create a cohesive center that can compete with Helsinki's downtown districts. The redevelopment is part of broader Finnish municipal planning trends where cities invest in central zones to boost livability and economic activity.

Hypermarkets as Development Anchors

Two major Finnish retail giants will open hypermarkets in Espoon keskusta by 2028, serving as anchors for the renewal. S-ryhmä's HOK-Elanto will build a new Prisma on the site of the current S-market and adjacent to the Entresse shopping center, which includes a Lidl store. Kesko will add a K-Citymarket nearly next door at the Espoontori shopping center, which Kesko owns. Both projects are set to begin construction soon, with openings timed to coordinate with other infrastructure improvements. The Prisma complex will feature 350 parking spaces and smaller retail units alongside the grocery store. Kesko plans to renovate Espoontori while preserving its 1980s architectural style, including large glass surfaces and bright interiors. These hypermarkets are expected to draw shoppers from across Espoo and reduce the need for residents to travel to Helsinki for major shopping trips.

Residential Growth and Transport Links

New housing is a critical component of the redevelopment, with two seven-story residential buildings rising alongside the Prisma. These buildings will offer 105 owner-occupied and rental apartments, all privately financed, adding density to the city center. A green roof garden on the Prisma will provide communal space for residents. Concurrently, public transport upgrades are underway, including a new bus terminal and the Espoon kaupankirata urban rail line set for completion in 2027. This rail line will significantly improve connections to Helsinki and other parts of the capital region, making Espoon keskusta more accessible. The integration of housing, retail, and transport reflects Finnish urban policy goals of creating compact, sustainable cities that reduce car dependency and enhance quality of life.

Project Leadership and Municipal Vision

Mikko Kivinen, the project manager for Espoon keskusta, emphasized the transformation's importance for the entire city. He stated that these developments represent a major milestone in realizing Espoo's plan to establish a true downtown area. The city government has backed the project through zoning approvals and collaborations with private developers like S-ryhmä and Kesko. This public-private partnership model is common in Finnish urban development, leveraging municipal planning with private investment to achieve shared goals. Kivinen noted that while progress has been slow until now, the upcoming years will see rapid changes as construction accelerates. The project also involves demolishing an office building on Asemakuja street to make way for the Espoontori expansion, showing the city's commitment to overhauling the area.

Espoo's Urban Evolution in Context

Espoo's push to revitalize its center comes as the city continues to grow rapidly, with a population exceeding 300,000 and a strong economy driven by companies like Nokia and gaming firms. Historically, Espoo has been criticized for its sprawling suburbs and lack of a defined downtown, unlike Helsinki. This redevelopment aims to address that by concentrating services and housing around the train station and city hall. The efforts mirror national Finnish priorities under the Ministry of the Environment, which promotes dense urban cores to combat sprawl and meet climate targets. While no direct EU funding is mentioned in the source, such projects often align with EU cohesion policy objectives for regional development and smart growth. The timing with the urban rail line also ties into Finland's broader investments in public transport infrastructure.

Future Implications for Residents and Businesses

Residents can expect a more dynamic Espoon keskusta by the end of the decade, with enhanced shopping options, modern housing, and better transit. The addition of 105 apartments will bring more permanent residents to the area, potentially supporting local businesses and creating a livelier street scene. However, challenges may arise during construction, including disruptions to traffic and existing services. The city will need to manage these impacts while ensuring the redevelopment benefits all demographics, including low-income residents who might face rising costs. Kivinen's team is focused on delivering a cohesive outcome that integrates the new hypermarkets, homes, and transport hubs seamlessly. As Espoo positions itself as a competitor to Helsinki, this project could set a precedent for other Finnish cities seeking to upgrade their central districts without losing local character.

Conclusion: A Step Toward a New Downtown

The Espoon keskusta redevelopment is a tangible move toward solving long-standing urban issues, with hypermarkets and homes leading the charge. By 2028, if timelines hold, the area could shed its shabby reputation and emerge as a bustling hub that reflects Espoo's modern identity. This transformation underscores how Finnish municipalities are taking proactive steps to enhance urban living through targeted investments and strategic planning. For now, residents watch as the first diggers arrive, hopeful that the promised changes will finally materialize and redefine their city center for generations to come.

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Published: January 16, 2026

Tags: Espoo city center redevelopmentFinnish urban planningHypermarket expansion Finland

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