Luxury cabins in Rovaniemi sell for nearly €250,000 as investors target high-end tourism

An Oulu-based company is building high-end forest cabins in Rovaniemi, aiming to attract investors seeking strong returns from Lapland’s booming tourism sector, reports Finnish broadcaster Yle.

The project, North Suites Rovaniemi, will construct 31 small, luxury cabins in the Ollerovaara area, each measuring 23.5 square meters and priced at €245,000—over €10,000 per square meter. Most units have already been reserved, according to entrepreneur Matti Koskelo, who leads the project.

While the price may seem steep for a compact Finnish cabin, Koskelo argues the premium is justified. “This is a high-end product. The materials, finishes, and amenities—like private saunas and hot tubs—are top-tier,” he said.

The cabins target wealthy foreign tourists, with investors expected to rent them out at high rates. Koskelo notes that similar luxury cabins his company built in Levi have sold quickly, proving the model’s profitability. “Tourists staying just a few nights are willing to pay for quality,” he added.

Rovaniemi’s housing market remains tight, with low supply driving up prices. Local real estate agent Mika Lehtiniemi reports only around 250 used homes currently listed—far below the typical 700–900 for this time of year. Short-term rentals for tourists have further reduced availability, with no sign of these properties returning to the sales market after the winter season.

Despite the high costs, Koskelo insists the investment pays off. Construction for premium cabins runs at least 1.5 times the cost of standard builds due to luxury materials, but demand from affluent visitors ensures strong returns.

The Ollerovaara area, located about 10 kilometers north of Rovaniemi’s center, is rapidly developing into a major tourism hub, with multiple new accommodation projects underway.