Luxury hotel project in Inari moves forward despite local opposition

A controversial luxury hotel development in Inari’s Nanguniemi, initiated by actor Jasper Pääkkönen, is progressing despite strong resistance from local residents and Indigenous Sámi groups, reports Finnish public broadcaster Yle.

Opponents argue the project threatens a pristine natural peninsula vital for reindeer herding, while the investment firm behind it, Evergreen Capital, pledges to minimize and offset environmental impacts. The area, currently home to locals and summer cottages, is accessible via a 13-kilometer gravel road leading to Inari’s municipal marina.

Pääkkönen’s role in the project has diminished, though he retains a 40% stake in Arctic Destinations, the company established for the hotel. Evergreen Capital’s CEO, Elias Pikkujämsä, confirmed this in an interview with Yle.

In a recent open letter, the local movement Sustainable Planning Inari and the Sámi Youth Association urged project leaders to respect recommendations from the Sámi Truth and Reconciliation Commission, which calls for protecting old-growth forests and securing reindeer herding lands. The Ivalo Sámi reindeer herding district opposes the development, citing the peninsula’s importance as a calving and grazing area.

Sunna Nousuniemi of Sustainable Planning Inari emphasized broader concerns: “Locals worry about the spread of tourism. We want to spark a societal debate on what boundaries we set for tourism.”

Pikkujämsä acknowledged the controversy but insisted the project aims to set a standard for responsible tourism. “We want to collaborate with local communities and, once operational, invest significantly in forest conservation and sustainable tourism,” he said. He added that comprehensive environmental and archaeological assessments were conducted during zoning, with impacts to be avoided, minimized, or compensated in that order.

Inari’s municipal council chair, Janne Tervahauta, noted that while concerns are valid, the zoning plan is already approved, leaving the council with no further influence. Construction timelines and detailed plans remain undisclosed.