Land near power lines sees tenfold value surge

Land values in Finland have surged up to tenfold near power lines and substations, driven by demand from data centers and electricity storage projects, reports Yle.

Google’s 2024 land purchases in Kajaani and Muhos saw forest land priced at over €20,000 per hectare, compared to the regional average of around €2,400. Business Finland expert Jouni Salonen notes that electricity availability, not land area, now dictates pricing.

Municipalities compete for data center projects, with speed and luck often deciding investment locations. Kuntaliitto’s Laura Suurjärvi confirms that securing a data center can be highly profitable for local governments.

Fingrid reports hundreds of preliminary inquiries about grid connections for data centers, though not all plans will materialize. The rapid development has also raised security concerns and sparked land disputes over new power line routes.