Municipalities rent flexible day-care buildings as child numbers fall

Thursday 6th August 2026 on 12:45 in Finland

day-care, Finland, municipalities

Municipalities are increasingly renting adaptable day-care buildings as birth rates decline and demand for flexibility grows, Yle reports. Jämsä has rented a new day-care centre for 10 years at a monthly cost of nearly 13,800 euros.

The new Ankkalampi day-care centre in Jämsä opened on Monday. Children and staff were initially nervous about moving into the building, which is assembled from modular elements.

The centre has numerous separate rooms and a gym. It does not have a shared dining area. Instead, meals are brought by trolley from the kitchen to the groups’ own rooms.

“It can feel like a maze at first, figuring out what is behind each door,” early childhood education teacher Satu Joukkola said. “But we have pictures and texts, so you can always find your way.”

Renting prepares municipalities for change

The popularity of adaptable buildings is growing in the public sector. The industry increasingly uses terms such as dynamic architecture and modular solutions instead of referring to the buildings as temporary barracks.

Municipalities are currently renting day-care centres in particular, and rental periods are becoming longer. Mikko Simpanen, a development manager responsible for municipalities’ premises at the Association of Finnish Local and Regional Authorities, said flexibility was needed because the number of children was falling.

Financial considerations are also encouraging municipalities to reduce the amount of property they own, Simpanen said.

“You know exactly how much the building will cost over, for example, 10 years. After that, it can be removed if necessary and will not continue to burden municipal finances,” he said.

Some municipalities are expected to have no births at all in 2040. Despite this, municipalities must continue providing statutory services under the current system, even if only one or two children are born, Simpanen said.

Wellbeing services counties consider rentals

Wellbeing services counties have also begun considering long-term rentals. Parmaco and Modulo, which manufacture rental modules, said inquiries had increased significantly over the past year.

Rental housing units are attracting particular interest, said Vesa Saarinen, Modulo’s sales director.

Jukka Joutsenkoski, Parmaco’s chief executive, said the social and healthcare reform had frozen many building projects, but interest was now gradually returning.

Permanent buildings may no longer meet changing needs, he said. Buildings may need to be changed in size, moved or even given a different function, without committing permanently to a fixed investment that could go unused after five or 10 years.

Jämsä will pay 1.6 million euros in rent

Jämsä decided to lease the day-care centre because the city’s birth rate has fallen. Around 80 to 90 children are now born in Jämsä each year, compared with 200 in 2012.

The city considered for a long time whether to renovate an old day-care centre or build a new one, said Anna-Liisa Juurinen, the city’s director of urban environment. It chose a modular building because elements can be moved, removed or added as needed.

Jämsä signed a 10-year rental agreement with modular building manufacturer Parmaco. The rental costs will total 1.6 million euros over the period. After that, the city can buy the building for approximately two million euros.

The day-care centre has 84 places for children aged one to six. For the children who have moved in, the best things about the new centre include playing and treats.

Source 
(via Yle)