The Päijät-Häme Welfare Association began operations on 1 January 2017. Eight municipalities in Päijät-Häme (including the municipality of Hollola) transferred responsibility for organizing all social and health services to the welfare association.
When the association made decisions on the service network guidelines for outpatient services in October 2017 and the need for health services in Hollola was recognized, the municipality took rapid action to implement appropriate facilities. It was estimated that the health center's emergency facilities would cost at least 2-3 million euros during the renovation period and the renovation of the old one would cost more than ten million. It made sense to build a new one, but where?
In November 2017, the Hollola council decided on a land deal for the future wellness center by purchasing the former Ristola engineering office plot next to the health center. In December, the council decided to sell the old health center to Attendo Oy, while the wellness municipality consortium will continue to rent the premises.
The municipal government established a steering group for the construction of the wellness center in December 2017, which also included user representatives. The project plan was approved by the council in September 2018, the Ministry of Social Affairs and Health granted an exemption for the construction in November, and the council approved the site plan for the health and social care center in December. The Vitality Committee approved the contract on 19 November 2019 (Skanska Oy) and a fifteen-year lease agreement between the municipality and the Päijät-Häme Wellness Joint Municipal Authority.
The new social and health center was completed in November 2021 at Terveystie 2. The total investment in the project was approximately 14.600.000 euros, and in addition, approximately 750.000 euros were spent on site arrangements through operating expenses.
The municipality of Hollola has offered both the Päijät-Häme Welfare Association and the Päijät-Häme Welfare Area a social welfare center to purchase at the so-called cost price, without success.
On 20 June 2022, the council decided to sell the social welfare centre in accordance with the offer for a sale price of 17 million euros. During further negotiations, the buyer withdrew from the deal. The background was the inflexibility of the Päijät-Häme welfare area in lease agreement changes and the effects of the Russian war of aggression on interest rates and economic uncertainty. A second sale attempt in spring 2023 collapsed due to the low price level.
The third company started in spring 2025. Two offers were received by the deadline. Hemsö Suomi Oy submitted an offer of 13,600,000 euros. The council approved the promotion of the transaction at its meeting on 22 September 2025. Next, the municipality will sign a letter of intent with Hemsö Suomi Oy and the company will carry out a due diligence process. The deed of sale is expected to be signed in January 2026.
The lease agreement is transferred on current terms. The lease term of the Päijät-Häme welfare area will continue uninterrupted until 2036. The welfare area has not expressed any differing views on the matter.
Why is the municipality selling a social welfare property?
Social services are no longer a municipal activity. It is not part of the municipality's duties to arrange facilities for the use of other actors. In this regard, municipalities are obliged to incorporate rental activities, which causes additional costs.
On the other hand, renting premises involves major risks if the lease agreement is not extended after the lease term. Alternative tenants are few.
The third key reason is to free up funding for the construction of the Hollola building. After the social security transfer, the municipality's tax rate is 8,3% and the financial pressures are great. Investments should be implemented primarily with revenue funding.
The ownership of the social welfare centre does not change the fact that the Päijät-Häme welfare region decides on the social welfare service production in the Hollola municipal centre. The rental price has been agreed until 2036. In any case, corporatising the social welfare property would have prevented so-called underpricing in terms of rental activities.
The Hollola social and health care centre has been built to be space and energy efficient, and I believe it will be used for decades. The courage of the decision-makers has prevented Hollola from falling into the “limbo” of various social and health care evasion facilities. This has had a major impact on the municipality, maintaining stability and vitality.
In Hollola on September 23, 2025
Päivi Rahkonen
Municipal Manager
