Ferry Terminal Turku project operating agreements and terminal redemption agreement signed

News - 2021 - Ferry Terminal project is proceeding

Port of Turku’s Ferry Terminal Turku project is progressing. The project will reorganise the area and functions of the Turku passenger harbour and inner harbour. The plan is to build a new joint passenger terminal for use of both shipping companies, Tallink Silja and Viking Line. The new terminal is expected to be completed in December 2025.

The project will be financed with EUR 172 million, of which the Port of Turku will finance the project during the construction stage with EUR 47 million in cash assets and a maximum loan of EUR 125 million.

Market-based operating agreements have been negotiated with both shipping companies and signed on Tuesday 31 August. With the agreements, both Tallink Silja and Viking Line undertake to use the joint terminal for regular liner traffic for the period specified in the agreement.

As part of the project, the City of Turku will redeem the Viking Line terminal building for EUR 17.8 million and lease it back to the shipping company. The terminal building and the associated structures are located in the area leased by Viking Line in the Port of Turku. The redemption agreement was signed in connection with Viking Line’s operating agreement.

Turku is a very important city for Viking Line. We operate daily morning and evening directly to Stockholm. Our two newest ships, the Viking Grace and the Viking Glory under construction, have been designed with the needs of Turku in mind. We plan to develop and maintain traffic on the Turku route in the coming decades, and we are grateful to be able to continue our operations in the current terminal building as tenants, says Jan Hanses, CEO of Viking Line.

Throughout the company’s history, Silja Line’s ships have operated from Turku to Stockholm. The current terminal is coming to an end and we are looking forward to the start of the new joint terminal construction project. It has been great now to be involved in the development of the area with the City of Turku, the Port of Turku and Viking Line. The goal of all of us is common: an even better passenger experience, says Margus Schults, CEO of Tallink Silja Oy.

Regular scheduled traffic between Turku and Stockholm is a significant advantage for the entire Southwest Finland economy and it is excellent that both shipping companies are committed to the development of traffic. The agreements now signed will enable the project to be launched and investments to be made, says Erik Söderholm, CEO of Port of Turku Ltd.