Land was broken for HSB Brf Guldläge on May 19, 2022, at the intersection of Södra Järnvägsgatan and Repslagargränd in Skellefteå, where construction is now in full swing. It is one of many ongoing building projects in Skellefteå municipality.
Each year, the County Administrative Board (Länsstyrelsen) of Västerbotten compiles information provided by municipalities regarding the housing market situation.
According to the new report, the number of completed apartments in Västerbotten increased in 2022 compared to 2021, driven by various projects in Skellefteå and Umeå. In the survey, the term "apartment" refers to a residential unit intended for habitation, regardless of its housing type.
"Approximately 1,600 apartments were initiated in 2022, which is roughly in line with the number initiated in 2015 and 2017, representing a significant amount compared to what has been produced during the 2000s. However, it is considerably fewer than the number initiated in 2021 when over 2,500 apartments were started," writes the County Administrative Board.
In Skellefteå, the number of completed apartments increased for the third consecutive year.
New apartment blocks have been built near Baldergymnasiet in central Skellefteå.
"The housing construction in Skellefteå has now reached levels not seen since the early 1990s," states the County Administrative Board, noting that Umeå and Skellefteå have made "optimistic assessments" of the number of housing starts in 2023.
"For 2023, the municipalities' combined assessment is that a total of 2,753 homes will be initiated," the report states, with around 80 percent consisting of multi-family housing in various forms of ownership: condominiums, rental apartments, or student housing.
Both Skellefteå and Umeå municipalities expect approximately 1,200 housing starts in 2023, specifically for apartments.
From 2020 onwards, the trend for completed residential units has been rising in both Skellefteå and Umeå. But now the county administrative board in Västerbotten views 2024 with some concern.
In 2024, expectations are declining as a total of 1,619 homes are expected to be initiated in Västerbotten, primarily in Skellefteå and Umeå.
"If the trend of municipalities overestimating the number of housing starts continues, the assessments for 2024 indicate a significant slowdown in the number of housing starts in the county from 2024 onwards," writes the County Administrative Board.
The forecast points to concerns in the market as both Skellefteå and Umeå "are receiving signals that many construction companies are holding back or canceling projects that have not yet started. Skellefteå municipality has also seen a decrease in the number of actors interested in or capable of building," states the County Administrative Board. They further highlight that the municipality is reclaiming land allocations that are not fulfilled and attempting to engage alternative interested parties for building rights.