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15 Sep 2024 3:46
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  •   Home > News > International

    Swedish town's attention-grabbing campaign to sell land for price of a coffee could save it

    Götene has a population problem, and in a bid to attract new residents, it's almost giving away blocks of land. The "wild plan" has gone viral online, and the town mayor hopes it could put the forgotten town back on the map.


    There's a saying in Sweden; "to cook soup on a nail".

    It means to make something from nothing by being creative with what little you have.

    Right now the town of Götene, about 300 kilometres from the country's capital, Stockholm, is embracing that mantra.

    Faced with a housing slump and declining population, previously unwanted blocks of land are on the market for roughly the price of a cup of coffee.

    Mayor Johan Månsson was hopeful the "wild idea" might encourage a few people from other parts of Sweden to move to the area. But the response has far exceeded that.

    "We've had inquiries and expressions of interest from basically every corner of the world," he says.

    "It basically exploded globally in a way that is really indescribable.

    "We saw a viral media snowball start rolling across the entire globe getting bigger and bigger by the day — first through Europe, on to Asia and North America, South America and eventually to Australia."

    Götene has about 5,000 residents, while there's another 13,000 in the wider municipality.

    The community is on the shores of Lake Vänern — Europe's largest lake outside of Russia — and boasts a UNESCO-recognised mountain plateau.

    It's a popular spot for tourists, but few people stay long term.

    In April, the local government put 29 blocks of land on the market at the heavily reduced rate of 1 Swedish krona per square metre, the equivalent of 15 Australian cents.

    Anyone in the world can buy the cheap plots on the condition they begin building a house on the land within two years, can open a Swedish bank account and pay water and sewerage connection fees.

    "This was basically a wild idea to give the local housing market a push, an injection, because we've seen a period of high interest rates and a minor recession, so we felt we needed to try something new to help get the market back on track because we, as a municipality, we need to grow," Mr Månsson says.

    "We are seeing an aging population and a birth-rate decline … that means we have to think creatively and do new things to attract new residents and, perhaps most importantly, to keep the young ones. We basically need more taxpayers."

    Three of the cheap plots have already sold but the rest are still available and have gone to a bidding process after thousands of potential buyers expressed interest.

    Towns across Sweden shrinking

    A declining population is an issue many small towns across Sweden are grappling with, according to Gothenburg University social sciences lecturer Ylva Norén Bretzer.

    "The share of the working population is very small so the tax resources they have to provide for welfare and social services are very low," Ms Norén Bretzer says.

    "It's often very problematic to bring up a family, to get child care and access to schools and hospitals, all the kind of welfare services that we often take for granted in the big cities."

    She blames a lack of job prospects for the mass exodus to metropolitan areas, but Götene is in a different position; it has a booming jobs sector with vacancies ready to fill.

    "We jokingly say that we are Sweden's Silicon Valley for the food industry," Mr Månsson says.

    "We are located in a very strong industrial region where the industrial sector right now is growing rapidly."

    Local food manufacturer Dafgårds has 1,400 staff and is the region's largest employer.

    It produces ready-made meals, including the iconic Swedish meatballs that are sold worldwide.

    The company's HR manager, Niclas Renström, hopes the town's cheap land campaign will bring much-needed workers to the area.

    "It's a very strong labour market where we live," Mr Renström says.

    "It's actually one of the strongest in Sweden at the moment, so we're depending on getting skilled workers to come here to be able to keep our growth going.

    "It's everything from producing the foods themselves, to HR, sales, marketing. 

    "We have quite a big variety of jobs. We counted some 90 different types of jobs."

    As well as being home to numerous food-manufacturing hubs, Götene is less than 30 minutes drive from a new battery factory, which is expected to employ 3,000 people when production begins in 2030.

    The wider acceptance of remote working since the COVID-19 pandemic has also opened up new opportunities for towns like Götene.

    "It is a game changer with these remote jobs that are maybe on the other side of the globe, and that can definitely help these local rural areas to change their situation, both with getting people to stay and to decide they want to set up their future there," Ms Norén Bretzer says.

    'Every new family is worth their weight in gold'

    Götene's housing market woes are a symptom of a national housing crisis in Sweden.

    In February, the Stockholm Chamber of Commerce warned a slump in new housing construction could cost the economy 1,000 billion krona ($145 billion) by 2030.

    Other Swedish localities will be watching to see if Götene can break that trend and generate new residential construction through its viral campaign.

    "I think that it's a bit of a test and try," Ms Norén Bretzer says.

    "Many other rural municipalities in Sweden are now looking to Götene to say, 'Oh, what a response. Maybe we could do some of that as well.'"

    It's not the first time in Europe land has been basically given away. In 2017, homes in some Sicilian villages were sold for 1 euro ($1.60 at the time).

    If this first round of bargain block sales in Götene is a success, the town is considering putting more plots on the market.

    "We couldn't imagine this in our wildest imagination, but I wouldn't hesitate to do it again," Mr Månsson says.

    "We have a lot more land, we have newer plots that are not included in this campaign and, due to the attention this has received, we have high hopes of selling those as well."

    The mayor had this message for any Australians considering a move to Götene.

    "You're very welcome. We welcome any new residents, provided they obtain all necessary permits and clearances, and are willing to enrich and contribute to our community," he says.

    "Every single person, every new family, is worth their weight in gold to us."


    ABC




    © 2024 ABC Australian Broadcasting Corporation. All rights reserved

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