A major construction project is underway in Sickla, just outside Sweden’s capital Stockholm, where developers have started building what they say will be the largest city in the world made from wood.
The project began in October, ahead of schedule, and is expected to include 2,000 residential units by 2027. A high school and space for approximately 7,000 office workers are also planned.
The development uses engineered wood in place of traditional concrete and steel. The company says the goal is to reduce the environmental impact of construction.
According to a 2020 study by Aalto University and the Finnish Environment Institute, using wood in 80% of new buildings in Europe could cut construction-related emissions in half.
Håkan Hyllengren, business development director at Atrium Ljungberg—the company overseeing the development—said the project aims to combine sustainability with urban livability.
Mass timber construction is expanding globally. In 2023, Singapore opened a 468,000-square-foot wooden college campus. Seattle completed an eight-story wooden apartment complex. In Sydney, a large wooden office and retail building is under construction.
Scandinavia remains a leader in the field. Norway’s Mjøstårnet, built in 2019, is among the tallest timber buildings in the world. Finland’s capital, Helsinki, has a district made entirely of wooden structures. In 2022, Skellefteå in northern Sweden opened a wooden hotel and cultural center that attracted international attention.
Sweden has access to vast forest resources, with about 70% of the country covered by woodland. The country introduced mandatory reforestation laws in 1903. “We don’t have a problem where we will run out of wood,” Hyllengren said. “We’ve actually got more forest now than we had 100 years ago because we replant.”
The buildings in Stockholm Wood City are made from cross-laminated timber (CLT), a layered wood product known for its strength. CLT is lighter than concrete and can be installed more quickly, which reduces labor hours and overall construction time.
Hyllengren said the faster build allows tenants to move in sooner, helping offset the slightly higher material cost – about 10% more than concrete or steel.
Wood stores carbon dioxide, unlike concrete or steel, which release it. If dismantled, wooden buildings are easier to recycle or reuse. Researchers state that if wood were used in most new buildings, it could significantly reduce Europe’s annual carbon emissions from construction.
Fire safety remains a concern in wooden buildings. However, Hyllengren said Nordic building codes are strict, and all structures will include sprinkler systems. CLT also chars at high heat, creating a layer that helps slow the spread of flames.
Lena Dahl, a senior forest expert at WWF Sweden, said wood is a better material choice when harvested from responsibly managed forests. She also noted that increased demand for timber must be balanced with protecting plant and animal species.
Some researchers are studying how wooden environments affect health. Ali Amiri, a sustainable building researcher at Aalto University, noted that people often report lower stress levels in wooden spaces. He and his team plan to study the long-term effects on students living in wood-built housing.
Workers at the construction site have also noticed changes. Sara Coletti, business manager at construction firm TL Bygg, said the environment is quieter and brighter than a traditional site. “It’s more light, there’s less noise,” she said. “It’s really much better for the workers.”
Approximately 16% of new multi-story buildings in Sweden are constructed using wood, compared to 9% a decade ago. Hyllengren anticipates that this number will increase as more companies adopt sustainable methods.
Amiri said the global expansion of timber construction depends on local resources, technology, and training. He noted that countries without access to affordable engineered wood or a history of wooden construction will be slower to adopt this technique.
Hyllengren said collaboration among companies is helping to drive innovation in the Nordic region. “Companies are sharing knowledge with each other,” he said. “I haven’t really seen in the same way in construction with concrete or steel.”
