Construction Begins: New Apartment Buildings Rising on Paevälja

Hepsor has obtained a building permit and signed a construction contract in Paevälja Quarter for building new residential houses, streets and outdoor areas. This is the next phase in the construction of Paevälja Quarter on the site of the old airfield in Lasnamäe.

Hepsor SOF OÜ signed a contract with Mitt & Perlebach OÜ for the construction of apartment buildings on the Paevälja 7 property and the roads and streets serving them, with a contract value of 10.2 million euros, plus VAT. 

Two apartment buildings, Paevälja 7/1 and 7/2, will be built at Paevälja 7 address, with a common underground garage underneath. A total of 70 apartments will be completed in the buildings. Construction work is planned to begin in June of this year and the buildings should be completed in autumn 2027. Next to Paevälja 7, the next phase of development also includes the Paevälja 9 building, which is planned to have 18 apartments, with construction expected to start soon. 

According to Hepsor's Estonian country director Mihkel Mäger, there is demand for new homes in the area. "Lasnamäe has been undervalued in terms of new developments for years. It is a large and well-established residential area – in size like Tartu and Viljandi combined, where purchasing power exists, but quality new apartments have been hard to find. Fortunately, supply has been increasing," said Mäger. While 61 apartments were sold in Lasnamäe in the first half of 2025, 74 apartments were sold in the area in the first five months of this year. At the same time, the number of new apartment offerings has increased by 96 apartments compared to 2025. 

According to Mäger, 17 apartments have already been sold before construction begins. He said that feedback so far shows that people are looking for affordable prices, quality and well-thought-out layouts, and good connectivity with the city center. "Many current Lasnamäe residents do not want to leave the district, which is full of greenery and where everything needed is nearby. However, moving to a newer building in the same district significantly improves people's quality of life," he added.

The Paevälja 7 buildings are designed so that more rooms are available on a compact area. "At Paevälja, there are 5-room apartments that can accommodate larger families who do not want to move out of the city to a house. Such a solution reduces both purchase and maintenance costs. The five-room solution has been designed for approximately 90 square meters of space, which allows the family to get more separate rooms without increasing the total area," said Mäger.

The Paevälja 9 building, which will soon enter construction, is planned to have completely unique two-story apartments in Lasnamäe. According to Mäger, the purpose of such homes is to offer families the feeling of a house or townhouse, while remaining at the apartment building price level and amenities. "Two-story apartments offer more privacy, as living and sleeping areas can be more clearly separated. At the same time, the amenities of an apartment building are preserved: common management and lower maintenance burden," said Mäger.

According to Mäger, attention is also paid in the quarter to preserving and connecting historical elements of the area with new construction. Paevälja was home to Tallinn's first airfield at the beginning of the 20th century and later served as the headquarters of the Estonian air force, which is evident from partially preserved limestone buildings and an aircraft hangar. The hangar is planned to be reconstructed to create business spaces there.

Hepsor's development partner is EfTEN Special Opportunities Fund. The building design was created by molumba architecture bureau.