If Insurance Moves to Estonia's First Wooden High-Rise in Fahle City
Fausto Capital will begin construction in July of Estonia's first high-rise wooden building in the Fahle district on Tartu Road, which will become the new headquarters of If Insurance in Tallinn upon completion. Designed in collaboration with Estonian and Swiss scientists, the building will become a new milestone in wood processing and environmentally friendly construction.
An eight-story unique office building with large green terraces will rise at the entrance to Tallinn on the Tartu Road 84B property, as part of a sustainable and eco-friendly residential and business quarter in the Fahle district. The building will be completed in the summer of 2026.
According to Sven Mihailov, co-owner of Fahle district developer Fausto Capital, they want to introduce an environmentally sustainable building style to Estonia through the construction of a high-rise wooden structure in order to reduce the sector's large carbon footprint. Such a tall wooden building has never been built in Estonia before, which is why the project was designed in collaboration with scientists from Tallinn University of Technology and ETH Zurich. The building was designed by architects Margit Aule and Kristo Põlluaas from LUMIA architecture bureau.
"The ecological footprint of the building's cross-laminated timber construction is very small and wood, as a renewable raw material, is an excellent carbon sink. Its high fire resistance and thermal insulation also ensure energy efficiency and low heating costs. Furthermore, a building made from natural material has a healthier indoor climate for office workers," Mihailov added. In addition, all other modern solutions are being applied to the office building to reduce its carbon footprint. For example, solar energy will be used there and rainwater will be harvested.
According to the developer, they are pleased to have If Insurance as the anchor tenant for such a building, a company that works daily to reduce its own and its clients' environmental impact.
"Sustainability is one of If Group's four strategic goals. If invests in damage prevention so that fewer accidents happen to people and their property, thereby also causing less damage to the environment. We guide our cooperation partners to use more sustainable methods in damage repair and recommend to our clients to repair things instead of replacing them," said Tiit Kolde, member of the board of If Insurance. Consequently, an energy-efficient and sustainably built building was also preferred as the new office.
According to him, as a growing company, they need sufficient space in their Estonian headquarters to bring different activities and people together even better than before. "The Fahle district with its location and environmentally friendly technical solutions of the building best met the company's expectations, needs and values," Kolde explained.
Fausto Capital is investing 13.4 million euros in the development of Tartu Road 84B. In total, the building will have 6,845 square meters of A-class office space, some of which are still vacant. Cafes and service spaces are planned for the first floor. Starting from the fourth floor, the building is planned to have gradually increasing green terraces, which will offer a beautiful view of the city center and the sea.
In addition to 8 above-ground floors, 2 underground floors will be built for a parking lot, which will have 85 parking spaces planned. At the same time, bicycle and scooter parking spaces as well as electric car charging points will be created in the building. There are bus stops in front of the building and a tram and train station within a short walk, ensuring convenient access to all parts of the city.
The building being constructed is part of the growing Fahle district, which is already home to Postimees, Apollo, Unemployment Insurance Fund, Finestmedia, Wisercat and others. The previous phase of the Fahle district was the first in Estonia to receive the green mark BREEAM at the highest level, which recognizes the environmental friendliness of business buildings and the well-being of people working there. The new wooden high-rise will also be built according to these criteria. As the next development, the company plans to renovate the historic Boiler House in the Fahle district.
Fausto Capital has been a group of companies engaged in the development, leasing and management of office and retail space since 2004. Fausto is an Estonian-capital company whose portfolio includes over 90,000 square meters of retail and business space, such as the Fahle district, Compass House, Maakri HUB business building, Tartu Telia business building and several other business buildings. The value of Fausto Capital's assets is over 200 million euros.
If Insurance is the leading insurance company in the Nordic and Baltic regions. If provides damage insurance services to clients in Sweden, Norway, Finland, Denmark, Estonia, Latvia and Lithuania. In total, the company offers various insurance solutions to nearly 4 million people and companies.
