Pärnamet Family Business Develops 65-Home Residential Project in Jõelähtme Municipality

Entrepreneur David Pärnamets and his son Lucas Dan Pärnamets are developing a residential project of nearly 16 hectares in Jõelähtme municipality through the family business Jägala Kodud. Of the planned 40 single-family plots and 25 townhouse units, 12 have already found new owners to date.

A development the size of a small village, called Jõelähtme Residents, started with the merger of two adjacent properties. "We initially purchased a 10-hectare property, but an opportunity arose to acquire another one, which we linked to the area's existing detailed plan," explained David Pärnamets, founder of Jägala Kodud. The area, which has grown to nearly 16 hectares, is being developed in two phases, the first of which is essentially complete, and in the second, preparatory and infrastructure work is underway today. According to Pärnamets, the structure of the future residential area and plot boundaries should be clearly visible by autumn, and the infrastructure and utilities should be completed in the second half of 2027, according to plans.

In recent years, Jõelähtme municipality has been among the faster-growing municipalities in Harjumaa. According to data from the Estonian Association of Cities and Municipalities, 6,902 people lived in the municipality in 2022, and 7,978 in 2026. Thus, the population has grown by 1,076 people, or approximately 15.6%, over four years.

Plots and townhouses

The development's 40 single-family plots range from 2,000 to 5,000 square meters, making the average plot size 2,500 to 3,000 square meters. "In the immediate vicinity of Tallinn, plots of this size have become rare. Those who prefer privacy need to look outside Tallinn," noted Pärnamets. In addition to single-family plots, the project includes 25 townhouse units, which are planned to be sold as a whole to a construction company.

According to Pärnamets, the project's main strength is its location and living environment. "The infrastructure allows smooth connectivity with the capital. In a short time, one can reach a nature-like area from the city environment, near which there are both a golf course and horse riding opportunities." The developer also highlights the historical background of the place: "A place with centuries-long settlement history is surrounded by natural water bodies and a constructed overflow canal, which create good energy flow in the area."

Based on transactions concluded so far, the main buyers are from the Estonian middle class, predominantly aged 40-55 years. As of 2020, the share of those aged 65 and older in Jõelähtme municipality was 13.2%, while the Estonian average was 18%. In recent years, Jõelähtme municipality has opened several new kindergarten groups, and a new kindergarten building was completed in Neeme village. The developer predicts that the new homes of this major development will continue to support the municipality's younger population growth in the future.

Investment in infrastructure

One of the most substantial parts of the project has been the development of a modern water and sewage network. In cooperation with the company Loo Vesi, a water treatment plant and pump station were built as a private investment for the development. "Building comprehensive infrastructure and networks requires substantial investments, but this is a fundamental prerequisite for the emerging village to function sustainably even decades later," emphasized Pärnamets.

David Pärnamets's son Lucas Dan Pärnamets is also involved in managing Jägala Kodud. "This is another family business that we are building together," said David Pärnamets. "The company operates on 100% Estonian capital and we are open to cooperation."

According to real estate expert Tõnu Toompark, home buyers today are looking beyond Tallinn and its golden ring to find more affordable homes. "The residential real estate market in Harjumaa outside Tallinn is active. Those interested in single-family homes are looking for space and privacy, but on the other hand, do not want to make excessive compromises on distance from the capital. A reasonable price is always important among potential buyers, which may not be found in or near Tallinn. Comprehensive developments located at a reasonable distance from Tallinn offer a good alternative to the capital-centric residential real estate market, one that takes into account the diverse needs of families," noted Tõnu Toompark.

To date, two Scanhus timber houses have been completed in the development, and in October a representative and show house will be completed in the development area, showcasing possible different building solutions, which include not only timber houses. Plot prices range from €110,000 to €173,000.