The Tenth Phase Begins in New Mustamäe

This week, Bonava is bringing to market the tenth phase of Uus-Mustamäe. The 6-storey A-energy class building being constructed at Rabaküla 16 contains a total of 33 apartments with 2-4 rooms in sizes ranging from 39-75 square meters. Construction work is planned to commence in the coming months, with new homes to be handed over to clients by the end of 2025.

"The Mustamäe area has a lot of older properties and there are few new projects compared to other districts. However, Mustamäe is valued as a living environment and families want to improve their living conditions, which is why we continue to see demand for energy-efficient new homes at more affordable prices," explained Lauri Laanoja, Head of Sales and Marketing at Bonava Eesti, on starting the new project.

"The market is quietly recovering, a strong labor market and growing incomes, falling interest rates and increased competition between banks in the lending market are encouraging previously postponed purchasing decisions. Also, the increasingly active secondary market helps realize existing properties to enable moving to a new home. One of the many advantages of A-energy class homes is also a more favorable loan interest rate," added Laanoja.

"We have created one of the largest modern neighborhoods in Tallinn on the grounds of the former Kadaka garden, where nearly 1500 people are estimated to live today on almost 13 hectares. So in the five years that we have been developing this area, a settlement of people comparable to, for example, Kelmiküla, Juhkentali or Tõnismäe has come to live here. Uus-Mustamäe is Bonava's largest development project in Estonia, with the total investment amount now exceeding 100 million euros," described Margus Klaos, Bonava's Development Director.

Solar panels will be installed on the roof of the six-storey building at Rabaküla 16 and the building will have efficient ventilation units, which as a result will give the building an A-energy class. This way future residents will be able to save on household costs. All homes feature floor-to-ceiling windows, a balcony and a separate storage room. In the Uus-Mustamäe neighborhood, 700 homes have already been completed and the heart of the area is a nearly 7000-square-meter park with picnic areas, various playgrounds, a pump track and outdoor gym.

Bonava is Europe's leading residential developer whose mission is to create happy neighborhoods for many people. Bonava's 1300 employees develop homes in Germany, Sweden, Finland, Estonia, Latvia and Lithuania. The company has built 40,000 homes to date, and the Group's 2023 sales revenue was approximately 1.2 billion euros. Bonava shares and green bonds are listed on the Nasdaq Stockholm exchange.