TALLINN - Estonian real estate developers have jumped into the 21st century of industrial development by launching the country's first technological park last week.
Located in the Saku township of Harju county about one kilometer from the Tallinn city border, the Tanassilma Technological Village was built in 13 months. It is the first technological park — an area divided into land plots with readymade infrastructure such as water, sewage, electricity and telecommunication networks — opened in Estonia.
A second such park is slated for a November opening.
According to Tonu Soodla of Mergo Holding OU, the developer of the project, the main idea behind a technological park is to provide corporate clients with land plots that already possess the infrastructure for further construction.
The developer can also connect land plot buyers with architectural projects to put up industrial buildings and help them find a construction company.
Specifically the Tanassilma technological park area is designated for warehousing and low ecological risk manufacturing, the latter being a condition set by the local government.
"Our development plan includes only commercial land with possible couse for associated manufacturing that does not harm the environment – such as logistics, warehousing and low-scale production," said Soodla.
Up to 1,000 jobs might be created on the park's total area of 30 hectares, which is divided into 34 land plots.
Soodla said the total cost of the project was about 50 million kroons (3.2 million euros), and Mergo Holding is expecting a 30 percent profit margin in six years. Investments into construction of warehouses and production sites could reach 51 million euros.
In the last several years higher land prices and bureaucratic challenges have pushed a number of large production sites out of Tallinn city limits. Some affected businesses, such as the Neiser furniture company, Iveco trucking service and Maksimarket supermarket, settled in the town of Saku.
"The most industrialized Tallinn suburbs are now the St. Petersburg Road district, the Parnu Road area and the Tartu road section between the city border and the town of Juri. They all have great potential," said Soodla.
The first stage of the country's second technological park, Juri Technopark, will be complete in autumn 2003, and building construction will start in November. The 45 million kroon park, which covers 37-hectares, will have 42 land plots for industrial and commercial use and a number of plots for apartment houses, according to Kodu Grupp Ltd., the developer of the project.
The Juri technological park site is set in the Rae township of Harjumaa rural district, just seven kilometers from Tallinn Airport on the southeastern border of the city. The park would create 500 to 700 jobs.
