Nordecon AS and OÜ Kawe Invest, subsidiary of AS Kawe, signed a contract for the construction of an office building on the registered immovable at Veerenni 24. The cost of construction works at the building located in the Baltika quarter at the edge of the City of Tallinn is approximately EUR 9 million without VAT.

„Nordecon is again proud to announce the entering into a significant construction contract in the segment of office buildings in which private sector developers have not been very active in recent two years. Moreover, Kawe is a cooperation partner whose portfolio today exclusively includes Class A properties and the would-be office building that recently received a building permit complies with the same standards,” said Avo Ambur, member of the Management Board of Nordecon AS.

„As for the Baltika Quarter that we acquired two years ago it was clear that the property needed further development. Its logical follow-up is the construction contract of the Norwegian House that was signed today,” said Jaanus Kosemaa, partner of Kawe.

„Administering of the Baltika Quarter has assured us that the location of the investment is excellent and that the new building with its efficient floor layout and modern energy efficiency will further increase its value.” According to Kosemaa, the building has been designed by taking use of years of experience of Norwegian partners. The floor area of the 7-storey would-be office building including parking will be approximately 13,000 square metres. The building is due to be completed in the autumn 2015.

Kawe that belongs to Norwegian capital is a commercial property investor that in Estonia owns 14 properties with a total floor area of 125,000 square metres. The portfolio includes 6 office buildings and 8 industrial properties with a total value of EUR 102 million.