Endla Business Center – a bright future for the stagnant office space market
The renovation works, which began on the Endla 16 commercial building in May, will be completed this autumn – a high-quality office building, with a good location and reasonable price level, will be brought to market. The great interest by tenants in the building clearly shows that even though competition is quite intense on the office space market, and the market is producing new office spaces in excess of the normal rate of absorption, there is room for the right product in every market cycle.
In spring, when Telia AS, the long-term occupant of the building, left, Kaamos Kinnisvara AS began renovation works, in order to give the stately building a new and fresh appearance by autumn. All of the building’s 4000 m2 of office space will be rented out, in varying sizes.
Over the course of a six-month sales period, BPT’s brokerage team has been able to bring the building’s capacity to 60%, and many clients are currently still in the negotiation phase. The large number of available clients has resulted in a situation for the developer in which the selection is great and the preference is geared towards bigger tenants. Interest in the building has been very high, in some instances bidding on the rent price for space in the building has exceeded the initial asking price several times over – this level of interest is surely envied by every business real estate developer today. There is a sufficient market for commercial buildings today, which offer a good price/quality ratio, parking opportunities and a valuable location. The Endla Business Centre is a serious alternative to any of the new office buildings located in the city center of Tallinn and within the proximity thereof.
‘The prerequisites established for the success of the business plan – an excellent location in close proximity to the city centre, good parking conditions for future clients, and a convenient public transportation connection – have held water. We are satisfied with the progress of development and it is a pleasure to see how the building is being well-accepted by clients,’ said Priit Uustulnd (CEO of Kaamos Kinnisvara).
The most prominent lessees who will be making the building home include Miterassa OÜ, which is opening the largest Sony Centre in the Baltics – with an expanded audio-video showroom, where they will also be offering other high-quality brands (including Bose) – and Museko OÜ, which deals with the development of museums and science centres.
‘It is our opinion that the business logic employed by large shopping centers when it comes to the sale of durable goods, is becoming exhausted, at least in the case of electronic goods where the market is dominated by the internet and there is strong pressure on the price of products’, explained Raivo Kraus, Member of the Management Board of Miterassa OÜ, operator of the Sony Centre. ‘Our company found that the Endla Business Centre was able to offer us a comprehensive solution when it came to serving retail and business clients on the spot and via the internet’. ‘We are consolidating our entire structure in the Endla Business Centre, which includes, in addition to retail sales and goods logistics, the distribution of Sony Professional and Harman Professional Solutions AV products in the Baltics and Finland’.
The concept for the Endla Business Center’s façade and entrance was prepared by Kauss Arhitektuur OÜ. ‘The building’s limestone covering will receive a whitening, the entrance will be updated, and the smaller section of the building located on the corner of Endla-Koidula will be clad in a shining layer of black. The black multidimensional façade shimmers during the day; when dark, the vivid new layer of façade is revealed, outlined by the lighting shining from behind the façade. This enabled us to achieve an office building with a contemporary and modern appearance,’ said Kaur Talpsep (architect and partner at Kauss Arhitektuur OÜ), when commenting on the renovations made to the building.
A suitable working environment is ensured for all companies through the use of flexible solutions. By altering the spatial planning of rooms, when necessary, an entire floor can be designed to serve as a single functioning whole, while it is also possible to subdivide the floor into smaller office spaces. The Endla Business Centre has training rooms and a restaurant that serves lunch. Several office spaces have been created while keeping the newest trends in interior design in mind. The modern and bright office spaces are open planned, with the interior spaces given the feeling of spaciousness by tasteful curtains and glass walls.
The building is only a 7-minute walk away from the city center, and convenient access is ensured by bicycle, car or public transport. Public transport stops are located in front of the building, and tenants and guests have access to a private car park with more than 100 spaces. Kristiine Keskus, which offers diverse dining and excellent shopping opportunities, is located only 500 m from the business center.