T1 Mall of Tallinn will bring a new concept of a shopping center to Estonia
A new Tallinn transport hub and, with its Ferris wheel standing 120 meters tall above sea level, a landmark on the city skyline, a children’s indoor playground and science center larger that a soccer field, shops and restaurants with seven-meter-high ceilings, let alone a cinema and an organic produce market. In the autumn of 2018, Estonia’s first shopping and entertainment center designed by a new concept, T1 Mall of Tallinn, will be greeting its customers at the beginning of Peterburi Road.
Allan Remmelkoor, member of the management board of Pro Kapital Grupp:
It is no secret that the history of the T1 development is rather long. The initial design was completed as early as in 1999, but it spent quite a while on the shelf, and, in the end, we tore it to shreds because we did not want to build yet another standard shopping center, which are plenty in Tallinn already. The time of the mall designed 15-20 years ago is coming to an end, because a modern shopping center must offer something you cannot get by means of your smart device.
T1 Mall of Tallinn has no intention whatsoever to compete with others for square meters. What we consider important is the sensible size and customers’ comfort. We want to value people’s time and, instead of making them walk kilometers of corridors, provide a logically wholesome structure, in which the mall is a part of the public urban space under one roof with experiences, entertainment, enjoyment and, of course, a classical shopping area.
T1 Mall of Tallinn is a part of the future heart of the city with the new Tallinn railway station and a city square where the stops of trams connecting the city center with the airport as well as domestic route buses (later in the future) will be situated.
I am glad to see that the cooperation of the city, the state, and the private sector, which has been going on for years, has borne fruit, and we can see the birth of a new mentality in retail.
Taavi Aas, Deputy Mayor of Tallinn:
The area of Tartu Road ja Peterburi Road is one of the fastest developing in Tallinn. This is where the gate of Tallinn, including tram connection and a bus hub in addition to the airport, will be; this will become the heart, gate and transport hub of our capital which will certainly create new jobs and attract more tourists. This is something the city definitely approves of.
Alar Kajari, member of the board of Skypark:
While there are only 5 similar structures in the world, and all of them are located in Asia, the Ferris wheel to be constructed on the roof will alone provide Tallinn with an additional center of attraction and change the city skyline. According to a survey by Norstat, the Ferris wheel alone will attract approximately 45,000 tourists per year to Tallinn.
We believe that a healthy childhood must contain more physical activity and fewer smart and digital temptations. This is also why the mall will have an almost 7,000 square meter children’s indoor playground with a hands-down science center, slides and jungle gyms. It will become the region’s largest indoor entertainment center for the whole family.
The construction of the Ferris wheel will be financed from theEuropean Regional Development Fund in the amount of 1.44 million euros, and the total investment in the construction of the entertainment area will constitute 5 million euros.
Indrek Gailan, head of the Transport Development and Investments Department within the Ministry of Economic Affairs and Communication:
Such a transport hub where the routes of planes, trains, buses and trams will be crossing right next to Tallinn city center will be one of the kind in the Nordic countries and Europe. Other capitals have been structurally completed as wholes in such ways that the interconnection of all transport routes in one location is only possible in the suburbs far away from the heart of city life. The synergy that the new mall with its transport hub will generate will open not only the gate to Tallinn, but also the gate to Estonia.
•Next to the mall, there will be a Rail Baltic terminal, which will become the starting and finishing point of Estonia’s direct connection to Europe. In the future, travelling to Pärnufrom the terminal will take less than an hour, and a trip to Riga, two hours.
•In the autumn, a tram line through the underground tunnel will start taking passengers directly to the airport from the city center and vice versa.
•Next to the mall, there will be stops of all the bus routesconnecting Tallinn with Estonian cities and largest towns.
•A new city square will be located in front of T1 Mall of Tallinn.
•On the roof of the building, there will be a Ferris wheel 45 meters in diameter; with its highest point at 120 meters above sea level, it will provide an opportunity to enjoy the panoramic view of Tallinn as well as the see and Lake Ülemiste. There are only rooftop 5 Ferris wheels in the world at the moment, and all of them are located in Asia. Enterprise Estonia has decided to grant 1.44 million euros for the construction of the Ferris wheel. Forecast: 45,000 additional tourists per year.
•The mall will feature an entertainment area approximately 15,000 square meters in size, almost 7,000 square meter of which will be occupied by the children’s indoor playground.
55,000 m2 of shopping space or over 200 shops
15,000 m2 of entertainment areas, including
6000 m2 of the children’s indoor playground
5000 m2 of restaurants and cafes
1500 parking spots
A rooftop Ferris wheel with its highest point at 120 m above sea level; one of the kind in Europe
Kalaranna architecture competition won by Kadarik Tüür Arhitektid OÜ
Out of the eleven entries submitted for 1 Kalaranna Street architecture competition, the entry named “Kesk-Küla” by Kadarik Tüür Arhitektid OÜ was considered to be the best (authors: Mihkel Tüür, Ott Kadarik, Viktoria Andrejeva, Marleen Stokkeby, Harri Kaplan, Kristi Tuurmann, Katerina Veerde, Raul Kalvo)
The jury noted the strong and clear general concept of “Kesk-Küla” by Kadarik Tüür Arhitektid OÜ with its peculiar urban design solution featuring an accessible built-up area and partially covered square within the area with functional paths in various directions. The architectural solution of “Kesk-Küla” also considers the potential of Kalaranna area as an urban high street. The buildings were valued for the roof terrace and balcony solutions allowing views of the area from various levels and also for the fine views from most flats either of the sea, square or street area.
The award for the winning entry is €25,000 and negotiations for the design contract with the competition winners will follow.
The third place was awarded to “Merekodu” by Arhitektuuribüroo Pluss OÜ (authors: Indrek Allmann, Indrek, Suigusaar, Jaan Jagomägi, Rebecca Kontus, Mae Köömnemägi, Tarmo Miller, Gunnar Kurusk, Tanno Tammesson, Kaspar Krass) and the entry named “Marmelaad” by architectural design office Kolm Pluss Üks OÜ (authors: Gert Guriev, Markus Kaasik, Kerstin Kivila, Mihkel Meriste, Andres Ojari, Siim Tiisvelt, Ilmar Valdur).
The award for the third-prize entries is €12,500.
The chairman of the board of Pro Kapital Grupp AS and the chairman of the jury Paolo Michelozzi said that the architectural solution of the winning entry was well thought through while considering also the peculiarities of the district. “The architectural solution of “Kesk-Küla” fits well in the city centre area meeting the needs of both Kalamaja district and the city centre. The exterior of the buildings and layout of the apartments consider the possibilities and views offered by the area. Similarly, the third-place entries were highly impressive providing interesting solutions and fascinating urban spaces,” Michelozzi added.
The author of the winning entry “Kesk-Küla” by architectural design office Kadarik Tüür Arhitektid OÜ said that their architectural concepts was based on the core in the centre of the area resulting in an additional square complementing the urban space. “The beach promenade typical of Tallinn will remain in Kalaranna, however, we will add another square within the area surrounded by an urban environment of 12 buildings,” Tüür emphasised. He added that the spatial layout of the buildings allows the construction of apartments overlooking at least two directions and further enhanced by spacious balconies and roof terraces. Another important aspect in the work included the emphasis on the well-advised park and beach area with the harbour providing people with direct access to the sea.”
The jury also decided to award two special prizes to the entry “Pärandmaastik” by Stuudio Tallinn (author Villem Tomiste) and “Klaiva” by architectural design office Didrihsons un Didrihsons SIA (authors: Ventis Didrihsons, Andris Gudinš, Liva Banka, Alise Jekabsone, Kaspars Lauga, Ivo Kalvelis).
The jury members of Kalaranna architecture competition included representatives of the Union of Estonian Architects, Tallinn City Planning Department and AS Pro Kapital Eesti.
The architecture competition for 1 Kalaranna Street was organised by the owner of the plot AS Pro Kapital Eesti in cooperation with the Union of Estonian Architects and Tallinn City Planning Department. The aim of the competition was to find a suitable architectural solution for the plot in keeping with the detailed plan, i.e. a permanent beach promenade with public spaces including the solutions for the built-up area allowing the district to develop into a comprehensive whole consistent with the general urban space of Tallinn.
11 Entries for Kalaranna Architecture Competition
Today, February 1, was the deadline for the architecture competition for 1 Kalaranna Street with altogether 11 entries submitted.
The chairman of the board of Pro Kapital Grupp AS Paolo Michelozzi said that they had been expecting to get a general architectural concept for the area and also a more detailed vision of the buildings and facilities.
According to the detailed plan, there should be a permanent beach promenade with public spaces including the solutions for the built-up area allowing the district to develop into a comprehensive whole in keeping with the general urban space of Tallinn.
“The entrants and results will be announced on February 20 once the jury has analysed the project and selected the solutions best meeting the visions of the detailed plan,” Michelozzi said.
The awards for the winning entries amount to 60,000 euros. Negotiations for the design contract with the competition winners will follow.
The jury members of Kalaranna architecture competition include representatives of the Union of Estonian Architects, Tallinn City Planning Department and AS Pro Kapital Eesti.
As you might have learned from the stock exchange press release published on Monday, 21st of November 2016, our subsidiary Tallinna Moekombinaat has signed a loan agreement with a leading global credit platform TSSP for financing the construction works of Tallinn T1 Shopping and Entertainment Centre.
TSSP is global credit and special situations platform of TPG, with over $19 billion of assets under management. TSSP has a long-term oriented and highly flexible capital base, allowing to invest across industries, geographies, capital structures, and asset classes. TSSP is primarily focused on private market transactions, but also have a substantial presence in the public markets. TPG is a global private investment firm with headquarters in San Francisco and Fort Worth, having over $70 billion under management with investment and operational teams in 18 offices around the world. Having invested in approximately 300 companies, TPG has built a diverse set of asset classes, including private equity, growth equity, public equity, credit, and real estate.
We think it is very important to point out that this loan agreement allows the company to meet all its financial needs for the construction of the Tallinn T1 Shopping Centre, which is a project of vital importance for the future of our company.
The process of verification of the Pro Kapital project, of the macroeconomic situation of the Baltic States and of the local real estate market by TSSP, a company of great international experience, confirms once again that the construction of T1 will be very important for the city of Tallinn and Pro Kapital.
This year, 2016, has definitely been extremely important; the additional issuance of the bonds listed in Stockholm and the finalization of this loan agreement allow us to give a huge impetus to our planned real estate developments. In fact, in addition to the ongoing construction of the T1 Shopping Centre, we have begun construction of the first building of Kliversala in Riga, we are starting a new phase of the “Kristiine City” complex in Tallinn and for the residential complex “Saltiniu Namai” in Vilnius the building permit for 2nd stage of the project has been obtained, presales and projecting works for the construction tender are ongoing. The pre-sales of these developments are progressing in a positive and regular way.
We are also confident that the agreement with TSSP will help give visibility to Pro Kapital in international financial markets.
We thank you for your investment and confidence in Pro Kapital.
Paolo Vittorio Michelozzi
AS Pro Kapital Grupp
Conclusion of financing agreement of T1 Shopping and Entertainment Centre in Tallinn
AS Pro Kapital Grupp (hereinafter Pro Kapital) informs that on 18.11.2016 its subsidiary AS Tallinna Moekombinaat signed a contract for financing the design and construction works of the T1 shopping and entertainment centre, located at Peterburi mnt. 2, Tallinn, Estonia, with TSSP, a leading global credit platform with approximately $19 billion in assets under management.
Total investment of the T1 shopping and entertainment center is ca 90 million EUR of which over 23 million EUR has been already invested by equity and shareholder financing.
The total volume of the financing agreement is 65 million EUR. The signed financing agreement and the funds at the disposal of Pro Kapital make the T1 shopping and entertainment center project fully funded and on track to open in autumn 2018.
The gross area of the T1 shopping and entertainment centre is ca 130,000 square meters, including close to 55,000 square meters of rental space with Selver hypermarket as one of the anchor tenants, strong focus on entertainment activities including multiscreen cinema, over 30 restaurants and cafès and 44 m diameter rooftop ferris wheel, unique in whole northern and eastern Europe. The construction works were started in 2015 by AS Merko Ehitus Eesti and the centre shall open its doors for visitors in autumn 2018.
AS Pro Kapital Grupp CEO Paolo Michelozzi comment: “For Pro Kapital the conclusion of the financing agreement of T1 has great importance. Such project means a strong new landmark not only for Pro Kapital but for the whole Tallinn and helps to form the district into a modern urban and business centre of the city. We are happy that our project, location and perspectives of Tallinn retail real estate market have drawn attention of the international finance market”.
T1 shopping and entertainment centre will be part of the new business city centre of Tallinn where the new planned Joint Passenger Terminal, Rail Baltica railway station and new City square bordering with new office and residential buildings will be located. Extended 4. tram line shall connect the whole complex with the City centre, Ülemiste City and Tallinn Airport.
AS Pro Kapital Grupp (www.prokapital.ee) is a leading Estonian real estate development company with a focus on modern large-scale commercial and residential real estate in the capitals of Estonia, Latvia and Lithuania. Since its establishment in 1994, Pro Kapital has completed over 20 development projects with ca 190 000 sqm of total saleable area.
TSSP is the global credit and special situations platform of TPG. Co-founded in 2009, TSSP has approximately $19 billion in assets under management. TSSP has a long-term oriented, highly flexible capital base that allows it to invest across industries, geographies, capital structures and asset classes, in distressed assets but also healthy and growth companies. TSSP’s investments are typically complex to source, analyze and execute. For more information, please visit www.tpg.com/platforms/tssp.
Pro Kapital starts with the architectural competition of Tallinna Kalasadam area
The detail plan of the surroundings of Tallinna Kalasadam that had been under process for several years, was established by the Council of the City of Tallinn this year in June. According to the provisions of the detail plan AS Pro Kapital Eesti, the owner of the land plot of Kalaranna 1, announces the start of the open architectural competition in cooperation with the Tallinn City Planning Departement and Estonian Association of Architects with the purpose to find the best solution for the buildings and the architectural urban space. In addition to the architectural solution for the buildings the task of the competition shall be to shape the seaside area into a conteporary and high quality open space offering wide range of choice of usage. The vision of Pro Kapital is to form the land plot into a city-wide attraction where the public areas as beach promenade, city park, sand beach and fish market shall border with attractive buildings, offering alongside the sea views options for public usage as cafès, restaurants and greeneries. The detail plan foresees the development of up to 400 apartments, spacious beach promenade and wide range of public areas and services.
Paolo Michelozzi, CEO of Pro Kapital: „We are very glad to be finally in such point with this project. It has been a long journey but thanks to the efforts of many institutions, including the city of Tallinn, the development of this beautiful area can be started. I am eager to see the results of the competition, for creating a positive added value for Tallinn and its people“.
The deadline for the entries is 1st of February 2017 and the prize money amounts to 60 000 EUR. Further information about the task of the competition and partecipation can be found on the website of Estonian Association of Architects www.arhliit.ee and homepage of Pro Kapital www.prokapital.ee
Pro Kapital Latvia´s daughter company concluded the construction agreement for River Breeze Residence in Klīversala.
Today, on the 13 June, 2016 the results of the general contractor competition for the construction of the River Breeze Residence have been confirmed and construction agreement signed.
The new apartment building in Riga, Klīversala, will be built by construction company “LNK Industries”. Construction will begin in July, but the building itself will be commitioned in 18 months – winter of 2017. The volume of the construction agreement is 12.6 mln eur, excluding VAT.
7 construction companies registered in Latvia took part in the competition. A general contractor is tasked with full scope of the construction and connections to all the engineering networks, as well as upkeep of the premises and the coastline.
River Breeze Residence on Kuģu str. 28 is the first building to be built as part of the Klīversalas area development, developed by A/S “Pro Kapital Latvia” daughter company SIA “Klīversala”. Total area of the building is 12 850 square meters, it has 7 floors and 2 underground parking sites. Currently 48 apartments are planned, their areas range from 56 to 316 square meters. At this moment 8 prepurchase agreements have been already signed.
Each apartment has a terrace and is equipped with individually regulated energy-efficient ventilation system. The upper floors have built-in fireplaces, while the other floors have an option for one. First floor apartments are constructed in a town house manner – in two levels, with a private, walled-off area, creating the feeling of a private house in the very center of Riga.
Paolo Michelozzi, CEO of AS Pro Kapital Group: “We are aware of how important the Klīversalas area is to Rigas urban environment, and we are planning the development of this territory with special reverance. The architects are planning to integrate “River Breeze Residence” seemlessly into the natural enviornment by decorating the roofs and roof terraces with various greenery and plants.”
Start of construction works of T1 Shopping Centre in Tallinn
AS Pro Kapital Grupp (hereinafter Pro Kapital) informs that on 29 May 2015 it subsidiary AS Tallinna Moekombinaat signed a contract for performing the design and construction works of a shopping and entertainment centre T1, located at Peterburi mnt. 2, Tallinn, Estonia, with AS Merko Ehitus Eesti, 100% owned subsidiary part of AS Merko Ehitus group.
The gross area of the centre is ca 130,000 square meters, including over 52,000 square meters of different rental space (retail, catering, multiscreen cinema and entertainment). There will be over 200 retail premises in the centre.
The works start in June 2015 and the centre is planned to open for visitors in autumn 2017. The value of the contract is approximately 70 million euros, plus value added tax.
AS Pro Kapital Grupp CEO Paolo Michelozzi comment: “We are extremely happy to announce the start of the construction of T1 shopping and entertainment centre. Using the experience we have had with Kristiine shopping centre in Tallinn and Domina Shopping in Riga we will create this centre to be really something new, attractive and emotional for the people of Tallinn. With Merko Ehitus we have had long cooperation experience before and we hope to achieve good results together”.
AS Merko Ehitus Eesti CEO Tiit Roben comment: “We thank Pro Kapital for trusting the fulfillment of such complicated and large contract to Merko. Pro Kapital has great experience in development of shopping centres and we are sure it helps to create T1 as special shopping and entertainment centre appreciated by clients.”
T1 shopping and entertainment centre will be part of the new city centre of Tallinn where will be located the new planned Joint Passenger Terminal, Rail Baltica railway station and new City square bordering with new office and residential buildings. Extended 4. tram line is planned to connect the whole complex with Tallinn Airport.
AS Pro Kapital Grupp (www.prokapital.ee) is a leading Estonian real estate development company with a focus on modern large-scale commercial and residential real estate in the capitals of Estonia, Latvia and Lithuania. Since its establishment in 1994, Pro Kapital has completed 20 development projects with ca 180 000 sqm of total saleable area.
AS Merko Ehitus Eesti (www.merko.ee) is Estonian leading construction company, which offers construction services in general construction, civil engineering, road, electrical and residential construction.
Results of the subscription of debt securities
AS Pro Kapital Grupp (hereinafter Pro Kapital) informed its investors on 20.04.2015 that Pro Kapital Management Board decided to announce the start of the subscription process of the secured, callable, fixed rate bonds (hereinafter the “Bonds”).
The Management Board has decided on the allocation of the first subscription of the Bonds as follows:
1. Pro Kapital will issue 70 Bonds with issue price of EUR 7 000 000;
2. the nominal value of the Bonds will be EUR 100,000 each;
3. the Bonds will carry interest at a 8%, p.a.;
4. the issue date of the first tranche of the Bonds is expected to take place on 01.06.2015
5. the final redemption date of the Bonds will take place on 31.05.2020.
6. the obligations and liabilities of Pro Kapital arising from the Bonds and related documents will be secured by the first ranking security over the following assets:
– all shares (including rights attached thereto) in the following companies owned by Pro Kapital and its subsidiaries (including all shares issued and acquired at any time in the future): AS Pro Kapital Eesti, Pro Kapital Latvia JSC, Pro Kapital Vilnius Real Estate UAB, PRO KAPITAL Germany GmbH, Pro Kapital Germany Holdings OÜ, OÜ Ilmarise Kvartal, Pro Halduse OÜ, OÜ Hotel Management Services, AS Tondi Kvartal, OÜ Marsi Elu, PK Hotel Management Services GmbH, “Klīversala RE” SIA, “Tallina nekustamie īpašumi” SIA, “NEKUSTAMO ĪPAŠUMU SABIEDRĪBA “ZVAIGZNES CENTRS”” SIA, “Hotel Management Services” SIA; In Vitam UAB; PK Invest UAB and Pro Kapital Bonum UAB;
– three banks accounts opened in connection with the issuance of the Bonds (escrow account, debt service account and deposit account);
7. the Bonds will be registered with Euroclear Sweden AB;
8. Pro Kapital plans to apply for the listing of the Bonds at the corporate bond list on Nasdaq Stockholm.
CEO of Pro Kapital Paolo Michelozzi comment on the first subscription of the Bonds: “we are glad that we have received positive feedback and demand from the investors and are satisfied with the allocation amount of the first subscription of the bonds. We had many contacts with investors and are making preparations for the next tranches of bond subscription”.
This notice has been published to comply with the rule 7.6. of the Requirement for Issuers of Nasdaq Tallinn Stock-Exchange.
Start of construction works of residential building located in Vilnius
AS Pro Kapital Grupp (hereinafter Pro Kapital) informs that the construction works of a new residential building in Vilnius were started yesterday (26.03.2015), based on the construction contract concluded between its subsidiary Pro Kapital Bonum UAB and UAB Merko Statyba on 01.08.2014.
As was informed with the stock-exchange release dated 04.08.2014 the subsidiary company of the group Pro Kapital Bonum UAB concluded the construction contract with UAB Merko Statyba for construction and design works of new residential apartment building in Vilnius on 01.08.2014. The lump sum of the contract is 10 013 120 (2 900 000 EUR), excluding VAT. The building will be located in Vilnius, Lithuania, in Saltiniu Namai residential building complex, which is being developed by Pro Kapital. The new building will have in total 41 apartments, 3 commercial premises and net sellable area of 2679 m2. The planned construction period is 15 months as of the start of the construction works.
As of 25.03.2015 Pro Kapital Bonum UAB has signed 12 reservation agreements out of 44 premises of the new building, corresponding to the pre-sale ratio of 30% from the total sellable area.
AS Pro Kapital Grupp CEO Paolo Michelozzi comment: “we are pleased with the sales results of Saltiniu Namai project in Vilnius and the sales results of the residential building we started to construct last year in February 2014. The construction of that building has been completed and 16 units out of 19 units have been presold. We have seen strong demand in the upper class residential market in Vilnius and have therefore decided to go forward with construction of yet another building in Vilnius”.
After the completion of this new building the first phase of the development of the Saltiniu Namai residential complex will be completed. The first phase of the development of the Saltiniu Namai residential complex includes in total 200 apartments, 27 commercial premises and 11 cottages. There will remain still unused development volume in the Saltiniu Namai residential complex in the second phase of the residential area.
Saltiniu Namai is a residential development project located in Vilnius Old Town. The business plan for the Saltiniu Namai residential quarter foresees a series of apartment buildings built in stages. The location is attractive for a residential area: it is located right in the Old Town and enjoys a good access both by cars and public transport. The creation of houses and cottages with leisure, sports and commercial zones is a remarkable contribution to the expansion of Vilnius city, where the conversion of abandoned industrial areas is prominent. Currently four five floor buildings with attics, one six floor building with attic and 11 private cottages have been built. Pro Kapital has already built 159 apartments, 11 cottages and 24 commercial premises with sellable area of 16 438 m2. Residents of Saltiniu Namai residential quarter are already enjoying the private courtyard, finished landscape works and fully equipped children‘s playground.
Pro Kapital Bonum UAB is a company, which belongs 100% to PK Invest UAB. PK Invest UAB is a 100% subsidiary of Pro Kapital Vilnus Real Estate UAB. Pro Kapital Vilnius Real Estate UAB is a 100% subsidiary of AS Pro Kapital Grupp. Pro Kapital Bonum UAB is the developer of the 44 unit building to be located in the Saltiniu Namai project in Vilnius Lithuania.
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