The 150-year-old red-brick warehouse known as Beti ait, located in the Ülejõe district of Pärnu, has been brought back to life. Through the Estateguru platform, nearly 10,000 investors contributed a total of €4.4 million to transform this historic commercial building into luxury lofts. Capital flowed into Pärnu from 75 countries around the world – a strong example of how investments into Estonia can also come from the grassroots level.
The building, which has now been given a new lease of life, originally housed A. Lange & Co’s flax processing company in 1870, including a three-storey red-brick warehouse. In 1890, the property was taken over by Thomas Bett and his company Bett & Co, which specialised in export and import. It was from here that the name Beti ait emerged – a name that is still used today.
“Vagabondi Lofts is a very special project for us, as it combines modern architecture, thoughtful layouts, and the development of a historically rich neighbourhood. It is one of the first larger-scale loft-style residential projects in Pärnu, bringing a new level of design and living standards to the city. We believe it gives Pärnu a fresh face and attracts both younger residents and investors,” says Rauno Loonurm, CEO of Miston Capital, who led the development. He considers Pärnu’s property market to be stable and attractive when it comes to high-quality projects.
Property-backed investing
According to Daniil Aal, CEO of Estateguru, the project is a prime example of the different ways investment can be channelled into Estonia.
“Traditionally, investment into Estonia is understood as the construction of a factory or production facility. In this case, however, €4.4 million was invested in stimulating the economy. At the same time, Pärnu gained a new landmark that will enrich the cityscape for decades to come.”
For Loonurm, raising capital through the platform was a strategic choice. “It gave us flexibility, speed, and the opportunity to access resources without lengthy or complicated processes. Estateguru has a professional team and strong experience with similar developments, which gave us confidence,” he explains.
He adds that the outcome has fully met expectations: “We are very satisfied with the result. We received the necessary funding at the right time, the project progressed according to plan, and we’ve received positive feedback from clients and partners alike. Estateguru – and the thousands of investors behind it – supported us throughout the process, and we will certainly consider using the platform again in the future.”
In this particular case, €4.4 million was invested in Pärnu, enabling the development of 44 new residential or commercial units.
