Luxurious rental apartment in Tallinn city center

Narva maantee 40, Tallinn, Estonia (Show on map) Apartment

Object overview

Our investment property, with the address Narva maantee 40, is a small 14,5m2 rental apartment in the prestigious Avangard building. The micro-apartment has a window facing the building’s quiet and private backyard. Avangard is a unique, refurbished rental building located in the centre of Tallinn, on the city’s main street. The historic building’s Art Nouveau facade, dating back to the early 20th century, is one of the few unique architectural gems left in Estonia that has withstood the test of time.

The tsarist building, with its historic front facade and ultramodern back, includes a luxurious foyer, leading guests to compact, yet lavish and functional micro-apartments. Our investment property is located on Tallinn’s main street, Narva mnt, opposite Tallinn University and a stone’s throw away from the historic Old Town of Tallinn. Other nearby points of interest include Kadriorg Park, Kadriorg Palace, Kumu Art Museum and the Port of Tallinn (a 10 minute walk away). The Port of Tallinn is used for traveling by over 10 million people every year.

Inside our rental building we have many rare amenities, which are unique to the market; including an indoor gym, a bicycle parking area, a laundry room, and a large common terrace with views of the surrounding city. Tallinn’s top restaurants, boutiques and shopping centres are all in the vicinity of our property, which is located on the outskirts of Kadriorg, one of the most desirable areas of Tallinn.

Avangard’s strategic location also makes it an easily reachable holiday rental from Tallinn’s airport, located merely 15 minutes away by car, perfect for holidaymakers and business travellers looking for central accommodation. Our property’s superb central area is ideal for short-term tenants who want to enjoy everything the city of Tallinn has to offer, with modern facilities and historic charm. Avangard is one of the few architectural gems left in Estonia that has withstood the test of time.

The historic building was originally built in the beginning of the 20th century, when Tallinn was still known as Reval, the destination for German nobility. Back in the day, the prestigious building was owned by Countess Maria Stenbock. Even back then, the property was used as a rental building, which served as the home away from home for Tallinn’s elite; housing aristocrats, wealthy merchants, bankers and industrialists.

WATCH VIDEO INTORDUCTION OF AVANGARD BUILDING

Investment case

The investment property in question is a small, suite-like apartment, perfect for tourists or short-term business visitors. Our apartment is ready to receive guests, granting an immediate cash flow from day-to-day rent. Guests can take advantage of various amenities, including gym, laundry room, bicycle parking area, and a common terrace on the 7th floor with amazing views of the Old Town and Tallinn Bay.

The demand for short-term rentals in Tallinn has skyrocketed over the years, thanks to Estonia’s newfound status as a leading startup scene. The University of Tallinn, with its modern new campus located opposite our property, has the largest number of international exchange students and foreign lecturers in the country. Also located across the road from the Avangard building is the famous Baltic Film, Media, Arts and Communication School.

The building’s one of a kind common areas make it the perfect property for luxurious short-term stays. Avangard’s developer is Scandium Kinnisvara, who specialise in micro-apartments and rental property developments. The developer focused on the implementation of state-of-the-art technology to provide visitors with luxury experiences, and investors with seamless property management. There truly is no other rental building on the market that can compare to Avangard.

The building’s entrance, elevator, common areas, and all of the apartments include smart locks. No keys are needed, making access both safe and convenient for visitors. Our apartment’s interior includes high-quality materials, allowing easy maintenance. Avangard has all the makings of a 5-star hotel on the inside, and all the character of a noble property from the outside. The entire building was designed and luxuriously built purposely for short-term rent.

Furthermore, the building has been installed with automatic meter reading technology to easily source water and electricity readings, facilitating the apartment’s property management. The property was restored back to its former glory in the autumn of 2018. Avangard reopened its doors in 2019, gracefully shining once again as it did back in the Tsarist era. The property’s numerous desirable qualities will ensure a profitable demand.

Avangard’s interior has been transformed by a renowned Estonian interior designer Lilia Kristianson, including a gorgeous roof terrace. Without a doubt, Avangard is the most luxurious rental building in Estonia, with a beautifully restored facade and all the luxurious modern-day finishes, which make it a desirable address. Visitors will no doubt queue to stay right next to Kadriorg Park and the majestic Kadriorg Palace, built for Catherine I of Russia by Peter the Great.

For the convenience of short-term guests, we will place 2 bicycle´s in the bike parking space, allowing guests to enjoy the neighbouring Kadriorg Park and the Old Town of Tallinn by bicycle. The incomparable location of our investment property, its interior and amenities will provide attractive rental yield for our investors. Our investment property is destined to serve as a luxury apartment for short-term rentals.

The costs of our investment include:

  • Apartment purchase price 68,558€
  • Extra storage room 4,900€
  • SPV, collateral agent and notary fee 680€
  • Furniture and interior design 3,500€
  • Smart lock and integration 1380€

Our total investment is of 79,018€, including furniture, a storage room and all administrative costs related to the property’s purchase. The ready-to-enjoy micro-apartment will be rented out daily via platforms like Airbnb and booking.com to further increase the rental yield. Our estimated net yield 8.3% from short-term rent.

Financials

€79,018 Latest Valuation
790,180 Shares
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€0.10 Latest Share Valuation
Latest Property Value €73,458
Amortised Purchase Costs €5,560
Latest Valuation €79,018

Documents

Apartment plan Download
Land Register document Download

For all other information about this investment, see the attached documents.

Safety guaranteed

This object has passed Reinvest24 test and secured by Collateral Agent mortgage.

Object price €79,018
98% funded €1,377 available
Net Rental Yield 8.30%
Gross Rental Yield 13.84%

Min. amount of investment - €100