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Premises and infrastructure

Free trade zones

There are four free trade zones in Estonia

All free zones in Estonia are open to foreign direct investments.

Goods in the free trade zone are considered as being outside the customs territory. Goods brought to the free zone for later re-export are not subject to VAT, excise nor customs duties. Also the Estonian speciality - no tax on reinvested profits - preserves in free trade zones.

The free trade zones are established by the Estonian governemnt and the Estonian Tax and Customs Board is responsible for monitoring the movement of goods in the free trade zones.


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There are no particular restrictions for foreigners acquiring immovables in Estonia. General restrictions fall into two main types according to the Restrictions on Acquisition of Immovables Act:

  • restrictions arising from the acquisition of 10 hectares or more of agricultural or forested land;

  • restrictions arising from national defence reasons.

The Government may grant authorisation to foreigners for acquisition of an immovable in one of the two categories above for reasons significant to the State.

The following table shows the indicative range for rents (excluding VAT and operating expenses) in major towns of Estonia for class A and B1 office premises, medium-size retail units in major shopping centres, and new and renovated warehouses (EUR/m2 per month):


Type of space






5.5 - 15.1

4.8 - 11.5

4.0 - 8.0

3.1 - 5.5


9.6 - 35.2

6.4 - 22.0

6.0 - 14.0

5.5 - 12.9


2.8 - 5.0

2.0 - 4.0

1.6 - 4.4

1.9 - 3.8

Source: Colliers International Advisors, Estonia

Class A -property under management by a professional management company, located in Downtown (Südalinn), completely new construction, fully controllable technical systems, reasonable column spacing, raised floors and suspended ceilings, a good underground parking ratio, corresponding infrastructure/amenities in the building (including cafeteria).

Class B1 -reconstructed or newly constructed buildings with fully or partially replaced technical systems, located in City Centre (Kesklinn) or on the edge of the City Centre; possibility exists to install raised floors and suspended ceilings, western-standard interior fit-out, and surface parking.


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Real estate agents:



Estonian Power System today is the compound complex, where Narva oil shale fired power plants, Iru combined heat and power plant (near Tallinn), wind parks and restored hydro plants work together.

Estonian Power Grid is connected with Russian, Latvian and with a maritime cable (300 MW) to Finnish (Nordic Grid). Second cable link project (600 MW) has been approved and will be operational by 2014.

The largest energy provider in Estonia is Eesti Energia, a 100% state-owned company.  Eesti Energia is the largest employer in Estonia and its bonds are listed on the London Stock Exchange.

The Estonian energy system is the only predominantly oil-shale-based energy production system in the world.

As of January 2013 Estonia has an open electricity market.

The price of electricity is comprised of four components: electricity, network service, renewable energy support, and excise duty.

The price of the elctricity on the open market can be followed through Nord Pool Spot http://www.nordpoolspot.com/


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Industrial gas

Natural gas is imported into Estonia from Russia and from the Inchukalns underground gas storage in Latvia.  Gas is distributed to customers through gas pipelines, distribution stations and gas pressure reduction stations. Estonia's natural gas company is Eesti Gaas.  Network services to all participants in the natural gas market in the territory of Estonia are provided by EG Võrguteenus.The price of gas consists of three elements: gas, network service, and excise duty.

The price of natural gas for domestic users consuming 100 000 m3 or more per year is EUR 0.351 per m3 (excluding VAT). The price for industrial users is subject to negotiations.


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Water supply and waste water services are provided by local water companies: e.g., Tallinna Vesi serves the City of Tallinn and in its surrounding areas; Narva Vesi serves City of Narva and Narva-Jõesuu.

The cost of water for industrial use in Tallinn is approximately 2.3 EUR per m3 (excluding VAT).

Exact prices are available on the home page of the respective company.


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Broadband network

Estonia has a highly developed telecommunications and IT infrastructure. A fibre optic backbone network connects all Estonian country centres.

By 2015, all Estonian households, enterprises and institutions will have access to broadband with a data connection speed of up to 100 Mbit/s. The Estonian Broadband Development Foundation's objective is to build a network of fibre optic cables across Estonia to make that possible.

Estonia is completely covered by digital networks providing wireless internet.  A network of Public Access Points covers most cities and towns.


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