Last year, EfTEN Ermi OÜ, a 100% subsidiary of EfTEN Real Estate Fund AS, in cooperation with the operator Tartu Südamekodu OÜ has completed the construction of the 120-bed elderly care home on the land used under building rights at 13 Ermi Street in Tila Village, Tartu County. Tartu Südamekodu OÜ started providing elderly care home services to clients from August 2024. The clients are satisfied, and the occupancy rate has exceeded initial expectations. Strong demand for elderly care home services will allow to start with second phase of construction and finish the part of the building that was initially built as a so-called grey finishing.
After the construction of phase II, it will be possible to accommodate an additional 60 client. EfTEN Ermi OÜ signed a contract for construction works with RIS Ehitus OÜ, who made the best offer. Construction works will start this week. The tender for selecting the builder was carried out in cooperation with Tartu Südamekodu OÜ, which is the operator of the “Tartu Südamekodu” elderly care home. The planned completion of the phase II construction works is July 2025. The rate of return on the investment to the fund under the lease agreement has been agreed at 8.1% of the investment per annum.
In addition, it is planned to build a solar park on the roof of the building.
The total cost of the project is approximately 1.3 million euros, plus VAT.
