Hepsor secures €40m for residential developments in Estonia

Real estate developer Hepsor has announced that its subsidiaries, Hepsor Phoenix 3 OÜ and Hepsor Phoenix 4 OÜ, have secured €40.3 mln in loan agreements with AS LHV Bank. 

Manufaktuuri 12

These funds will finance two key development projects within Tallinn’s Manufaktuuri quarter: Manufaktuuri Factory Phase I and Manufaktuuri 12.
Hepsor Phoenix 3 OÜ signed loan agreements totalling €33.3 mln to fund the construction of the first phase of the Manufaktuuri Factory at Manufaktuuri 5b. Concurrently, a construction contract for the same value was signed with Mitt & Perlebach OÜ. This initial phase, Hepsor's largest development to date, will see the construction of 152 new homes, covering a sales area of 10,420 m². Preparatory work began in Q2 2024, with construction slated for completion in Q4 2027. The Manufaktuuri Factory project is part of a broader initiative to regenerate a former industrial area into a modern urban space that blends historic ambiance with contemporary living.
Additionally, Hepsor Phoenix 4 OÜ secured a €7 mln loan agreement with AS LHV Bank for the residential development at Manufaktuuri 12. Construction, which commenced in July 2025 following a contract with Mitt & Perlebach OÜ, involves two apartment buildings with a combined 49 apartments and a total saleable area of 3,090 m². This project is expected to be completed in the second half of 2026.
Hepsor is developing the Manufaktuuri quarter in partnership with Tolaram Group. To date, 421 homes in the Sitsi Õunaaed and M7 developments have been completed, with 96% already sold.
Mihkel Mäger, Hepsor’s country manager for Estonia, said: ‘The Manufaktuuri Factory is a special project, not only in our portfolio, but also in the context of Tallinn. The Manufaktuuri Factory gives character to the whole quarter and is the heart of the future campus. Our goal is to create a building that is technically state-of-the-art, durable, and meets the expectations of a forward-looking living environment.”