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The next chapter of Estonia’s success story extends beyond startup investment numbers and places ever greater emphasis on infrastructure and global attractiveness. As a major showcase of that, Tallinn’s Ülemiste district is set for a massive transformation, with close to €500M being invested over the coming years to create an international business and transport hub.
The area, located south of the city centre, already serves as a technology cluster and sits adjacent to both Tallinn Airport and the planned northern terminus of Rail Baltica.
Vision of a ‘City within a city’
According to Mainor Ülemiste, the development company behind the project, nearly 15 million people are expected to pass through Ülemiste annually once completed, travelling via the airport and the Rail Baltica Linda Terminal.
“Together with the Rail Baltica Linda terminal, the Ülemiste shopping centre and Tallinn Airport, we are creating an area that will no longer be merely a transport hub, but a ‘city within a city’ – a modern, pedestrian-friendly and international downtown with dense public space,” explained Sten Pärnits, chairman of Mainor Ülemiste’s management board, reports ERR.
What’s being built
The development includes:
- A 4,700-square-metre high-rise conference centre expected to generate €140 million in state tax revenues (designed by Zaha Hadid Architects)
- Four residential buildings totalling 400 apartments
- A park roughly the size of Tallinn’s Freedom Square
- A spa complex of up to 6,000 square metres, opening in 2028
- Potential for a 10,000-seat multifunctional hall (pending state and Estonian Olympic Committee funding)
By 2030, an estimated 25,000 people are expected to live, study and work in the district. Ülemiste City is already Estonia’s third-largest “economic city” by labour tax revenue, with firms based there generating nearly €3B in turnover in 2024, including several local unicorns and scale-ups.
Airport expansion
Located right next to the innovative district, Tallinn Airport is also undergoing a €75M upgrade to handle projected passenger growth from 3.5 million currently to five million by 2030. The expansion will introduce self-service baggage systems, automated boarding gates and improved facilities. Construction runs until 2028 across four phases to minimise disruption.
Airport chair Riivo Tuvike said that future Rail Baltica passengers will be able to check baggage at their starting point, with luggage transported directly to their final destination.
Rail Baltica Connection
The Linda Terminal, designed by Zaha Hadid Architects, is scheduled for completion in 2028 and will bring approximately two million additional passengers to Estonia annually. Construction is progressing on schedule, with Elron already installing the first waiting platforms for use in summer 2025. The concrete framework should be complete by the end of this year.
“Both Tallinn and Estonia have set a goal of attracting more investments and foreign visitors, and an attractive gateway with high-quality urban space and the conference centre we are developing will contribute to that,” Pärnits emphasised.
