ARCO VARA AS - NASDAQ OMX Baltic

The property in TOP Pirita includes several buildings constructed in 1988, including (i) a three-storey
technical centre with net floor space of 698.4 square meters, which houses the technical services for
entire complex; (ii) a two-storey building with a net floor space of 8,787 square meters used as
production facility, with indoor tennis courts and offices in the second floor; (iii) a three-storey former
press centre currently used as an office building with net floor space of 6,064 square meters; (iv) the
former yacht club reconstructed as a six-storey office with a net floor space of 3,788 square meters and
(v) a three-storey office and production building with a net floor space of 3,955 square meters.
The complex has very low vacancy rates and is thus generating stable rental cashflow. The expected
annual rental revenue of this property amounts to approximately EEK 16.6 million, including income
from the port administration.
The project company for TOP office complex is AS Tallinna Olümpiapurjespordikeskus. Arco Vara
owns 50 per cent of the company, with the remaining 50 per cent held by Regati Valduste OÜ.
Melon office and retail property in Tallinn, Estonia
The Melon retail property is located in Estonia Avenue in the Tallinn city centre, close to two other
popular shopping malls, Viru Centre and Tallinn Department Store (Kaubamaja). The Melon shopping
centre is surrounded by businesses and retail properties.
The five-storey office and shopping centre has 7,461 square meters of net floor space plus 46 parking
spaces and an auxiliary building in the inside courtyard with a net space of 1,230 square meters.
The building was constructed in the late 1950s and refurbished as a shopping centre in the 1990s.
Currently, the ground and first floors as used as a shopping centre with glass façade facing the street.
The upper three floors are used as offices. The auxiliary building is used as a substation for AS Eesti
Energia with sporting facilities in the two upper floors.
The property has approximately 1 per cent vacancy of the total space that is rented out. The property’s
expected annual rental income amounts to approximately EEK 11.4 million.
Arco Vara owns 50 per cent of Arco Ärikeskuse OÜ, the project company for the Melon property.
Another 50 per cent of the joint venture is held by Aberdeen OÜ.
Kerberon retail and office property on Kadaka road in Tallinn, Estonia
The Kerberon retail and office property is located in the Mustamäe suburb of Tallinn on 24,176 square
metres, surrounded by production, warehouse and commercial properties.
The Kerberon property comprises three buildings, five large halls and a warehouse. The three
buildings include (i) a two-storey warehouse and office building built about 5 years ago with a net
floor space of 1,862 square meters, (ii) a two-storey retail building built in the 1970s with 2,604 square
meters of sales area, technical facilities, warehousing and offices as well as a car wash and (iii) a twostorey
office and garage building built in the 1980s with a net floor space of 1,321 square meters, used
as offices and sales space and garage. Five additional halls (2,324 square metres of net space in total)
are used for warehousing purposes. The retail and office buildings are in a good condition and
currently produce expected annual rental revenue of approximately EEK 7.0 million.
Arco Investeeringud is planning to replace the two halls with a new modern warehouse with a net
floor space of 1,122 square meters. The demolition of the two halls is scheduled for March 2007 and
the construction will start in April 2007.
Arco Investeeringud owns 83 per cent of the project company OÜ Kerberon (17 per cent balance is
held by OÜ ISA Group), who in turn has a building title established with respect to the property.
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