RKAS not actively seeking sale of former Tallinn Prison plot

Despite agreeing to sell the former Tallinn Prison plot on Magasini tänav in 2019, Estonian state real estate management company Riigi Kinnisvara AS (RKAS) has yet to do so. According to RKAS, the sale of the site is not currently being actively pursued.

State Real Estate AS (RKAS) had planned to put the former Tallinn Prison site up for sale almost four years ago, however, that move was put on hold amid discussions that the plot could be used for buildings required by the state. After an oil spillage was subsequently discovered on the site, cleaning work was required.

Then, in May last year, ERR reported that a sale plan was expected to appear in 2022, yet the plot at Magasini 35 remains unsold.

Mihkel Mäger, director of real estate development at RKAS, told ERR, that the sale of the plot is not currently being actively pursued. "The properties on Magasini tänav are in the sales portfolio of RKAS, but there are no plans to sell them at the moment," he said.

Annely Jõgeva, head of communications at RKAS, added that it makes sense to have a certain reserve in mind in order to ensure the possibility of realizing the property's value should demand from potential buyers increase.

Jõgeva said that, as things stand, no parties have shown concrete interest in acquiring the site.

RKAS has partially demolished some of the buildings on the site and cleaned up the aforementioned pollution.

According to current plans, the site, which contains 12 building plots, with a combined floor space of 39,000 meters squared, has been earmarked for both commercial and residential use.

Tallinn Prison was located on Magasini tänav until 2018, when a new prison complex was completed in Soodevahe, on the border between Rae Municipality and the capital. Prisoners serving time at the Magasini tänav prison were therefore relocated to the new complex. The old facility was then handed over to the Estonian Defense Forces for training purposes.

However, Tallinn City Government soon grew wary of the exercises, and in summer 2019, the city withdrew permission for the defense forces to continue to use the site for training. Tallinn Deputy Mayor Vladimir Svet (Center) said, that residents of the Veerenni district had complained about smoke and noise produced as a result of the exercises.

"Military exercises certainly cannot take place on a regular basis in the immediate vicinity of a densely populated residential area," said Svet. "The Defense Forces should be able to conduct exercises in purpose-built areas, which that help to achieve the objectives of strengthening national defense without disturbing civilians," he added.


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Editor: Michael Cole

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