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Nature spa hotel to be built in NE Estonia for EUR 36 mln

An investment of nearly 36 million euros is to be made to build the first nature spa hotel of its kind on the northern shore of Lake Peipsi in northeastern Estonia.

The Estonian Business and Innovation Agency is supporting the tourism diversification project with 13 million euros from the Just Transition Fund, while the company Loodusspaahotell will invest an additional 23 million. This project is the first major tourism investment from the Just Transition Fund for East-Viru County and the largest tourism investment outside of Tallinn in recent years, as well as the most extensive development in the Lake Peipsi area.

“The nature spa hotel, with its modern business concept, will help develop the entire region and increase its popularity among both domestic and international tourists. The additional visitors will bring revenue to other local businesses and create new job opportunities. The new spa will also enhance the well-being of local residents,” Sigrid Harjo, a member of the management board of the Business and Innovation Agency, said.

The project will establish a unique nature spa hotel in Uusküla, Alutaguse municipality, East-Viru County, characterized by its location on the shores of Lake Peipsi, a nature-centric layout, and innovative service solutions. The nature spa hotel is designed to meet the LEED Gold certification quality standards, giving it high international environmental recognition.

“The planned nature spa hotel is not just an expression of function and form, but an experience enhancing visitors’ physical and mental well-being. The hotel will feature 97 rooms, a restaurant, two lounges, a multifunctional seminar room, a spa complex with pools, two spa suites, treatment areas, and many other interesting facilities. Each room and area will have its own identity in terms of architecture, design, and surrounding views, which is a completely new practice in spa hotel design. This highlights the impact of space and the content of services, not just their existence,” said Jako Kapp, a management board member and concept leader of Loodusspaahotell.

The nature spa hotel’s architectural design is by KUU Architects, interior design by ArtAku Interior Architecture Bureau, landscape design by KINO Landscape Architects, and the main designer is Projekt O2.

Anneli Lepp, head of tourism at the Business and Innovation Agency, said that East-Viru County needs a replacement for Russian tourists, and the new spa provides a good foundation for this.

“New distinctive offerings make the region more attractive to visitors from our other nearby markets, Finland and Latvia, on which the region’s tourism revenue largely depends,” said Lepp.

Tourism surveys by the Business and Innovation Agency indicate that 14 percent of Estonia’s foreign visitors use beauty and spa services, with 55 percent of them being Finns and 40 percent Latvians.

Kapp stated that the nature spa hotel will bring in 45,000-50,000 additional overnight stays annually and approximately two million euros in additional direct tax revenue for the state and local governments, along with indirect revenues benefiting other local businesses.

“Together with seasonal and indirect jobs, the project will create nearly 100 new jobs in the region,” Kapp said.

The Just Transition Fund is a European Union funding mechanism aimed at supporting the economy, people, and environment in regions facing significant socio-economic challenges due to the EU’s 2030 energy and climate targets and the goal of achieving climate neutrality by 2050.

Source: BNS

(Reproduction of BNS information in mass media and other websites without written consent of BNS is prohibited.)

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