Arco Vara’s profit for the year was significantly higher than expected

Arco Vara 2023, developer of integrated areas. Sales revenue for the year increased by 36% year-on-year to over €18 million, with a net profit of €3.6 million. This year, the real estate developer will continue with the development of residential estates and the construction of a padel centre in Tallinn and a project of private houses in Bulgaria.

“In 2023, Arco Vara exceeded its targets. We reached our target of a 20% return on equity and an exceptional profit margin in the development area,” says Miko Niinemäe, CEO of Arco Vara, commenting on the results. He believes that success will continue thanks to the company’s strong capital position, both in terms of financial performance and staff.

The last quarter of last year was particularly successful for Arco Vara, where the developer’s subsidiary Arco Tarcil managed to complete its first project, the Rannakalda phase of the Kodulahe quarter, ahead of schedule, allowing the developer to hand over 66 completed apartments to new homeowners in the last months of the year. “Last quarter saw the start of the transfer of Kodulahe’s Rannakalda homes, which resulted in a quarterly profit of EUR 4.5 million and sales revenue of more than EUR 17.5 million,” Niinemäe elaborates on the results of the last quarter of the year, adding that new sales of nearly EUR 3 million were also formalised during the period.

In Pirita, the Kuldlehe boutique project continued in 2023. Construction work started in March 2010 and is on schedule, with five luxury homes of unique architectural design due for completion in 2024. at the end of the first quarter. “We are also reporting good news from the Botanica Lozen Residences project in Bulgaria, where most of the 16 private homes have reached full height,” notes the development company’s CEO. 2023. As of the end of 2009, 5 houses in the Bulgarian private housing project have been sold, with an expected completion date in the last quarter of this year.

Arco Vara forecasts sales revenue of EUR 25.2 million and profit of EUR 2.2 million for the current year. This year, the real estate developer and its subsidiary Arco Tarc are ready to start the next two residential development projects in Tallinn, in the Kodulahe quarter and on the shores of Lake Harku. “We are looking forward to the projects in our detailed plan, as we would like to start construction of Sood 6 already in the first half of 2024 and the first phase of the Arcojärve development at the end of 2024,” Niinemäe opens up the plans ahead.

In addition, Arco Vara will build a modern padel centre with an area of nearly 2,000 square metres on Kolde puiestee in northern Tallinn, which will be completed in 2024. by the end of the year and where both recreational and competitive sports can be practised. “The building will be built by Arco Tarc and the centre will be operated by Padelstar,” adds Niinemäe.

Arco Vara invites all interested parties to participate in a webinar on 15. on 10 February 2024 at 10.00. The webinar will be held in Estonian. The seminar will present the 2023. Miko-Ove Niinemäe, CEO of the group, on the unaudited financial results for the fourth quarter of 2010.

The transmission will take place here. The webinar will be recorded and will remain public on the company’s website.