Baltics

Future opportunities in Baltics

In the Baltics, Bonava develops housing in Riga (Latvia), Tallinn (Estonia) and Vilnius (Lithuania). These markets offer strong potential for profitable growth. The low quality of the existing housing stock, combined with growing demand for energy-efficient and well-designed homes, creates opportunities for the future.

Market potential and drivers

Bonava stands as the preeminent residential developer in the Baltic region. In Latvia, the company has maintained its position as the foremost residential developer for several consecutive years, while in Tallinn, Bonava has reasserted itself as the dominant market leader. In Lithuania, where Bonava initiated operations in 2020, it has successfully established a robust organisational structure and is spearheading multiple large-scale development projects. Herein lies substantial potential for Bonava to emerge as the leading player.

The markets across the three Baltic capitals are characterised by persistently low unemployment rates and a significant deficit in the quality of the existing housing stock, which generates considerable demand for contemporary, sustainable residences. As macroeconomic conditions progressively stabilise and improve, consumer purchasing power is anticipated to strengthen, thereby amplifying the inherent market potential.

Strategic focus going forward 

The market position of the business unit is strong, especially in Riga and Tallinn. Bonava will continue to strengthen control over purchasing, design and production, while prioritizing a good offering and a strong team in place. Vilnius is the largest region in terms of population and offers additional growth potential over time as it is the most recent market Bonava has entered.