Tallinna Kaubamaja            NEWS RELEASE                      10/23/2002



ESTABLISHING SHOPPING CENTRE IN TARTU



Tallinna  Kaubamaja Kinnisvara, a subsidiary of Tallinna Kaubamaja,  has

started  the  development of the so-called Hansa Quarter  in  a  central

location  in Tartu with the construction of a new business and  shopping

centre.



The Hansa Quarter of Tartu is composed of separate plots in Vanemuise 2,

Riia  1 and Küüni 14. The total size of the area is 8352 sq m. The  land

is owned by Tallinna Kaubamaja Kinnisvara.



The  business  centre  will  have  shopping,  service  and  office  area

amounting to ca 20 000 sq m. About a half of the space will be  operated

by Tartu Kaubamaja and the purpose and proportions of the remaining part

will be worked out in the near future.

In order to select the most suitable design, the developer will organise

an  architectural competition in cooperation with the Estonian Union  of

Architects. The winner will be selected in January 2003, after which the

technical design will be started. The construction is to begin in autumn

2003.  The  total project cost will be approximately 230 to 240  million

EEK  (14,7 to 15,3 million euros). The business and shopping centre will

be opened in autumn 2004.

     

     Additional information

     

     Peeter Kütt

     CEO of Tallinna Kaubamaja Kinnisvara

     Phone +372 6 674 220

     

     Urmas Pastarus

     Development Director of Tallinna Kaubamaja

     Phone +372 6 673 200





Katrin Mühls

CFO

+372 6 673 200