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Factory Reconstruction

A new way to renovate apartment buildings

Factory reconstruction is an innovative method for renovating apartment buildings. In the factory, exterior wall elements (and, optionally, roof elements) are manufactured ready with insulation, windows, ventilation ducts, and a finished façade. These prefabricated panels are then transported to the building site and affixed to the existing structure. The key difference from traditional on-site renovation is that all façade works are done in the factory, while only assembly occurs on site.

There are approximately 14,000 apartment buildings in Estonia that need renovation within the next 20 years. Factory reconstruction can help to significantly increase the pace of this renovation effort.

How does the assembly process work?

Alongside speed, factory reconstruction delivers quality. Nothing is left to chance or the builder’s estimation: a 3D laser scan of the building is taken, and panels custom-made for that building are produced, already integrating windows, ventilation ducts, and insulation.

Production takes place in a warm, dry factory, and panels are packed weatherproof before transport to avoid weather-related construction problems. On site, a crane lifts the panels into place. Afterwards, the old windows are removed and inner window reveals are finished inside the apartments.

What are the advantages of factory reconstruction?

  • Digital solution. A 3D scan ensures tailor-fitted panels without guesswork.

  • Convenience. The building is not wrapped in scaffolding for weeks; factory-built elements are installed by crane.

  • Speed. On-site work is up to one-third faster.

  • Higher quality. Panels made in factory conditions with controlled environment; quick on-site installation reduces exposure to weather risks.

  • Higher grant rate. Those opting for factory reconstruction are eligible for reimbursement of 50 % of eligible costs. In locations like Tallinn and Tartu — where the usual grant rate is 30 % — factory reconstruction becomes a more favorable option for associations.

The factories participating in the EIS pilot project and experienced in element manufacturing include: EstNor OÜ, KMT Prefab OÜ, Matek AS and Timbeco Woodhouse OÜ.

From process to result — client experience

Factory reconstruction got a boost through the EIS pilot project, in which nearly €17 million was allocated to support this innovative and more efficient renovation method.

Buildings already renovated (or under renovation) using factory reconstruction are found in Tallinn, Tartu, Pärnu, Sindi, Saue, Kambja, Tõrvandi, Kehtna, Kuressaare, and Orgita.

Watch the videos to see the experience of two apartment associations.

Additional information

For the period 2022–2027, the state has allocated €330 million for apartment building renovation through EU structural funds. Associations may choose factory reconstruction in these calls.

Read more about the Reconstruction Grant 2022–2027.

When clarifying grant conditions, you can also seek assistance from your local County Development Centre (except in Harju County, where EIS provides support; in Ida-Viru County, where the Ida-Viru County Municipalities Association provide support; and in Lääne-Viru County, where the Lääne-Viru County Municipalities Association provides support).