Construction volume down by 1.5% last year

News
Posted on 20 February 2026, 8:00

According to the preliminary data of Statistics Estonia, in 2025, the total production value of Estonian construction enterprises in Estonia and abroad decreased by 1.5% compared with 2024. The volume of construction declined for the fourth consecutive year. 

The total production value of Estonian construction enterprises in 2025 was 4 billion euros, including 2.5 billion euros’ worth of building construction and 1.5 billion euros’ worth of civil engineering. Compared with 2024, the volume of building construction fell by 1% and the volume of civil engineering works (roads, bridges, port facilities, pipelines, communication and electricity lines, sports fields, etc.) was down by 2%.

Merike Sinisaar. Photo: Statistics Estonia

Merike Sinisaar, leading analyst at Statistics Estonia, said that construction volume decreased for the fourth year in a row. “The trend was positive at the beginning of 2025. But from the second quarter onwards, we saw the continuation of the downtrend that has characterised construction volume in recent years,” explained Sinisaar.

On the domestic market, there was an increase in new building construction

Last year, the volume of construction declined by 1.4% on the domestic market. The volume of building construction increased by 1.9%, primarily due to new building construction. The volume of civil engineering decreased by 6.8%.

The construction volume of Estonian construction enterprises operating abroad fell by 1.2% in 2025 compared with the year before. The volume decreased for building construction and increased for civil engineering carried out abroad. In 2025, construction in foreign countries accounted for 7% of the total construction volume, which is the same as in 2024.

Change in construction volume index compared with the previous year, %

 Change in construction volume index compared with the previous year
2015-3.5
20164.6
201721.5
201812.3
20195.8
2020-6.0
20219.3
2022-1.2
2023-5.8
2024-6.2
2025-1.5

The share of detached houses grew last year

According to the Register of Construction Works, 6,059 new dwellings were completed in 2025, which is 4% more than the year before. "While the majority of completed dwellings are in blocks of flats, the share of detached houses has risen for two years now. The most popular type of residential building was still a block of flats with 3–5 storeys, with nearly a third of all new dwellings located in such buildings,” noted Sinisaar.

Based on the number of rooms, four-room dwellings accounted for the largest share of newly completed dwellings, followed by two- and three-room dwellings. In 2025, the average floor area of new dwellings was 95.7 square metres. Most of the completed dwellings are in Tallinn, followed by the rural municipalities in the vicinity of Tallinn, and Tartu county.

New dwellings by type of residential building, 2025

Type of residential building%
One-dwelling buildings30
Two-dwelling buildings3
Terraced houses9
With 1–2 storeys5
With 3–5 storeys30
With 6–8 storeys10
With 9 or more storeys13

Sinisaar said that the demand for new dwellings, which had remained low for four years, increased last year. “Building permits were issued for the construction of 6,695 dwellings, which is more than a third more than in 2024. A block of flats remains the most common type of residential building for which permits are issued,” she said.

Last year, the number of completed non-residential buildings was 1,199 with a useful floor area of 973,000 square metres. New office, warehouse and industrial premises accounted for the biggest share of non-residential building construction. Compared with 2024, there was an increase in both the useful floor area and the volume of completed non-residential buildings.

In the fourth quarter of 2025, the total production value of Estonian construction enterprises was 1.1 billion euros, which is 7% less than in the fourth quarter of 2024. The volume of building construction declined by a tenth and the volume of civil engineering by 1.4%.
 

Statistics Estonia collects and analyses data to produce construction statistics as commissioned by the Ministry of Economic Affairs and Communications, in order to understand how the Estonian economy is doing.

Data as at 20 February 2026 are published. The indicator values may change if there are any revisions made in the data sources after this date.

See also the construction section on our website. More detailed data have been published in the statistical database.

When using Statistics Estonia’s data and graphs, please indicate the source.

For further information:

Kaia-Liisa Tabri
Communications Partner
Marketing and Dissemination Department
Statistics Estonia
Tel +372 5196 9617
press [at] stat.ee (press[at]stat[dot]ee)

Photo: Shutterstock