The Tallinn city government has agreed to extend rent discounts for businesses operating on city-owned premises in the city center until April 30, 2021 and to make the discount of up to 80% available also to tenants of commercial premises outside the city center.
Under the measure, a rent discount of 80% is available from January 1 to April 30 next year to tenants of city-owned commercial premises in the City Center (Kesklinn) district who are active in food services, retail or entertainment. Specific terms apply to the building at 26 Viru Street, where the tenant gets a rent discount of 30% and the tenant operating a nightclub a discount of 100%, spokespeople for the city have said.
Tenants who use a structure of the city, such as a terrace, for their business can get a discount of 100%.
Previously the rent discounts were extended by the city government on October 22, Deputy Mayor Aivar Riisalu said.
“The discounts constitute state aid, and thereby the negative impacts arising from the COVID-19 virus are mitigated,” Riisalu said, explaining that the collapse of tourism had delivered the hardest blow to business operators active in the city center whose business was geared mainly towards tourists.
The discount can be offered until April 30, 2021 also to business operators active in food services, retail or entertainment who use city-owned properties outside the City Center district on the basis of a regulation of the city council dated June 13, 2013. The discount of up to 80% is to be made available to tenants who applied for tenancy or were granted it prior to September 1.
The granting of the discount will be decided by a committee.
The discount will not be available to business operators who have arrears to the city as at the 15th day of the month when the discount is awarded. (ERR/Business World Magazine)
