Estonia’s spa sector is heating up with a 20% increase in accommodation capacity

Estonia is undergoing a spa hotel renaissance as highlighted by tourism authority Visit Estonia. The country already offers some 4,000 spa hotel rooms, serving up to 8,000 guests at once according to the tourism agency. 

Over the next several years, up to a 20% rise in accommodation capacity is expected—driven by ambitious new projects in lakeside, coastal, and inland settings. These resorts are not simply adding rooms; they’re being designed to stretch the tourism season, draw foreign visitors, and spur regional economic development.

New Resorts Anchoring Nature & Wellness

By Lake Viljandi, a four-story spa hotel and swimming complex is rising, slated to open in summer 2027. The €30 million facility will include 150 rooms, a water and sauna center, a restaurant, conference facilities, and an eight-lane swimming pool that will also be accessible to local schools. The building, spanning about 15,800 square meters, represents decades of planning finally coming to fruition.

Hestia Hotels are expanding its Haapsalu Spa with a new hotel wing, larger sauna and water areas, and conference facilities in this city, considered as the “Venice of Estonia” and located on the West Coast. 

On the northern shore of Lake Peipsi, in the village of Uusküla (Alutaguse municipality), a “nature spa hotel” is also in development. The project, budgeted at approximately €36 million, is being partially funded by the Estonian Business and Innovation Agency through the EU’s Just Transition Fund. The fund provides €13 million. Developers plan roughly 97 guest rooms, a spa complex with pools, two spa suites, seminar spaces, and restaurants and lounges. It’s designed with environmental care in mind (LEED Gold certification) and intends to appeal to both domestic and international travelers, while creating around 100 new jobs. The target completion is summer 2026.

In Elva, Southern Estonia, plans are underway to build a 60-room spa hotel with a swimming pool, up to 1,000 square meters of spa space, and 500 square meters of conference facilities by Lake Arbi. Estimated investment is more than €10 million, though construction will depend on private operators and securing the formal planning permissions.

Finally, the historical beach city of Pärnu will see a major seafront hotel and conference facility by 2027. The future property will have 210 rooms and a 7,000 m² conference center with guest apartments. The design includes twin buildings joined by a second-floor gallery and substantial underground parking. The project carries a price tag of about €50 million.

A strategic investment to spread tourism benefits throughout the year

These developments reflect more than simply meeting tourist demand: they are part of a strategic drive to spread tourism benefits more evenly across Estonia. Coastal towns, lakeside retreats, and smaller municipalities are being tapped. Government support, especially via funds like the Just Transition Fund, is increasingly crucial—not only to underwrite infrastructure, but to attract investment in regions that have lagged behind economically.

An additional aim is extending Estonia tourism season beyond summer. Spa hotels offer wellness, indoor aquatic amenities, and conference facilities—amenities that draw guests outside the height of summer.

Estonia seems poised to deliver a meaningful lift to wellness tourism activities. If all these projects launch and operate on schedule, the spa-hotel room inventory will help to transform Estonia’s wellness tourism profile both for nearby markets (Finland, Latvia, etc.) and longer-haul visitors.

Related News Stories:  Visit Sweden - TravelMole