Annelinn and Karlova are two neighbourhoods in Tartu representing two important and very different parts of the city’s housing stock. Together, they accommodate approximately one-third of Tartu’s entire population of 32,995 residents, reflecting both the technical and social challenges of renovation. Annelinn includes a large number of typical Soviet-era apartment buildings, where renovation can have a significant impact due to the scale and high energy use of the building stock. Karlova, in contrast, is a historic wooden district where renovation requires more tailored solutions, balancing energy efficiency with heritage preservation. Together, these areas were selected as a CEESEN-BENDER pilot because they are suitable for testing solutions that can be applied more widely across the city.

Many buildings in the pilot areas are old and energy-inefficient, leading to high heating costs. Priority buildings were identified using a CEESEN-BENDER tool based mainly on socio-economic indicators — income, household structure, and elderly share — and are mainly pre-1990 apartment buildings with lower or unknown energy performance and more vulnerable residents. A significant share of residents have limited financial capacity, making it difficult to co-finance renovation even with available grants. Main funding comes from the national renovation grant managed by the Estonian Business and Innovation Agency (EIS), covering up to 30–50% of costs and combined with bank loans, though calls are periodic and currently closed, and no dedicated schemes for energy-poor households exist. Renovation aims to achieve at least energy class C, reducing energy demand by 50–60% and improving indoor comfort, with three pilot buildings having already applied for renovation support and currently awaiting results.