MERKO in Lithuania: The Beginning of the Year Marked by Strategic Projects
The first quarter of 2026 was exceptional for MERKO in Lithuania, with construction contracts worth EUR 374 million signed during the period. At the same time, work continued on previously launched residential development projects carried out by the company, as well as on other general contracting projects.
Strategic General Contracting Projects
The beginning of this year was particularly significant for MERKO in Lithuania due to the signing of two separate public-private partnership (PPP) agreements with the Ministry of National Defence of the Republic of Lithuania in early January for the design and construction of the B and C sections of the Rūdninkai military campus.
During the first quarter, preparatory works already commenced within the Rūdninkai military training area – construction site infrastructure is being installed, and the first machinery has arrived on site.
According to Saulius Putrimas, Head of MERKO in Lithuania, projects of this scale involve lengthy design and preparation stages; therefore, their greater impact on the company’s financial results is expected to become more visible in the second half of the year and throughout 2027.
“At the moment, the construction market is mainly driven by public sector infrastructure, defence, and residential housing projects. The Rūdninkai military campus is important both for Lithuania’s strategic infrastructure and for the entire construction sector. Projects of this scale require long preparation periods, extensive expertise, and the ability to ensure quality over the long term,” says S. Putrimas.
During the first quarter, work also continued in the renewable energy sector, with the company’s team implementing wind farm infrastructure projects in the Kelmė, Pagėgiai, and Telšiai regions, as well as beyond Lithuania’s borders, where a project is being carried out in Latvia together with partners.
“In recent years, we have seen growing investment demand in both the energy and defence infrastructure sectors. These are long-term directions that will continue to shape the market in the coming years,” the executive shares his insights.
In the first quarter of 2026, the turnover of UAB Merko statyba from general contracting agreements amounted to EUR 15.4 million, compared to EUR 23 million during the same period last year.
Residential Housing Segment: High-Demand Projects and Active Expansion
During the first quarter of this year, MERKO signed 58 preliminary apartment sale and purchase agreements. During the same period in 2025, the company signed 74 such agreements.
S. Putrimas notes that buyer interest has increased, while limited supply is slowing overall sales volumes. The greatest attention is being attracted by energy-efficient residential projects developed in attractive locations across Vilnius. Currently, two projects are being actively developed – the final stage of “Vilnelės skverai” in Markučiai and “Šnipiškių Urban” in Šnipiškės.
According to the executive, the residential housing market is currently experiencing increased activity, allowing the company to plan new projects with greater confidence.
“We see that high-quality housing continues to attract strong demand. Residents value not only the quality of the homes themselves, but also the surrounding environment, location, energy efficiency, and overall quality of life. Therefore, we are actively working on expanding the pipeline of new projects and planning further development,” says S. Putrimas.
This year, the company expects to obtain construction permits and begin work on three additional projects in Vilnius – on Pelesos, Žalgirio, and Žirmūnų streets. The company also plans to broaden its investment portfolio. Until now, MERKO has developed residential projects only in Vilnius; however, this year a new project is also planned in Kaunas, on Brastos Street.