The industrial history of the Peetri 26 property began in 1885, when Carl Julius Lesta established a small workshop on the lot. Over the years, this grew into an industrial complex consisting of several buildings. In 1918, the property was acquired by Georg and Hans Lellep, who founded the “G & H Lellep” metal factory—which also inspired the name of the development. The factory produced tools, furnace parts, locks, hinges, and wrought iron products. After World War II, the factory resumed operations, and during the Soviet era, it operated under the name “Võit,” focusing on the agricultural and machinery industries.

The factory played a significant role in both Tartu’s industrial history and the development of mechanical engineering in Estonia. The urban landscape around Peetri 26 was largely shaped by the factory—residential neighborhoods for workers developed alongside industrial and warehouse buildings, and the area became an important part of Tartu’s industrial heritage. The architecture of the new development draws on the spatial character and material language of the historic metal factory, carrying forward the area’s industrial identity.