Economy Hotel was built as a hotel at the end of the 19th century and reconstructed in the 1920's. There was a hotel and a restaurant-night bar in the building until 1940. The hotel building also survived the bombardment of March 9, 1944. when 53% of the residential areas of Tallinn were destroyed. In the Soviet times the house changed hands and served several functions. The history circle has been closed by today and the original function of the building has been restored.