REGENSBURG GREEN SOCIAL AND AFFORDABLE HOUSING

The operation will support the municipal housing company of the City of Regensburg in the implementation of its multiannual investment programme. The related investments comprise the new construction and energy-efficient retrofitting of rented social and affordable housing.

The aim is to increase the number of available social and affordable housing units and to upgrade the existing housing stock. This is expected to increase the supply of adequate affordable accommodation, thus alleviating current shortages in the local housing market.

The project is in line with the InvestEU objective of 1 Social infrastructure and services 1.1 Affordable Social Housing (a) provision of non-segregated and accessible rental social housing, for example through construction or acquisition of housing units. The Project is expected to provide new and refurbished housing units for rent for low- and moderate-income households, therefore increasing the market flexibility to respond to the current social and affordable housing needs in the City of Regensburg. The proposed project will contribute to urban regeneration and transformation of neighbourhoods to make them more sustainable. 

The Project contributes to the achievement of numerous UN Sustainable Development Goals and is in accordance with the provisions of the new Leipzig Charter for sustainable urban development, and the 2022 Nice Declaration on affordable, sustainable and resilient housing. The implementation of the energy efficiency projects financed under this operation will contribute to the achievement of Germany's National Energy Climate Plan that sets ambitious targets of carbon emissions' abatement, and the implementation of the German Long Term Renovation Strategy. The operation is aligned with the EU Energy Performance of Building Directive (EPBD) and the Energy Efficiency Directive (EED).

The Project is eligible under the Bank's Urban Lending Review and supports the Bank's lending priority objectives on Energy Efficiency and the transversal objectives on Climate Action. 

The project will increase the supply and quality of social and affordable housing for rent, thereby providing energy efficient housing options for low and medium income households. The Project fosters social inclusion as well as a more equitable access to housing. It will generate positive externalities through improved provision of housing facilities and attractiveness of the built environment. The Project is expected to contribute to the provision of high quality and energy efficient buildings, which will also lead to lower operating costs and energy bills for low and moderate-income households.

The loan from the Bank plays a crucial role in supporting Stadtbau-GmbH Regesnburg's extensive housing investment program and establishing a stable long-term funding foundation. The Bank will provide an unsecured loan, which will be effectively subordinated to the Borrower's standard mortgage loans and will thus help the Borrower to optimize its asset encumbrance levels with a view towards mobilising traditional mortgage funding for its ambitious investment programme. It will also enable the Borrower to access funds over an extended period matching the project implementation period, while the repayment structure aligns with the long-term nature of these investments.

The project would not have been carried out (to the same extent) by the EIB without the InvestEU support

Compliance with the relevant EU Directives will be verified during appraisal: EU Environmental Impact Assessment (EIA) Directive 2011/92/EU, EU SEA Directive 2001/42/EC, EU Habitats Directive 92/43/EEC and EU Birds Directive 2009/147/EC. Applicable energy efficiency requirements in line with the EU Directive on the Energy Performance of Buildings 2010/31/EU will also be further assessed during appraisal.

The promoter has been assessed by the EIB as being a private company not being subject to EU rules on public procurement or concessions.