Signature(s)
Summary sheet
- Urban development - Construction
The multi-beneficiary intermediated loan will finance the construction of affordable housing for rental purposes, known as "logement locatif intermédiaire" (LLI), by housing providers in France.
The aim is to increase the supply of housing for middle-income families across the country. The project will support both private and public sector entities in the LLI sector, implementing regulated affordable housing which comply with ceilings of household income and rents. The regional focus is on areas facing housing difficulties as defined by the French Government, thus contributing to urban regeneration and renewal. Part of the investment programme will contribute to new highly energy-efficient affordable rental housing.
The Project is expected to increase the supply of affordable housing for rent and to increase the market flexibility to respond to the current affordable housing needs. The overall environmental and social impact of the Project is expected to be positive, with high environmental standards and notable social externalities. More widely, the Project is expected to contribute to urban regeneration and renewal with improvements to the quality and attractiveness of the built environment including climate mitigation measures. High energy efficiency standards will also lead to lower operating costs and energy bills for medium income tenants. EIB loans via the intermediated financing will complement the traditional variable rate offer to affordable housing with flexible financing solution (fixed rate, very long maturity, different repayment structures) to be offered to the ultimate beneficiaries.
The operation falls within the scope of the EIB's Environmental and Social Standards - "Standard 11 Intermediated Finance". The Borrower / Financial Intermediary has adequate capacity, systems and processes in place for identifying, assessing, managing and monitoring environmental, climate and social (ECS) risks related to the potential sub-projects benefitting from EIB support. The Final beneficiaries will be required to comply with applicable national and EU legislation in respect of environmental and social matters, as appropriate.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.