Poland launches social housing loan programme
Bank Gospodarstwa Krajowego (BGK) of Poland has published the results of its scoring assessment and the ranking list of applications submitted by borrowers that received a positive creditworthiness evaluation under the 20th (spring) edition of the Social Rental Housing (SBC) programme.
The programme will support the construction of nearly 9,600 new social housing units, CE Report informs via the Ministry of Economic Development and Tecnology of the Republic of Poland's official website.
Housing Investment
This year's edition of the programme is being implemented thanks to state budget funding allocated to subsidize the preferential interest rates on SBC loans. The funding will enable BGK to launch lending worth a total of PLN 2.188 billion, making it possible to finance a record number of housing projects.
Within the available funding limit, 183 projects carried out by Social Housing Associations (TBS) and Social Housing Initiatives (SIM) will receive financing. These developments are expected to deliver 9,574 social rental apartments with affordable rents.
The 20th edition is the largest since the preferential SBC loan programme was launched in 2016. Both the number of preliminarily approved projects and the planned number of apartments are the highest in the programme's history.
"The record level of interest confirms that government programmes are meeting the needs of social housing investors, supporting local governments in addressing housing demand, and increasing the availability of affordable rental housing, particularly for individuals and families with middle incomes," said Deputy Minister of Development and Technology Tomasz Lewandowski.
The preferential SBC loan is one of the government's main financing instruments for social rental housing. It enables TBS and SIM organizations to carry out residential developments by providing long-term financing on preferential terms. It also complements non-repayable support from the Subsidy Fund under the Social and Municipal Housing Support Programme (BSK).
Combining the two financing instruments allows affordable rental housing projects to be delivered while improving the efficiency of public spending dedicated to expanding Poland's social rental housing sector.
"The launch of more than 180 TBS and SIM projects across the country will result in approximately 9,600 new social housing units offering affordable rents and high standards. This is another—but not the final—step in strengthening social rental housing as a central pillar of the state's housing policy," Deputy Minister Lewandowski added.
Photo Ministry of Economic Development and Tecnology of the Republic of Poland
