EBRD Extends €120 Million Loan to AFI Europe to Drive Sustainable Real Estate Growth in CEE

EBRD Extends €120 Million Loan to AFI Europe to Drive Sustainable Real Estate Growth in CEE

(IN BRIEF) The EBRD has provided a regional loan of up to €120 million to AFI Europe to fund its expansion in Serbia, Poland, Romania, and Czechia. The financing will support the development of AFI’s modern portfolio in central and eastern Europe while ensuring that all financed buildings achieve high-level sustainability certifications. Additionally, AFI will implement a Corporate Climate Governance action plan, aligning with the upcoming EU Corporate Sustainability Reporting Directive. The loan is part of the EBRD’s broader strategy to promote the green transition and address housing challenges across the region, with AFI Europe strengthening its position in the private rented sector in key markets.

(PRESS RELEASE) LONDON, 5-Apr-2025 — /EuropaWire/ — The European Bank for Reconstruction and Development (EBRD) has extended a regional loan of up to €120 million to AFI Europe to support its expansion across Serbia, Poland, Romania, and Czechia. This financing will enable AFI, a prominent regional developer and commercial real estate operator, to broaden its modern portfolio of residential and commercial properties throughout central and eastern Europe (CEE).

A key condition of the loan is that all buildings financed will obtain high-level sustainability certifications, in line with the EBRD’s Green Economy Transition approach. Moreover, with the EBRD’s support, AFI has committed to implementing a robust Corporate Climate Governance action plan that aligns with the upcoming EU Corporate Sustainability Reporting Directive. This initiative underscores AFI’s dedication to integrating environmental, social, and governance (ESG) principles into its long-term strategy.

Vlaho Kojakovic, EBRD Head of Real Estate, commented, “We are delighted to back AFI Europe’s expansion across the CEE and Western Balkans regions. This initiative dovetails with our Real Estate Sector Strategy 2025-29, which prioritises investments in the green transition, the enhancement of human capital resilience, and the mitigation of housing and affordability challenges. By incorporating stringent climate governance and securing high-level green certifications for all financed assets, we are reinforcing market resilience and accelerating the shift to a low-carbon economy. Addressing housing shortages remains a critical component of our strategy, and AFI Europe has already distinguished itself in the private rented sector (PRS) in Poland and the Czech Republic, while introducing this model in Serbia and planning its establishment in Romania.”

Anat Dafna, AFI Group Chief Financial Officer, added, “We are excited to launch this new partnership with the EBRD, which will enable us to advance our growth strategy and expand our portfolio in the region. This financing enhances our liquidity position and reaffirms our commitment to sustainability. We are focused on growing our portfolio, particularly in the office and residential rental segments, across central and eastern Europe.”

AFI Europe, a major developer and landlord of income-generating commercial real estate, primarily focuses on offices and residential-for-rent projects, as well as selected shopping malls and retail parks. Incorporated in the Netherlands and fully owned by AFI Properties Ltd—an Israeli real estate holding group listed on the Tel Aviv Stock Exchange—AFI is poised to continue its leadership in the region with this new financing.

Media Contact:

Email: media@ebrd.com

SOURCE: EBRD