EIB Backs GEWOBA’s Project for Affordable and Climate-Friendly Housing in Bremen

EIB Backs GEWOBA’s Project for Affordable and Climate-Friendly Housing in Bremen

(IN BRIEF) The European Investment Bank (EIB) is providing a €125 million loan to GEWOBA, Bremen’s largest rental housing provider, to support a €500 million initiative aimed at expanding affordable, climate-friendly housing in Bremen and Bremerhaven. This project will build nearly 500 new flats that meet high energy efficiency standards, along with a kindergarten and assisted-living facilities, while also renovating over 2,000 existing flats to improve energy efficiency. With rents capped for affordability, this initiative supports Bremen’s climate neutrality goals and enhances housing accessibility for low- to moderate-income residents.

(PRESS RELEASE) LUXEMBOURG, 29-Oct-2024 — /EuropaWire/ — The European Investment Bank (EIB) has announced a €125 million loan to GEWOBA AG Wohnen und Bauen, Bremen’s largest housing provider, to support a €500 million project aimed at increasing affordable and energy-efficient housing in Bremen and Bremerhaven. This partnership will see the construction of nearly 500 new rental flats, designed to meet stringent EU energy efficiency standards, with most flats being accessible for individuals with reduced mobility. Additionally, the project includes plans for a new kindergarten, assisted-living communities, and a day center for elderly residents. In total, more than 2,000 existing apartments will undergo energy renovations to enhance climate efficiency and sustainability.

This initiative addresses the growing demand for affordable housing in Bremen, a city with a high unemployment rate and significant low-income population, and supports EU climate and sustainability goals. New flats will have rent caps set at €6.80 per square meter for subsidized units and €9.00 for capped units, countering the recent upward trend in rental prices across Germany.

EIB Vice-President Nicola Beer highlighted the broader impact of the project, stating, “This initiative helps Bremen grow in a sustainable and inclusive way, making the city more liveable for families and the elderly. Together with GEWOBA, we are addressing social challenges across Europe by creating accessible, climate-friendly housing solutions.”

Anja Passlack, GEWOBA’s Executive Board Member, added, “We’re pleased to collaborate with the EIB, a partner who shares our climate and social objectives, to deliver affordable, eco-friendly housing for the community.” This project is expected to help Bremen move closer to climate neutrality while expanding housing options for residents on low and moderate incomes.

Background information

The EIB Group is the long-term lending institution of the European Union. It finances sound investments that contribute to EU policy objectives and works closely with other EU institutions and bodies to advance shared priorities such as equitable growth and a just transition towards climate neutrality. The EIB Group, which also includes the European Investment Fund (EIF), signed a total of €88 billion in new financing in 2023, of which €8.6 billion in Germany.

The EIB Group has been providing financing and advisory services to the housing sector for 25 years. In the last five years alone, it has provided around €13.4 billion to support sustainable urban development and modernisation projects. Together with the European Commission, the EIB will increase its commitment to affordable housing in the coming years.

GEWOBA AG Wohnen und Bauen in Bremen was founded in 1924 with the aim of making decent housing available for broad sections of the population – a mission that is still enshrined in its statute today. With around 43 000 rental apartments, GEWOBA is the largest rental housing provider in the state of Bremen and is majority-owned by the municipality. Its core business is value-based management and looking to the future to further develop its diverse housing portfolio. For decades, it has invested in extensive maintenance and modernisation projects, and expands its portfolio with new, high-quality buildings when required.

Media Contact:

Donata Riedel
d.riedel@eib.org
+352 4379 – 86192

Press Office

press@eib.org
+352 43791

SOURCE: European Investment Bank

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