EIB Partners with Austrian Savings Banks to Fund 1,750 Affordable Green Homes in Salzburg and Innsbruck

EIB Partners with Austrian Savings Banks to Fund 1,750 Affordable Green Homes in Salzburg and Innsbruck

(IN BRIEF) The European Investment Bank (EIB) is providing up to €175 million in loans to Salzburger Sparkasse and Tiroler Sparkasse to fund the construction of 1,750 affordable and energy-efficient rental flats in Salzburg and Innsbruck. The project aims to address housing shortages and rising costs while contributing to EU climate goals by ensuring the homes meet high energy-efficiency standards. The financing offers long-term stability for non-profit developers, with the new homes expected to be completed by 2028.

(PRESS RELEASE) LUXEMBOURG, 11-Sep-2024 — /EuropaWire/ — The European Investment Bank (EIB) is providing up to €175 million in loans to Salzburger Sparkasse and Tiroler Sparkasse to finance the construction of 1,750 affordable rental flats in Salzburg and Innsbruck. This initiative aims to address the rising demand for affordable housing while promoting energy-efficient, climate-friendly buildings.

The EIB loans are part of a larger investment, totaling €200 million in Salzburg and €150 million in Innsbruck, with the homes expected to be completed by 2028. The financing offers favorable interest rates to non-profit developers, ensuring stable long-term costs despite rising construction expenses, ultimately benefiting low-income tenants.

The project aligns with EU climate goals by reducing carbon emissions from buildings and supporting social inclusion in these high-demand housing markets, where rental costs are among the highest in Austria.

Background information

The EIB is the EU institution for long-term lending arrangements that align with EU objectives. Its shareholders are the Member States. The EIB’s key priorities are climate and the environment, development, innovation and skills, small and medium-sized businesses, infrastructure and cohesion. It works closely with other EU institutions to foster European integration, promote the European Union’s development and support EU policies in more than 140 countries worldwide.

With around 600 employees, Salzburger Sparkasse Bank AG serves 250 000 customers at 41 branches and 29 self-service locations, as well as nine regional advisory centres for business customers, members of the liberal professions and clients in residential construction. It is part of the Erste Bank Group AG, one of the leading financial service providers in Central and Eastern Europe.

Tiroler Sparkasse Bank AG serves around 155,000 customers with around 400 employees at 21 branch and 8 self-service locations as well as the central advisory centres for business customers, freelancers and housing and local authorities. It is part of the Erste Bank Group AG, one of the leading financial services providers in Central and Eastern Europe.

Media Contact:

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

Press Office

press@eib.org
+352 43791

SOURCE: European Investment Bank