In Ukraine, 25 communities have submitted applications to participate in a large-scale experiment to create a municipal social rental housing fund. This project aims to construct affordable housing that will remain under the ownership of the communities and will be rented out at rates lower than the market price.
This is reported by Business • Media
Priority for Vulnerable Population Groups
Social rental housing is primarily planned to be provided to internally displaced persons, veterans, large families, people with disabilities, and workers in social and critical infrastructure. The highest number of applications has come from communities that have accepted a significant number of displaced persons, as well as from regions affected by hostilities or under temporary occupation.
Geography of Participants and Project Details
Among the applicants are seven regional centers: Lviv, Zhytomyr, Mykolaiv, Kharkiv, Khmelnytskyi, Kropyvnytskyi, and Poltava. Communities from nine regions have also expressed interest, including Kremenchuk, Drohobych, Bucha, Voznesensk, Zbarazh, Berdychiv, Obukhiv, and other cities.
A separate category consists of communities whose territories are currently under temporary occupation. In particular, the Sievierodonetsk City Military Administration has proposed to implement the project in the village of Khalepya in Kyiv Oblast, while the Bakhmut City Council has suggested it for the Hoshchanskyi village territorial community in Rivne Oblast.
“Based on the evaluation results, the commission will recommend three to five communities for participation in the pilot phase of the investment project. The project, supported by the EIB and the European Commission, is planned for two years. The total funding for the pilot amounts to €100 million, of which €50 million is loan funds and €50 million is grant funding.”
The pilot phase will last for two years, with funding provided by the European Investment Bank and the European Commission. The total budget for the experiment is €100 million, equally divided between loan and grant funds.