Vesteda and European Investment Bank sign a second financing agreement
Following the €150 million financing agreement in 2020, Vesteda and the European Investment Bank (EIB) have now signed a second €150 million agreement. The loan has a term of ten to 15 years. Vesteda plans to use the funds between 2023 and 2025 to improve the sustainability performance of its existing homes and to purchase new affordable and sustainable residential complexes in the regulated rental segment and for middle-income households.
The new residential complexes are in line with the EU Energy Performance of Buildings Directive. For projects to improve the energy performance of existing homes, a substantial reduction in energy consumption is planned. Vesteda has revised its energy reduction target to at least 55% (previously 50%) by 2030 (relative to 1990). The company is not only going beyond what is needed to achieve the Paris goals under the EIB Climate Bank Roadmap, but is also a frontrunner in the field of sustainability.
EIB Vice-President Kris Peeters said: “The Netherlands needs more housing, but especially in the framework of climate change, the sustainability of this housing is key. Vesteda has set itself ambitious targets to lower the emissions of its real estate portfolio. As the EU climate bank, the EIB is pleased to be continuing this good partnership.”
Chief Financial Officer of Vesteda Frits Vervoort said: “Vesteda and the European Investment Bank share high ambitions on the sustainability and affordable living fronts. Following the first €150 million in EIB financing in 2020, we are delighted to be receiving a second €150 million loan from the EIB. This financing will also be allocated to sustainable and affordable homes. We are grateful for the support from the EIB and we value our relationship with the Bank. This underpins our strategy on sustainable and affordable housing.”
The European Investment Bank (EIB) is the lending arm of the European Union. The EIB is one of the largest providers of climate finance and extends loans to finance projects or investment programmes aligned with the European Union’s priorities, such as cohesion, development, climate and environmental sustainability.