On 14 July 2017, the European Commission announced that the European Investment Bank (EIB) and Vonovia SE, a German real-estate management company, have concluded a loan contract for EUR 300m. The EU bank’s loan, which is backed by a guarantee from the European Fund for Strategic Investments (EFSI), is intended to part-finance energy-efficiency modernisation measures for the existing housing stock of the real estate management company. The EFSI guarantee facility is an essential pillar of the Investment Plan for Europe (IPE), the so-called "Juncker Plan", under which the EIB and the European Commission are working together as strategic partners and the EU bank’s financing operations will boost the competitiveness of the European economy.
The structure of the unsecured funding provides Vonovia with a high degree of flexibility on very favourable conditions. The eight-year loan from the EIB forms part of Vonovia’s comprehensive modernisation and expansion programme.
European Commission Vice-President Jyrki Katainen, responsible for Jobs, Growth, Investment and Competitiveness, said: "Upgrading housing units to ensure that they meet the latest energy-efficiency standards is a process that demands investment. That is where the European Fund for Strategic Investments can play an important role. Today's agreement is another demonstration of the important role EU support plays in enabling investments that can help deliver on our broader objective of maximising energy efficiencies and, at the same time, improve the daily lives of thousands of families."
You can read the full press release at the relevant European Commission webpage at the link below.