The EIB will allocate €3 billion to build one million affordable homes in the EU.
Experts are betting on public-private collaboration to overcome the housing crisis.
BarcelonaThe head of the Urban Development division of the European Investment Bank (EIB), Elena Campelo, said this Wednesday that the organization has a budget of 3 billion euros to support the construction of one million affordable homes in Europe over the next five years.
During a speech at the real estate fair The District in Barcelona, Campelo emphasized that the main causes of the housing market crisis are the shortage of land, slow permitting procedures, and fragmented regulation. The EIB has set among its priorities the promotion of automation and innovation in the construction sector, with a budget of 100 million, the head of Urban Development emphasized, according to a statement from the event organizers. It is also exploring measures to prevent real estate speculation and ensure the proliferation of affordable and regulated homes, she said.
Campelo also pointed out that "the demand for new housing in Europe reaches 2.3 million units annually, but only 1.4 million are granted," adding that "more than 10 percent of households on the continent face problems during the winter due to financial constraints, and that they are financially limited, rejecting job offers due to the inability to afford a roof in certain areas."
Housing prices are growing more than wages
At the same forum, Jaime Hugas, CEO of the real estate investment firm Conren Tramway, defended the need to promote public-private collaboration as a tool for building more social housing. Pedro Fuster, director of real estate At Deloitte Spain, he has focused on the fact that demand for housing in Spain is growing due to immigration and that house prices increased by 15% between 2016 and 2021, while wages only increased by 6%.
Manel Rodríguez, CEO of Alas Vivienda Asequible, has spoken along the same lines, and has been forceful: "We are in a critical position. The construction market is slow, it takes between 3 and 5 years to start, and it will get worse in the coming years. long term and that includes regulations, increased supply, new entrants into the market and more partnerships between the public and private sectors."