To foster energy-efficient residential housing, the European Bank for Reconstruction and Development (EBRD) has allocated a €110 million loan to Heimstaden Bostad in the Czech Republic, renowned as the proprietor of the largest assortment of private residential rental units in the country.

Teaming up with a group of commercial banks, EBRD aims to fund expansive and systematic eco-friendly renovations of Heimstaden Bostad's residential buildings, comprising approximately 42,500 units across the nation.

This eco-conscious loan is slated to empower Heimstaden in executing enhancements like thermal insulation and transitioning to eco-friendly energy sources, aligning with the company's objective to diminish greenhouse gas emissions by 42% by 2030, with 2020 as the reference point. A substantial portion of this emission cutback is anticipated to emanate from the Czech portfolio.

Charlotte Ruhe, Managing Director for Central and South Eastern Europe at EBRD, expressed the significance of green transformation in buildings to accomplish global decarbonization objectives. She emphasized this venture as a paradigm of collaborative eco-friendly initiatives in the private sector, inspiring more advancements in sustainable real estate investments.

Helge Krogsbøl, CEO of Heimstaden Bostad, appreciated the collaboration with EBRD and other financial entities, emphasizing its role in enhancing the sustainability of their Czech portfolio. Heimstaden Bostad has received accolades for being a pioneer in committing to globally recognized climate initiatives, and it continues to lead in reducing CO2 emissions.

Heimstaden is a prominent residential landlord in Europe, holding a diversified portfolio across nine countries, including the Czech Republic and Poland. Its endeavors predominantly lie in the professional private rental sector, managing over 160,000 residential units, with around 42,500 located primarily in the Moravia-Silesia region of the Czech Republic.

Post the hiatus in 2021, EBRD recommenced its investments in the Czech Republic to aid the pandemic recovery. The bank injected €111 million in 2022, predominantly focusing on green projects and the private sector, emphasizing its commitment to sustainable development and environmental conservation.