Rabobank and BPD to tackle housing shortage with 15,000 mid-price rental homes
On 5 October 2019, Rabobank and area developer BPD (Bouwfonds Property Development), a full subsidiary of Rabobank, announced they are going to make a substantial contribution in addressing the pressing demand for housing amongst those on middle incomes. They are doing this by setting up the “BPD Woningfonds” housing fund this year. This rental housing fund will add fifteen thousand energy-efficient sustainable mid-price rental homes with average rents of between € 650 and € 1,250 per month to the Dutch housing market over the next ten years. The fund will make a flying start at the beginning of 2020 with the purchase of the first thousand homes.
There is a serious lack of affordable rental housing for the mid-price segment. This is one of the stumbling blocks in the current housing market. The government will be making two billion euros available to municipal councils and housing corporations over the coming years in order to improve the housing market. The BPD Woningfonds involves an investment of around five billion euros, of which Rabobank will be providing some one billion euros over the next three years.
The fifteen thousand homes will be sustainable apartments and family homes for starters, families and elderly people living independently, and are intended for rental. These new-build rental homes will be located in attractive residential neighborhoods in urban areas inside and outside the Randstad. By developing these properties BPD Woningfonds is seeking to fill the widening gap between social rental and expensive private sector rental properties. The new homes will meet the highest sustainability requirements. The new-build properties are being developed by BPD. The fund will purchase the first thousand rental homes from BPD at the start of 2020.
Published: 8 October 2019, 16:30 CET