The European Investment Bank (EIB) and Banque des Territoires (Caisse des Dépôts) launch the Urban Development Platform. They are investing €100mn each in this vehicle dedicated to investing in real estate operations that will help to structure the urban development of French regions.
Managed by Banque des Territoires, the platform will invest in equity and quasi-equity* in large-scale operations that are environmentally efficient or that address health issues, ageing and the needs of young people in the French regions.
Its minority shareholdings will have a knock-on effect that will enable it to finance real estate projects alongside private investors and via bank financing. Some fifteen projects will thus be supported throughout France during the first three years.
This partnership will provide a new source of financing for the real estate sector in all the regions, mobilize more private funds and, more generally, stimulate urban renewal projects that sometimes suffer from a financing shortfall, particularly in terms of equity capital.
* Quasi-equity is a stable financial resource recorded at the top of the balance sheet but not having the accounting nature of equity, including: shareholders' current accounts,