Social Housing: Season 2 of Banque des Territoires’ Housing Plan

Caisse des Dépôts Banque des Territoires Immobilier et logement

Banque des Territoires intends to support massively the social housing sector over the period 2018-2023. On May 9 at a press conference, Olivier Sichel, Director of Banque des Territoires, itemized the actions of Housing Plan #2, after reviewing the results of Housing Plan #1.

The aim of the 2nd Housing Plan: to improve social landlords’ quasi-equity funds and to support investments by rent-controlled housing bodies.

It sets out two measures to social landlords’ quasi-equity funds:

  • purchase shares issued by social landlords between 2019 and 2022, to a total amount of €800mn;
  • redeploy first and second-generation equity loan mechanisms for a total of around €2bn.

In terms of supporting social landlords’ investment, it plans:

  • a new fixed-rate loan envelope of €4bn;
  • commercial interest deductions of up to €150mn over the 2020-2022 period;
  • the possible extension, from 60 to 80 years, of land loans in tight market areas via Octofoncier, with a loan envelope of up to €4bn over the 2019-2022 period;
  • a €1bn increase in the volume of Eco Loans devoted to thermal rehabilitation (0% loans over 15 years).