Rome and EIB Join Forces to Tackle Housing Crisis with New Fund
Rome, Italy – In a significant move to address the city’s housing challenges, Rome City Council has signed an advisory agreement with the European Investment Bank (EIB) to support the development of a Social Residential Building Plan (Ers). This collaboration aims to establish an Accessible Housing Fund, increasing the availability of affordable housing for families who fall between public housing eligibility and the high costs of the private market.
The agreement was formally signed at the Campidoglio by EIB Vice-President Gelsomina Vigliotti and Rome Mayor Roberto Gualtieri. The EIB’s advisory services, provided free of charge, will assist Rome City Council in defining and structuring the new fund. The primary goal is to create a balanced, efficient, and sustainable financing structure, potentially involving the private sector and institutional investors, to boost the supply of affordable rental housing.
EIB’s Advisory Role: Ensuring Robust Project Development
The technical assistance from the EIB will guide the City Council through several critical phases. This includes evaluating the objectives and constraints of the Ers Plan, defining the governance of the Accessible Housing Fund, and optimizing the role of public-private partnerships. The advisory activities will also delve into the regulatory and strategic context, providing technical, financial, and legal structuring for the fund.
Furthermore, the EIB will support the operational preparation of the plan, which involves defining a pipeline of projects and conducting market soundings with potential partners and investors. Financial modeling of various options, such as public contributions, guarantees, or rental support instruments, will be undertaken to ensure the economic sustainability and bankability of the initiative. The analysis will also cover implications for public accounting and state aid, ensuring compliance and transparency. Crucially, strategic and operational decisions regarding social housing policies and investments will remain entirely with the public decision-maker.
These activities are deemed a key instrument to guarantee that projects are prepared with technical rigor and solid economic-financial foundations, thereby facilitating their realization and ability to attract capital.
Mayor Gualtieri: Addressing a Significant Housing Need
Mayor Roberto Gualtieri expressed gratitude for the EIB’s collaboration, highlighting that this partnership will pave the way for the creation and institution of a public-private financial vehicle for social housing. This instrument will be used for the acquisition, regeneration, and construction of various types of housing for the so-called “grey area” – those not covered by public housing but unable to afford market rates.
“We have a very extensive Ers need, a segment of approximately 30,000 housing units that do not fall within the scope of public residential building,” Gualtieri stated. “We will leverage these tools and the EIB’s support for the design of the structure and its various aspects: legal form, governance, financial model, and economic-financial sustainability. Finding a balance between private and public components is very important, and the EIB has consolidated experience in this area, so availing ourselves of such high-level support represents an excellent opportunity for us.”
EIB Vice-President Vigliotti: Commitment to European Cities
Gelsomina Vigliotti, EIB Vice-President, reaffirmed the EIB’s commitment to supporting European cities in addressing urgent social challenges, particularly access to housing. “With this agreement, we confirm the EIB’s commitment to supporting European cities in tackling one of the most pressing social challenges, that of access to housing,” she said.
Vigliotti further explained that through the EIB’s free technical assistance for public administrations, specialized expertise is made available to help Rome City Council develop an innovative and sustainable model of accessible housing. This model aims to attract investment and generate concrete impact for families and the territory, aligning with the European Union’s priorities for social cohesion, sustainability, and climate transition.
Councillor Zevi: Supporting Those Squeezed by the Market
Tobia Zevi, Councillor for Heritage and Housing Policies, emphasized the strategic importance of the agreement for Rome City Council’s housing policies and the development of the Social Housing Agency. “The agreement with the EIB represents a strategic step for Rome City Council’s housing policies and for the development of the Social Housing Agency,” Zevi noted.
He elaborated that the prospect of building an Accessible Housing Fund responds to an increasingly evident need: supporting the segment of citizens who do not qualify for public residential building but can no longer afford the costs of the private market. This includes young people seeking independence, students and workers from outside the city, single-income families, and workers who are currently squeezed between insufficient incomes and ever-increasing rents. “Collaboration with the EIB will allow us to design the technical and financial instruments necessary to expand the supply of affordable housing, attract new investments, and strengthen our policies to respond to the social and economic changes the city is experiencing,” Zevi concluded.
