New disbursement to Hemsö for energy efficient social infrastructure
Hemsö draws a new tranche of SEK 1,1 Bln financing, in support of construction of and refurbishment to NZEB standards of energy efficient social infrastructure. Total facility of SEK 3 Bln, to support construction plans including healthcare and research buildings, nursing homes and schools, now fully disbursed.
Hemsö Fastighets AB has drawn a new tranche of the EIB-facility that was signed in 2018. The financing of SEK 1,1 Bln (approx. EUR 104 million) was disbursed in euro currency with a fixed interest rate and a tenor of 15 years. The Swedish property company will use the long-term financing facility to build healthcare and research infrastructure, nursing homes and schools in Sweden’s main cities, all to nearly-zero-energy-building (NZEB) standards.
“At this time, when our whole society faces unprecedented challenges, the EIB is doing everything in its power to continue providing sustainable financing to its clients. With this project, the EIB supports the construction of key social infrastructure with a focus on healthcare, elderly care, education, as well as premises for research and life-sciences,” says Thomas Östros, vice-president of the EIB.
“The EIB's focus on green and socially important investments fits well with Hemsö’s business model for developing sustainable social infrastructure for the public sector. This latest tranche diversifies the company's financing and allows us to continue focusing on long-term funding for the company's planned projects. Before the summer we are planning the construction start of seven nursing homes and schools which have been developed in partnership with several Swedish municipalities. Hemsö is proud to make these investments in much needed social infrastructure, especially given the uncertainty and market volatility seen recently,” said Nils Styf, Hemsö’s Chief Executive Officer.
The European Investment Bank (EIB) is the long-term lending institution of the European Union, owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals. In 2019 alone, the Bank made available nearly EUR 2 Bln in loans for Swedish projects in various sectors, including research & development, industry, nearly-zero-energy-buildings and sustainable transport. Some 64% percent of all EIB investments in 2019 were climate-related.
The EIB is the European Union's bank. We are the only bank owned by and representing the interests of the European Union Member States. We work closely with other EU institutions to implement EU policy. We are the world’s largest multilateral borrower and lender. We provide finance and expertise for sustainable investment projects that contribute to EU policy objectives. More than 90% of our activity is in Europe. But we also are a big investor around the world.
Hemsö is Sweden’s leading owner and developer of properties for social infrastructure. The business model is based on sustainably owning, managing and developing properties for nursing homes, education, health care and the judiciary sector. Hemsö owns around 370 properties in Sweden, Germany and Finland.