European Bank for Reconstruction and Development Invested 20 Million Dollars in Russian Housing Market

LONDON, September 29. / ITAR-TASS correspondent Yury Mikhailenko /. The European Bank for Reconstruction and Development / EBRD / entered the Russian regional housing market. The press service of the Bank reported that the EBRD will invest 20 million dollars in affordable low-rise housing projects in the Orenburg and Kaluga regions.

The EBRD was among the founders of the Ecodolie Management Company that builds economy class housing developments. The funds will be used to purchase land and lay communications. According to the Bank, brick houses are built according to several standard designs with the use of low-cost high-quality materials. Houses are built in three to four months. The housing developments are based on integrated solutions with all required infrastructure – transport, stores, schools, kindergartens and playgrounds. The company actively cooperates with regional authorities. According to the developer, houses will be environmental friendly and energy efficient. The EBRD hopes that developers specializing in low-rise housing can help solve an urgent need for affordable housing in Russia.

At the moment, Ecodolie is actively engaged in several low-rise residential development projects. In Obninsk and Orenburg the company is already building homes. Soon construction is to start near Kaluga, Samara and Ufa. Homes in such projects are intended for those who wish to purchase their own home, and for families eligible for social housing. In Orenburg the company plans to build 4 thousand homes on a site of 380 ha which will help provide housing to 14 thousand people. The Belkino project near Obninsk is expected to have 500 homes on a site of 44 ha.

Ecodolie is a subsidiary company of Baring Vostok Capital Partners that actively works the EBRD.