Botkyrkabyggen is granted Social Sustainability Loan for large-scale social program

The public housing company Botkyrkabyggen has been granted Social Sustainability Loan of SEK 3.8 billion from Kommuninvest. This is linked to a large-scale and long-term social program focused on the areas of Alby, Fittja and Norsborg. The purpose, among other things, is to promote a good living environment, increase safety and strengthen gender equality in these areas.

Botkyrkabyggen's program combines, in line with the set-up of Social Sustainability Loans, a broad physical investment with a systematic social initiative.

The physical investment primarily encompasses new investments in refurbishment/development planned in Alby, Fittja and Norsborg for the period of 2023-2032 as well as financing of the existing property portfolio in these areas.

Several of the areas where Botkyrkabyggen operates are among the most socio-economically exposed in Sweden, according to the Segregation Barometer of the Swedish National Board of Housing, Building and Planning. Alby, Fittja and Norsborg are also included on the list of the Swedish Police of exposed or particularly exposed areas.

The social initiative consists of Botkyrkabyggen's management model for a sustainable business, which combines social, ecological and economic sustainability. The model includes a strategy for sustainable and careful refurbishment. This is about letting the tenants stay on during renovation, renovating only what is necessary, reusing materials and furnishings that work well, involving and engaging the tenants, renovating to a standard that the tenants are willing to pay for and offering optional add-ons for the tenants who want it. The model also features resident dialogue, safety certification of all properties, crime prevention collaboration and the gender equality scheme Qvinna i Botkyrka.

The physical investment and the social program are both linked to clear goals and regular evaluation of results. This is a basic requirement for Social Sustainability Loans. Botkyrkabyggen will annually follow up and report on, among other things, changes in well-being and safety, rental levels and rental conditions, school results and real property values.

This application, which was approved by Kommuninvest’s Committee on Social Sustainability, means that the total volume of Social Sustainability Loans grows to around SEK 5.7 billion. A total of 18 applications have now been approved.

– The loan is a large and important addition to Botkyrkabyggen's sustainable refurbishments, where we reduce the environmental impact, keep rent adjustments down and increase comfort in our tenants' homes. We will also continue the work to achieve safer stairwells and carry out site inspections to counteract workplace criminality in our renovation projects, says Fredrik Vitrera Luiga, CFO at Botkyrkabyggen.

– Botkyrkabyggen is a good example of how a public housing company can work with its community-supporting mission, so that it can contribute to increased social sustainability in the local community and better living conditions for those who live there. With its application, Botkyrkabyggen also shows how Social Sustainability Loans can be used for a large-scale social program in socio-economically exposed areas. This is something that I hope other housing companies can be inspired by, says Björn Bergstrand, Head of Sustainability at Kommuninvest.

For further information

Björn Bergstrand, Head of Sustainability, tel +46 708 86 94 76, e-mail: bjorn.bergstrand@kommuninvest.se

David Ljung, Head of Communications, tel: +46 73 068 45 45, e-mail: david.ljung@kommuninvest.se