Fewer properties to be built by National Housing Association

Newsroom 23/08/2010 | 11:51

The number of houses built by the National Housing Association (ANL) is expected to fall this year from 7,000 units, as was planned by the Development Ministry at the beginning of 2010, to just 1,400. The cutback comes as the state budget funding for building this type of housing, which is intended to be used by young people, is going down.

“The Regional Development and Tourism Ministry has not suspended the youth housing building program or the thermal housing improvement program. As the ministry’s budget was cut by 10 percent, the budgets allotted to these programs have been reduced as well,” said ministry officials. The year’s budget for thermal upgrading did not allow for any new works, just for the works to be finished on the 29,000 homes contracted in 2009.

In order to expand financing to build more ANL housing, the ministry has given young tenants the option to buy ANL houses, with the resulting money to be used for further construction. The thermal upgrading program is to receive additional financing from credits granted by the Savings Bank (CEC) with state warranty and interest subsidized by the development ministry.