Vonovia is a residential real estate company, founded in 1998. The company manages 336,000 own apartments in Germany, 38,000 units in Sweden and 22,000 units in Austria. In addition to these, the company manages 79,000 units from external parties. The company’s revenues derive from rental income (82%), property management support acitivities (8%), disposal of individual apartments to retail buyers (5%) and construction of apartments for own portfolio and third parties (5%).
This social bond is issued to refinance the development of affordable housing units and low-barrier housing. These projects fulfill housing needs for certain vulnerable population groups such as low-income households, disabled people, seniors, students, and refugees. The affordable housing projects are rented under subsidised housing regulations or at a discount compared to average rent. This gives lower-incoming households access to decent housing, which is becoming a more urgent issue as in many European cities rents and housing prices are rising. The low-barrier Housing projects finance investments to make housing accessible for elderly and disabled people.