The Portuguese Financial Instrument for Urban Regeneration and Revitalisation (IFRRU 2030) and Santa Casa da Misericórdia de Lisboa (SCML) have signed a partnership agreement to promote affordable and mid-market rental housing projects, strengthening the supply of housing across Portugal.
The collaboration will focus on the refurbishment of residential buildings, including energy efficiency upgrades, while also fostering the exchange of technical and financial expertise. The aim is to develop sustainable financing solutions and optimise funding models for residential rehabilitation projects.
The agreement was signed by Isabel Barroso de Sousa, Chair of the IFRRU 2030 Executive Committee, and Paulo Sousa, Chair of Santa Casa da Misericórdia de Lisboa.
IFRRU 2030 combines funding from the Council of Europe Development Bank (CEB) and the European Investment Bank (EIB), alongside national public funding and financing provided by private financial institutions. The blended financing model is designed to leverage additional private capital for urban rehabilitation and affordable housing investment.
The financial instrument is currently in the final stages of securing an initial funding package of around €480 million. Together with financing expected from commercial banks and private investors, the programme is projected to mobilise approximately €1 billion in total investment.
Funding will be made available through commercial banks on terms more favourable than standard market conditions, with simplified application procedures and no geographical restrictions or limitations on the profile of eligible beneficiaries. Individuals and organisations, whether public or private and for-profit or non-profit, will be able to apply. The first funding is expected to become available to investors in early 2027.
