ISJSC “State Real Estate” (SRE) has taken another significant step towards improving housing affordability by launching the qualification stage of the procurement procedure for the public-private partnership (PPP) project within the “Affordable Housing for Latvian Specialists” programme. The project envisages the development of 1,380 affordable rental homes across six Latvian municipalities through a public-private partnership, with the private partner responsible for the design, construction, financing, maintenance and operation.
Following successful negotiations with the municipalities and the appraisal mission conducted by the European Investment Bank, Nordic Investment Bank and Council of Europe Development Bank, during which the delegation welcomed the project concept and visited the sites planned for development, the project has now progressed to the launch of the private partner selection process. Information and application for qualification in the procurement by November 4 are available here:https://ted.europa.eu/en/notice/-/detail/654383-2026
“Housing affordability is one of the key factors contributing to the development of the country and municipalities, while also helping to attract the specialists our society needs. With the successful completion of the preparation phase, we have taken the next decisive step by launching the qualification stage of the procurement procedure to select a private partner. This is an ambitious and unique project for Latvia, and we therefore invite both international and local investors and construction companies to actively participate in the procurement,” says Renārs Griškevičs, Chairman of the Board of SRE.
About the Project and Planned Volumes
Under the Project, 1,380 affordable rental apartments are planned across nine sites in six municipalities, with total planned capital investment of approximately EUR 142 million:
- In Riga: 822 apartments (on Tīnūžu iela, Ozolciema iela 62, Mežrozīšu iela 39/41/45, and in Čiekurkalns, Mežezera iela 5);
- In Tukums: 150 apartments (on Smilšu iela 54);
- In Jēkabpils: 140 apartments (on Celtnieku iela 3B);
- In Daugavpils: 120 apartments (on Nometņu iela 103);
- In Cēsis: 100 apartments (on Loka iela 9, 11);
- In Gulbene: 48 apartments (on Malienas iela 2).
The apartments are intended to provide high-quality, affordable housing in the regions and the capital city, particularly for young families, while helping to attract specialists to sectors that are essential to the state and municipalities, such as teachers, healthcare professionals, and employees in public administration and security services.
PPP Model and Procurement Process
The project is being implemented within a public-private partnership (PPP) framework based on an availability payment contract with a term of 27 years. The private partner will be responsible for the design, construction, and financing of the housing, as well as the maintenance and operation of the buildings throughout the duration of the contract. Upon expiry of the partnership period, the land and the constructed homes will remain the property of the municipalities. SRE consolidates and represents the state's interests, ensuring the preparation of the project, organization of procurement processes, and contract management throughout the entire life cycle of the project.
The procurement process will take place in several stages, the first of which is the currently announced qualification of candidates, where the experience and financial capacity of the tenderers will be evaluated.
To ensure transparency and facilitate the preparation of tenderers, technical and territorial data for each land plot allocated to the program (topography, geotechnical investigation, approvals for engineering communications, etc.) are available to interested parties in the "Data Room" on the SRE website. Further information regarding the program and available materials, as well as a link to the procurement documentation, are published at: https://www.vni.lv/projekti/ires-majokli-latvijas-specialistiem.
About SRE
Under the leadership of SJSC "State Real Estate", 69 projects are currently being implemented with total investments of 619.44 million euros. SRE provides professional real estate management and administration for 406 building and structure properties, including 14 apartment properties, which comprise buildings with an area of 970 thousand m2, as well as land beneath the buildings with an area of 632 ha, and 3,045 land properties with a total area of 855 ha. The company was founded in 1996, and its 100% shareholder is the Ministry of Finance.
