IFC Funds ‘m² Residential’ with USD 23 Million

International Finance Corporation (IFC) has funded m² subsidiary m² Residential with USD 23 million. The goal of the loan is to increase access of people with average incomes to energy efficient, ‘green’ constructions.

According to the company, the growing demand on high-quality, affordable housing is still not fully satisfied.

With IFC’s financing, m² Residential will build 1800 energy efficient apartments, saving energy, water and construction materials in the process, thus decreasing harmful effects on health and environment.

IFC’s funding includes USD 11.5 million from the European Green for Growth Fund (GGF).

“Partnership with IFC helped us to carry out the first stage of our strategy, to build high quality residential projects in Tbilisi. We, as one of the leading development companies in Georgia, continue to improve living conditions for the families in Georgia. The goal of m² Real Estate is to build 2000 new apartments by the end of 2018,” said Irakli Burdiladze, m² Real Estate Director.

IFC’s Regional Manager in the South Caucasus, Jan Van Bilsen, stated that IFC promotes competition in the construction sector and this project will not only improve people’s living standards, but also create jobs in the process of the construction and beyond, thus contributing to economic development.

According to Green for Growth Fund Board Chairman Christopher Knowles, the goal of the Fund is to support energy saving and CO2 reduction in Georgia.

“Compared to similar sized new buildings in Georgia, the residential projects of m² Residential will be 40% more energy efficient and the demand on such high quality buildings is high,” Knowles stated.

Georgia became an IFC member is 1995. Since then IFC’s long term investments in Georgia amounted to more than USD 1 billion in 52 projects of different sectors. IFC also conducts consulting projects in Georgia which are aimed at developing the private sector.

Ana Akhalaia