🌇Restoration of the housing stock: how to balance the needs of the state, communities, and business

🌇Restoration of the housing stock: how to balance the needs of the state, communities, and business

🌇Restoration of the housing stock: how to balance the needs of the state, communities, and business

 

This topic was the focus of the first block of the Recovery Construction Forum Ukraine 2.0, moderated by Lev Partskhaladze, President of the Confederation of Builders of Ukraine, and Ivan Slobodianyk, Executive Director of the All-Ukrainian Association of Communities.

 

💬“Partner countries and international organizations, including the UN, EU, World Bank, EIB, EBRD, and IMF, are providing significant financial, humanitarian, and technical assistance. We're talking about billions in investments for infrastructure recovery, economic development, and security reinforcement. The main goal is to support Ukraine on its path to sustainable peace and European integration,” emphasized Lev Partskhaladze.

 

Ivan Slobodianyk introduced the activities of the All-Ukrainian Association of Communities, which unites 903 local self-government bodies.

 

💬“For us, recovery is not just about housing construction — it’s a vast spectrum of economic rebuilding,” Mr. Slobodianyk emphasized. “This topic is such that once you start pulling the thread, roads, the economic situation, and many other things follow.”

 

💻A clear picture is essential for the implementation of housing projects. This was highlighted by Olena Shuliak, Head of the Verkhovna Rada Committee on State Building, Local Governance, Regional Development and Urban Planning, and Head of the "Servant of the People" party. To address this issue, a state housing information and analytics system will be created.

 

🔍The situation with municipal housing in Ukraine and Europe is very different. This was pointed out by Alina Moskalenko, Head of the Housing Institute, based on ongoing study of European practices and the current state in Ukraine: “Municipal housing is fundamental in many European countries, while in Ukraine, there isn’t even a concept of a municipal housing fund.”

 

According to the latest research, a critical obstacle is the lack of technical capacity in local self-government bodies. 59% of communities reported a shortage of staff. In addition, only 14% of communities have approved housing programs, and only 7% have allocated budget expenditures for housing needs.

 

💰State mortgage programs have a noticeable impact on the sector — eOselya (eHousing) accounts for 97% of the mortgage market. This was reported by Ievgen Metsger, Chairman of the Board of UKRFINZHYTLO (Ukrainian Financial Housing Company), who agreed that, unfortunately, it cannot yet cover all categories of the population, but these are challenges for the future, things that still need to be worked on. Of the 16.5 thousand loans issued, none is problematic: “We can develop mortgages and prove to the banking system that Ukrainians with modest incomes can be lent to — and safely.”

 

International partners are also paying attention to eOselya: “We are already on the verge of attracting new funds from foreign financial institutions.” In particular, work is underway with the IMF to adapt the company’s strategy. This will allow the program to be significantly scaled.

 

📍Dmytro Cheichuk, First Deputy Mayor of Bucha, noted that Bucha is actively undergoing reconstruction. Out of nearly 4,000 damaged objects, around 3,000 have already been restored in the city.

 

💬“At the stage of recovery, priorities change. What was relevant three years ago is actually behind us now. We face completely different challenges and prioritize reconstruction objects differently. While in the early years we focused primarily on housing and prioritized bringing people back to the community (...), once we brought people back to their homes, we faced ongoing problems with the proper provision of utility services. Therefore, the infrastructure aspect is now more of a priority for us,” said Mr. Cheichuk.

 

🗺️Iryna Zakharchenko, acting head of the Borodianka settlement, stated that the community's main advantages are the large number of unused lands suitable for locating production facilities and the convenient geographical and infrastructural-logistical position. Ms. Zakharchenko shared details on the developed economic models for the further development of Borodianka, and how interested businesses can cooperate with the community in a mutually beneficial way.

 

❗Oleksandr Kharchenko, Vice President of the Confederation of Builders of Ukraine, Head of the CBU Regional Office in Kharkiv Region, informed that compared to pre-war indicators, apartments in Kharkiv are currently rarely purchased. However, state housing programs such as eOselya and eVidnovlennia (eRestoration) are in fairly high demand. Mr. Kharchenko drew the audience's attention to the significant number of internally displaced persons in Kharkiv (around 200,000 people) and the large number of vacant ready-to-move-in apartments that could be an ideal solution for social renting. However, this requires groundwork – state programs and initiatives.

 

He also emphasized a significant issue in the reconstruction of buildings – out of 115 projects, nearly 100 require adjustments to the documentation, which results in additional public spending and time delays.

 

👤Igor Guda, Founder of Kreator-Bud and General Partner of the Recovery Construction Forum Ukraine 2.0, stated that there is tremendous potential for the implementation of rapid construction in Ukraine. He shared the company's strategy for investing in residential construction. In particular, low-rise development projects are currently in demand.

 

Mr. Guda noted that cooperation with government initiatives such as eOselya is a response to the real needs of the market and communities (rapid construction, accessible infrastructure, comfortable living). As a result, the state receives a quick and flexible solution for housing recovery, society gets quality housing adapted to their needs, and business receives a clear model for growth and scaling.

 

🏡Anna Laievska, Commercial Director of Intergal-Bud, Strategic partner of the Recovery Construction Forum Ukraine 2.0 and Head of the CBU Committee on Development, spoke about the latest trends in the primary real estate market, key current issues, methods to stimulate demand, and expected changes by the end of the year.

 

She also touched on the topic of social rental housing, outlining the reasons for its practical absence in Ukraine and the potential benefits for developers. For example, benefits related to land allocation and loan terms, cost compensation, preferences, and more.

 

🏭Oleksiy Bilokon, Commercial Director of the Royal House Group of Companies, a Strategic partner of the Recovery Construction Forum Ukraine 2.0, spoke about the company’s patented rapid construction technology recognized in both Ukraine and Europe. He noted the current surge in the popularity of prefab technologies — that is, pre-manufactured construction components.

 

For instance, wall module production begins at the company's own factory simultaneously with the foundation pouring stage of the future building. The modules are delivered to the construction site already equipped with windows and doors, ready for installation.

 

👤Participants had the opportunity to hear about the UNHCR’s housing recovery strategy in Ukraine and the opportunities it presents for the construction sector. Yevgen Treskunov, Housing Officer at the United Nations Refugee Agency (UNHCR), shared the main areas of work: rapid repairs, ongoing housing repairs, and repairs for housing of internally displaced persons.

 

UNHCR coordinates the Shelter Cluster in Ukraine, which brings together over 140 partners and operates through three regional hubs. In 2023–2024, more than 200,000 people received housing recovery assistance, and all participating organizations follow agreed technical standards for quality repairs, insulation, and reconstruction. Mr. Treskunov explained how private businesses can get involved in these projects and what benefits participation offers.

 

🌐More insights from the Recovery Construction Forum Ukraine 2.0 can be found via the link:

https://kbu.org.ua/en/news/how-can-we-balance-the-needs-of-the-state-communities-and-businesses-for-high-quality-reconstruction 

 

Check out how the event went in photos:

https://photos.app.goo.gl/Q8KGZuzzTuteW8Uf9 

 

Organizers: Confederation of Builders of Ukraine & International Exhibition Operator Premier Expo

Supported by: European Construction Industry Federation (FIEC)

 

General Partner: Kreator-Bud

 

Strategic Partners: ENVITEC, Intergal-Bud, Nove Stolittya, ROYAL HOUSE

Official Partners: PENETRON UKRAINE, WÜRTH UKRAINE, CAPAROL UKRAINE, MINISTRY OF DOORS, KOLORIT

 

Financial Partner: Globus Bank

 

Roll-up Partners: BUDGILD, YOUCONTROL, BUDMALL

 

Information Partners: PRAGMATIKA.MEDIA, ProfBuild, Build Portal, RBC Ukraine, ZPP, Academy DTEK, ICC UKRAINE, Ukrainian Quarries

 

WE WILL WIN AND REBUILD EVERYTHING! 💪

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GLORY TO UKRAINE! 💙💛

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