The Social Housing Association in Katowice („Katowickie Towarzystwo Budownictwa Społecznego”, TBS) is commencing works on the first of four planned housing buildings on Sławka St. It is the first investment of the associations after three years of break.
There will be 55 apartments in each of the four facilities of which 41 are two-room flats and the remaining units are one- and three-room flats. Additionally, a two-storey car park for 220 vehicles will be built as well as two playgrounds, an internal road and pavements. TBS has already chosen a prime contractor of the works – the first building of the estate will be erected by Budmex from Nowy Sącz, Poland.
The housing project will be conducted in stages between 2014 and 2017. The first building is expected to be delivered in September next year. The association is now looking for future tenants of the flats. All the units are available for rent without the opportunity to purchase.
The scheme will be co-financed from a long-term bond issue provided by „Bank Gospodarstwa Krajowego”. The financing accounts for one-third of the investment’s total costs. The remaining amount will be secured from internal funds of the association and from the financial contribution of tenants.
The project is addressed to young families which can not afford to buy their own apartment or they do not want to purchase on long-term credit. Tenants interested in, for example, 50 sq. meters apartment will have to pay a guarantee deposit of PLN 47 000. The amount of money will be refunded when the inhabitants move out. The housing units will be rented for an indefinite period of time.
According to TBS, this type of investment is cheaper for tenants than the purchase of apartment on credit and is secured by the stable financial position of the association and the City of Katowice, which owns 99,98 percent of shares of the company.