Understanding capital market dynamics for increased investment in New European Bauhaus projects in neighbourhoods
Programme Category
Programme Name
Programme Description
Horizon Europe is the European Union (EU) funding programme for the period 2021 – 2027, which targets the sectors of research and innovation. The programme’s budget is around € 95.5 billion, of which € 5.4 billion is from NextGenerationEU to stimulate recovery and strengthen the EU’s resilience in the future, and € 4.5 billion is additional aid.
Identifier Code
Call
Summary
Increased investment in projects for the transformation of neighbourhoods in line with the New European Bauhaus (NEB) may be hindered due to a discrepancy between the demand and supply of capital in terms of size, diversity, returns, and risk. Small-scale NEB-aligned projects typically encounter large, short-term oriented, and highly risk-averse investment funds, which seek investment opportunities able to absorb large amounts of funding, driven by present legislation.
Place-based impact investing is an approach that can contribute to investments in NEB-aligned neighbourhood projects by providing risk-adjusted financial returns while creating local social, cultural, aesthetic and environmental value and by helping to meet local needs in terms of community well-being, social inclusion, local economic resilience, and sustainable development.
There is a need for research to understand the capital demand and supply-side aspects that influence and shape investments in NEB-aligned neighbourhood projects and to identify appropriate mechanisms to attract increased investment.
Detailed Call Description
Proposals are expected to address all of the following:
- Analyse the capital market dynamics that influence investments in NEB-aligned projects for the transformation of neighbourhoods. This includes analysing at least the following:
- The size, scale, and diversity as well as the barriers, risks, and drivers of capital market demand and supply for NEB-aligned projects.
- The context of NEB-aligned investment projects, including political, financial, economic, regulatory, and cultural dimensions.
- Based on the above, develop an innovative investment solution that addresses and leverages the analysed capital market dynamics towards increased investment in NEB-aligned projects. The investment solution is expected to:
- Leverage place-based impact investing approaches and is encouraged to combine them with other diverse and out-of-the-box investment approaches, frameworks, or funding schemes that contribute to social, environmental, aesthetic, and cultural impact in neighbourhoods. This may include the use of innovative digital financial instruments, platforms for community co-investment, or blockchain-enabled transparency mechanisms, among others.
- Determine the types of capital (including, but not limited to, impact funds, real estate investors, family and pension funds, philanthropists, donors, and insurance companies) that can be mobilised and validate how to mobilise them.
- Provide recommendations for decision-making on avenues to secure future funding and financing.
- Support investors to assess the investment potential and returns (including economic, social, cultural, aesthetic and environmental) of NEB-aligned neighbourhood projects.
- Conduct the above analysis and validate the developed solution in at least three different Member States and/or Associated Countries.
Projects are expected to integrate and build upon the New European Bauhaus Investment Guidelines.
Proposals are expected to follow a participatory and transdisciplinary approach through the integration of different actors and disciplines.
Proposals are expected to allocate at least 0.8% of their budget for engaging with the Horizon Europe-funded ‘New European Bauhaus hub for results and impact’ to share their intermediate and final results, findings and learnings, as well as to contribute to impact assessment.
Call Total Budget
Financing percentage by EU or other bodies / Level of Subsidy or Loan
100%
Expected EU contribution per project: €3.50 million.
Thematic Categories
- Culture
- Economy-Finances
- Environment and Climate Change
- Land Development
- Public Administration
- Regional Development
- Research, Technological Development and Innovation
- Social Affairs & Human Rights
- Urban Development
Eligibility for Participation
- Businesses
- Consumer Organisations
- Investment Funds
- Legal Entities
- Local Authorities
- Natual person / Citizen / Individual
- Non Profit Organisations
- Other Beneficiaries
- Private Bodies
- Researchers/Research Centers/Institutions
- Services Providers
- Small and Medium Enterprises (SMEs)
Eligibility For Participation Notes
A number of non-EU/non-Associated Countries that are not automatically eligible for funding have made specific provisions for making funding available for their participants in Horizon Europe projects. See the information in the Horizon Europe Programme Guide.
Call Opening Date
Call Closing Date
National Contact Point(s)
Research and Innovation Foundation
Address: 29a Andrea Michalakopoulou, 1075 Nicosia, P.B. 23422, 1683 Nicosia
Telephone: +357 22205000
Fax: +357 22205001
Email: support@research.org.cy
Website: https://www.research.org.cy/en/