VIVIUM SUSTAINABLE ELDERLY CARE

Promoter – Financial Intermediary

STICHTING VIVIUM ZORGGROEP

Location

• The Netherlands

Description

The project concerns the construction of Naarderheem, a new and sustainable elderly care facility in Naarden. It also supports a series of investments in Vivium's existing facilities to optimise patient care and improve environmental sustainability.

Additionality and Impact

The project supports the InvestEU objective of social investments, in particular by building social infrastructure for both short-term complex elderly care and long-term elderly care.

The project covers the investment plan of Vivium until 2030, with the primary aim to renovate, replace and expand existing accommodations for rehabilitation and elderly care, and to improve their layout, functionality and environmental sustainability. In parallel, the project will contribute to an improved wellbeing of elderly patients and improved working conditions for healthcare staff. The project is in line with EU and EIB policy objectives for the healthcare sector.

The Netherlands faces a significant challenge in handling the ageing population and the correspondingly increasing demand for elderly care. The rapidly increasing number of elderly people, in combination with a relative reduction in the available working force and continued pressure on the availability of financial budgets, pose a particular challenge to Dutch society. In order to cope with that challenge, a multi-dimensional approach has been developed, that aims to optimise the use of available intra-mural capacity, to facilitate prolonged living at home through community building, and the support of district nursing and informal care-givers, as well as to enhance operational efficiency, particularly also through newly designed facilities. Vivium is a medium-large elderly care organisations that plays a pivotal role in that development.

The project addresses a sub-optimal investment situation in the healthcare market in general, and in the elderly care segment in particular. Socio-economic returns are expected to exceed financial returns significantly. The project will improve Vivium's long-term care and rehabilitation care infrastructure and thereby help the organisation to cope with the increasing demand from an ageing population. In addition, the project will improve the energy efficiency of the new and existing facilities and significantly improve Vivium's carbon footprint.

The Bank can provide sizeable and long-term financings, aligning maturities to the economic life of the investment, while providing flexible drawdown modalities during the construction phase. In parallel, the EIB adds to the depth of available financing options available to the Promoter, at attractive economic terms, and thereby facilitates and accelerates the necessary investments in elderly care.

Objectives

Vivium plans to renovate, replace and expand existing accommodations for rehabilitation and elderly care, and to improve their layout, functionality and environmental sustainability. The investments should lead to increased operational efficiency and improved wellbeing of both patients and employees. In parallel, the investments shall improve Vivium's environmental footprint.

Sector(s)

• Health - Human health and social work activities

Proposed EIB finance (Approximate amount)

EUR 70 million

Total cost (Approximate amount)

EUR 150 million

Environmental aspects

Care facilities are not explicitly mentioned in the environmental impact assessment (EIA) Directive 2011/92/EU as amended by 2014/52/EU, though the project is covered by Annex II of the Directive concerning urban development. The Bank's services will verify appraisal during the screening decision of the competent authority. It is expected that the project will bear more comprehensive benefits to the community as healthcare is an element of social cohesion and economic development.

Procurement

The promoter has been assessed by the EIB as being a private company not being subject to EU rules on public procurement or concessions. However, if at the project appraisal, the EIB were to conclude that the promoter is subject to the EU public procurement legislation then the Bank would duly inform the Commission Services and would require the promoter to apply those rules.

Status

Signed - 30/11/2023