Anna Korólczyk-Lewandowska, Business Insider Polska: What are KZN's priorities in managing State Treasury real estate today?
Łukasz Bałajewicz, president of KZN: Our main goal is the effective use of State Treasury land for social housing purposes. We do this in two ways: through contributions to Social Housing Initiatives (SIM) and close cooperation with local governments. Currently, 545 municipalities participate in SIMs with KZN participation, and KZN's resources include over 800 hectares of land – although nominally it seems like a lot, in the scale of the entire State Treasury it is a small part. Our added value is the ability to acquire new areas from various sources – from the National Agricultural Support Center, through the Military Property Agency, to the resources of voivodes and starostas.
Map of SIMs in Poland
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National Real Estate Resource
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What are KZN's strategic goals for the coming years?
First of all, we want to build thousands more apartments under SIMs. I'm not talking about a thousand, but thousands of apartments. Additionally, our goal is to become a stabilizer of the housing market – to implement investments where they are most needed and to conduct demand analyses. Poland lacks an institution that comprehensively monitors the housing market. KZN takes over this role by creating a knowledge base and analytical tools to support investment decisions.
One of the investments carried out as part of SIMs
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National Real Estate Resource
How do you see KZN's role in the future of the property market?
We are an active partner of SIMs, which gives us access to the experience of over ⅕ of all municipalities in Poland. Thanks to this, we know how to acquire land, design investments and solve problems that arise during implementation. We also want to support local governments in obtaining financing – in 2025, PLN 2.7 billion was allocated to the Subsidy Fund, and in 2026 it will be over PLN 4 billion. This is real support for municipalities that want to develop social housing.
SIMs: how many apartments are being built and who can apply
What does the process of including new municipalities in SIMs look like?
We no longer create new companies – we encourage municipalities to join existing SIMs. The process is simple: the commune submits an application, we analyze the feasibility, availability of land and local demand for housing. Then, the partners adopt a resolution on the admission of the commune. Investment financing is based on several pillars: a non-repayable grant from the Subsidy Fund (45% of the investment value), residents' participation (1-30% of the investment value) and a preferential loan from BGK. It is also possible to obtain financing from KPO and renewable energy sources.
Investment in Chorzów, implemented by the Social Housing Initiative Śląsk
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National Real Estate Resource
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How many apartments are being built under SIMs?
Currently, 1,079 apartments have been completed, over 6,630 are under construction, and approximately 14,000 are planned. apartments put into use by 2027. This is a huge jump compared to the first years of the program and proof that this model works.
What are the recruitment criteria?
Zero discretion, everything is transparent. The decision is made by municipality resolution, but the basis is the SIM Act. Income criteria are key – SIMs are for people with the so-called “rent gap”, i.e. those earning too much to get a council flat but too little to get a mortgage loan. Social factors are also important: the number of children and age. In some communes, additional points are awarded to people who vacate municipal premises.
How much is the rent in SIMs?
On average PLN 19-21 per square meter, maximum around PLN 25. The apartments are finished turnkey, so tenants do not incur additional costs, as in the case of the development market. Standard premises are 50-55 sq m, but we also build studios and four-room apartments – so that the offer meets the various needs of families.
Łukasz Bałajewicz, president of KZN, during a press conference
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National Real Estate Resource
Ecology and challenges in investment implementation
Are SIMs ecological?
Yes. We use environmentally friendly solutions: photovoltaics, heat pumps, water retention system. This is important because SIMs manage apartments for decades, so operating costs must be low. A good example is SIM KZN Wielkopolska, which builds from prefabrication, based on one design documentation. Thanks to this, investments are faster to implement, cheaper to maintain and more energy efficient.
What are the biggest challenges?
Lack of contractors for such a large number of investments and ensuring financial liquidity.
What is your opinion on the matter? the idea of a PiS housing voucher?
I do not support subsidies for commercial investments because they increase housing prices. This was the case with the 2% loan. A housing voucher is another program that looks good in the campaign but does not solve the key problem of the housing shortage. Instead of handing out money, we should invest in the development of social and municipal housing. Cash subsidies do not increase the availability of apartments, but will only increase their prices. I focus on building, not paying extra.
How do you assess the effectiveness of current programs?
Previous programs have shown that promises do not build housing. Social construction is not an election slogan, it is the state's obligation towards its citizens. The most important thing is to maintain the sustainability of the programs. These are not annual projects, but long-term activities that require consistency. We should improve existing solutions, not create new ones every four years. The SIM and Social Rented Housing (SBC) program is a good example – it has been modified but not abolished. This is proof that stability brings results.
