Land in four localities transferred for development of affordable housing projects

Land in Fgura, Ħal Kirkop, Marsaskala and Ta’ Ġiorni has officially been transferred from the Housing Authority to the Foundation for Affordable Housing, paving the way for the construction of new homes targeted at middle-income families who struggle to buy property at market rates.

The transfer was unanimously approved by the NAO accounts committee on Monday evening, following a resolution tabled by Social and Affordable Accommodation Minister Roderick Galdes. The agreement involves granting the land under a perpetual emphyteusis (cens) model in favour of the foundation, allowing the sites to be developed specifically for affordable housing purposes.

In a statement, the Social Housing Ministry welcomed the committee's decision, saying it marked a significant step forward in the government’s long-term housing strategy.

The Foundation for Affordable Housing was set up in 2022 as a joint initiative between the Government of Malta and the Archdiocese of Malta. Its goal is to support people who fall outside the eligibility brackets for social housing but still cannot afford to buy a home at market prices.

“These sites will allow the foundation to deliver affordable apartments to the Maltese and Gozitan public,” the ministry said, adding that the move is aligned with the Malta 2050 Vision, which focuses on inclusion, particularly among youth and other vulnerable groups.

Unanimous vote in parliament

Nationalist MPs on the committee voted in favour of the transfer. “Such initiatives help alleviate the serious challenges faced by individuals attempting to purchase property,” the party said in a statement on Tuesday.

The party referred to the property price index, which increased by 5.2% last year. It said this is concerning and is affecting everyone, especially those trying to buy their first home.

“The exorbitant property prices on the market are creating major hurdles for young Maltese and Gozitan citizens aspiring to become homeowners.”

Among the PN’s proposals for the housing sector is grants and support schemes for first-time buyers, soft loan schemes at more favourable rates for those purchasing their first home, tax reductions on property purchases for people below a certain age, and developing public land for affordable housing.