It is hereby announced that a conversion will be carried out of state subsidised construction loans to social housing as well as renovation loans subsidised by Landsbyggefonden.
The conversion will include fixed-rate mortgage loans and will be executed by injunction to the affected social housing organisations.
A total volume of approximately DKK 0.4 billion will be converted. The loans have the following fixed coupon rates:
Fixed coupon rate | Billion DKK | |
1% | 0.1 | |
1.5% | 0.3 | |
Total | 0.4 |
Following the conversion, the mortgage loans will be rescheduled as state guaranteed adjustable-rate loans in 10-year interest rate resets. No changes in the terms of maturity are expected.
Yours sincerely
Martin Ino Hansen
Senior Executive Advisor