EIB Launches €410 Million Urban and Tourism Investment Initiative in Spain

“Funds from the Regional Resilience Fund continue to be a crucial tool for the green transition in Spain,” noted Inés Carpio, Director General of International Finance at the Treasury.

 

In a bold move to support sustainable urban transformation and bolster regional tourism infrastructure, the European Investment Bank (EIB) has signed two landmark agreements totaling €410 million with Arcano Partners and Buenavista Infrastructure. This substantial funding will be channeled into urban development projects—including affordable housing, sustainable mobility, and energy-efficient infrastructure—as well as eco-conscious tourism initiatives across Spain.

The agreements were finalized under the umbrella of the Regional Resilience Fund, a key component of Spain’s Recovery, Transformation and Resilience Plan, backed by the European Union’s NextGenerationEU program. The Fund is designed to accelerate post-COVID recovery while ensuring long-term sustainability and regional cohesion.

“These agreements are a further step forward in the rollout of the EIB Group-managed Regional Resilience Fund and will drive new investment to promote urban development and sustainable tourism,” said Jean-Christophe Laloux, EIB Director General of Financing and Advisory Operations within the EU.

Financial Instruments to Promote Local Growth

The new financing initiative will be delivered through an EIB-managed intermediated instrument, launched specifically to route funds via financial intermediaries who will identify, assess, and deploy capital to eligible projects across Spain.

• Arcano Partners will receive €210 million, to be deployed through the newly created Spanish Urban Development SICC fund.

• Buenavista Infrastructure will manage €200 million through its Buenavista NextGen Urban SICC fund.

These regulated investment vehicles will support a variety of sectors, including:

• Social and affordable housing

• Education and healthcare facilities

• Cultural and social infrastructure

• Green mobility and sustainable transport

• Waste and water management

• Energy-efficient urban design

• Sustainable tourism and hospitality projects

Both equity and debt instruments will be used, with a maximum of €22 million per project. Equity investments will have a recovery period of up to 15 years, while debt funding can extend up to 20 years.

Long-Term Vision for Sustainable Transformation

The investment period will continue until December 2030, offering long-term financing to relatively small but high-impact projects, especially in underserved or economically vulnerable regions. The initiative is tailored to meet the growing need for resilient, inclusive, and sustainable urban spaces, while simultaneously enhancing Spain’s attractiveness as a sustainable tourism destination.

“Funds from the Regional Resilience Fund continue to be a crucial tool for the green transition in Spain,” noted Inés Carpio, Director General of International Finance at the Treasury. “They support projects that promote sustainability in key areas such as housing and tourism across various regions of the country.”

Building Confidence Through Strategic Partnerships

Both Arcano and Buenavista expressed strong support for the initiative and emphasized the role of public-private cooperation in unlocking infrastructure and social investments.

Eduardo Fernández-Cuesta, Partner in Asset Management at Arcano Partners, stated: “This combined debt and equity strategy will enable us to continue to diversify our capabilities and deliver the excellence we guarantee to our private investors and the public sector institutions that rely on us.”

Victoriano López-Pinto, Managing Partner at Buenavista Infrastructure, added: “We’re proud to become one of the leading European fund managers by volume of EU funds under management. These investments will enhance local connections, promote sustainable urban development, and help renovate tourism infrastructure to align with Spain’s climate goals.”

Aligning with EU Priorities

The initiative is tightly aligned with the EU’s broader vision for climate resilience, digital transformation, and social inclusion, which are core pillars of the NextGenerationEU recovery mechanism. With climate change, demographic shifts, and housing shortages placing pressure on urban systems, investments like these will help shape the cities of the future.

The agreements represent a model for decentralized investment in urban and regional resilience, demonstrating how targeted financing through expert intermediaries can deliver tangible impacts on the ground.