Two letters of intent signed for residential development

Ritstjórn
Brynhildur Heiðar- og Ómarsdóttir, chair of Viska; Þorkell Heiðarsson, chair of FÍN; Mayor Heiða Björg Hilmisdóttir; and Finnbjörn A. Hermannsson, president of the Confederation of Icelandic Labour. Róbert Reynisson
Brynhildur Heiðar- og Ómarsdóttir, chair of Viska; Þorkell Heiðarsson, chair of FÍN; Mayor Heiða Björg Hilmisdóttir; and Finnbjörn A. Hermannsson, president of the Confederation of Icelandic Labour. Group photo at the signing of the letters of intent for residential development

The City signed two letters of intent today for residential development over the coming years—one with Bjarg Housing Association and another with the Association of Icelandic Natural Scientists (FÍN) and Viska, the union of university-educated professionals. These planned projects align with Reykjavík City's housing policy goals, which include expanding available housing options and promoting social diversity across neighborhoods.

Under the agreement with Bjarg, Reykjavík City plans to allocate building lots for right-to-occupy or rental housing in several areas, including Gufunes, Veðurstofuhæð, Grundarhverfi in Kjalarnes, and Kringlureitur. The agreement with FÍN and Viska outlines similar commitments to build on designated development lots.

Mayor Heiða Björg Hilmisdóttir and Finnbjörn A. Hermannsson, president of the Confederation of Icelandic Labour, at the signing of the letter of intent with Bjarg for residential development
Heiða Björg Hilmisdóttir borgarstjóri og Finnbjörn A. Hermannsson, forseti Alþýðusambands Íslands.

Both agreements prioritize diverse housing, a mix of unit types within neighborhoods, and greater availability of smaller apartments for various social groups. The associations also commit to transferring 5-10% of the units to Félagsbústaðir at cost.

The City Council also approved transferring the building rights for up to 50 units at the west of Leirtjörn in Úlfarsárdalur to Bjarg Housing Association, a site previously allocated to the Seniors' Rental Association. This site is intended for affordable housing for older residents.

"I very much welcome these letters of intent and this strong collaboration on developing diverse and accessible housing in Reykjavík," said Mayor Heiða Björg Hilmisdóttir. "It is a core responsibility of municipalities to help people secure a safe home on affordable terms, and these projects represent vital steps toward fulfilling that duty with resolve and ambition."