The governor Geraldo Alckmin and the Secretary of State for Housing, Silvio Torres, authorized on Thursday, February 28th, the start of the bidding process that calls for the private sector to build more than 20,000 housing units in the city center of Sao Paulo. The first Public Private Partnership contract in the area of social housing in the country will provide low income families with necessary housing.

Although the Feasibility Studies proposed 28 000 units, the model defined by the Government, according to budget planning, allowed the release of 20,221 units.

The investment in the projects will be R$4.6 billion ($2.2 billion), R$ 2.6 billion ($1.27 billion) to be made by the private partners. The State Government of São Paulo will invest $ 1.6 billion ($782 million) In an agreement to be signed with the State, the Municipality of São Paulo should support the project with R$404 million ($197 million).

Timing

Last Thursday, the government authorized the start of the process, which begins with a public hearing, followed by a public consultation of the bidding documents. After submission and review of proposals, the bidding documents will be released in May. The partner will be selected in October 2013. The projects should be completed in a period of time of six years.  

Source: Governo de Estado de Sao Paulo