Ukraine Slashes State Property Rent for War Displaced to One Hryvnia

Streamlined Leasing of Public Property

According to ХВИЛЯ: The Ukrainian Cabinet of Ministers has approved a new resolution to simplify the leasing of state and municipal property for the temporary accommodation of internally displaced persons (IDPs). Under the new rules, public associations and charitable organizations will pay an annual rent of just 0.01%. State and municipal institutions can lease property without holding auctions through a simplified procedure for the duration of the martial law period and for one year after its termination, with an annual fee of only 1 hryvnia per property. This move is part of broader efforts to address a severe housing crisis caused by Russia's full-scale invasion.

Property of State Companies and Financial Oversight

The resolution applies to real estate owned by state companies where the government holds more than a 50% stake, specifically unused facilities like sanatoriums, boarding houses, and dormitories. The government stated that

"leasing out this property will not significantly impact the core business activities of the relevant enterprises but will allow for the efficient use of existing resources to meet social needs."

Separately, a proposal has been registered in the Verkhovna Rada to establish a Temporary Investigative Commission to examine potential misuse of state and local budget funds allocated for IDP assistance. Furthermore, Ukraine's Ministry for Communities and Territories Development, in partnership with the international organization Habitat for Humanity, has launched a large-scale project to identify vacant premises for affordable housing. The collected data will be integrated into a new digital system for IDPs, scheduled to launch in October 2026.

The adopted resolution represents a significant step in supporting those displaced by the war, simplifying access to housing for people who have lost their homes. These changes could substantially ease access to temporary shelter for those in urgent need. The proposed investigative commission underscores a serious commitment to overseeing budget expenditures, which may improve the effectiveness of future support for displaced populations.