Revitalising neighbourhoods for communities to come together is about ensuring the right conditions. Innovative funding and new business models can provide the necessary framework and incentives to rethink how solutions and projects are designed, planned, executed, and invested in for the structural and systemic transformation of neighbourhoods[1] in line with New European Bauhaus (NEB) values[1] and working principles[1]. Demonstrating the socioeconomic, environmental, financial, aesthetic[4] and cultural value creation of NEB-aligned solutions and projects can incentivise stakeholders in the built environment[1] and its related ecosystems (e.g. construction[1], banking, insurance, social economy, and real estate) to invest and participate in the circular[1], inclusive[1], affordable, accessible, sustainable[1] and culturally significant revitalisation of neighbourhoods. New business and innovative funding models are thus crucial to encourage long-term and life-cycle thinking in the built environment while enhancing its long-term, sustainable competitiveness.
This Destination will address three of the Commission political guidelines 2024-2029, namely:
This Destination supports the NEB Facility’s overarching aim to drive the implementation of the European Green Deal on the ground. Its focus on circular economy principles, biodiversity, responsible and sufficient use of natural resources, and sustainable competitiveness contributes to the Clean Industrial Deal[10], EU Circular Economy Action Plan[11], new Circular Economy Act[12], Zero Pollution Action Plan[13], EU Biodiversity Strategy[14], and European Climate Adaptation Plan[15]. This Destination also seeks to engage local stakeholders and the local social economy in neighbourhood transformation while addressing community[1] challenges and needs as well as better understanding and leveraging appropriate market dynamics. It thereby offers potential contributions to the EU Startup and Scaleup Strategy[17]. By focusing on the reuse of the existing building stock, the provision of key social infrastructures[1] and services, and addressing homelessness[1] at neighbourhood level, it also contributes to the EU Renovation Wave[20] and potentially contributes to the European Affordable Housing Plan[21].
In work programme 2026-2027, this Destination contributes to the following overarching expected impacts set out in the Horizon Europe strategic plan 2025-2027:
8. Realising the full potential of cultural heritage, arts, and cultural and creative sectors
9. Strengthening social and economic resilience and sustainability
15. Achieving global leadership in climate-neutral, circular and digitized industrial and digital value chains
In addition, proposals for topics under this Destination should set out a credible pathway to contributing to the development of innovative funding and new business models for the transformation of neighbourhoods, and more specifically to one or several of the following impacts:
When possible and relevant, actions are strongly recommended to collaborate with and build on the results of past and ongoing research projects, including regional, national or European funded projects, to ensure consistency and continuity in research.
[1] See definition in the Glossary section of the NEB part of the HE WP26-27.
[2] See definition in the Glossary section of the NEB part of the HE WP26-27.
[3] See definition in the Glossary section of the NEB part of the HE WP26-27.
[4] See definition of \"beautiful” in the Glossary section of the NEB part of the HE WP26-27.
[5] See definition in the Glossary section of the NEB part of the HE WP26-27.
[6] See definition in the Glossary section of the NEB part of the HE WP26-27.
[7] See definition in the Glossary section of the NEB part of the HE WP26-27.
[8] See definition in the Glossary section of the NEB part of the HE WP26-27.
[9] See definition in the Glossary section of the NEB part of the HE WP26-27.
[10] European Commission, ’Clean Industrial Deal’, accessed 5 August 2025, https://commission.europa.eu/topics/eu-competitiveness/clean-industrial-deal_en
[11] European Commission, ’Circular Economy Action Plan’, accessed 5 August 2025, https://environment.ec.europa.eu/strategy/circular-economy-action-plan_en
[12] Under development and with expected adoption by the end of 2025.
[13] European Commission, ’Zero Pollution Action Plan’, accessed 5 August 2025, https://environment.ec.europa.eu/strategy/zero-pollution-action-plan_en
[14] European Commission, ’Biodiversity Strategy 2030’, accessed 5 August 2025, https://environment.ec.europa.eu/strategy/biodiversity-strategy-2030_en
[15] European Commission, ’EU Adaptation Strategy’, accessed 5 August 2025, https://climate.ec.europa.eu/eu-action/adaptation-climate-change/eu-adaptation-strategy_en
[16] See definition in the Glossary section of the NEB part of the HE WP26-27.
[17] European Commission, ’EU Startup and Scaleup Strategy’, accessed 5 August 2025, https://research-and-innovation.ec.europa.eu/strategy/strategy-research-and-innovation/jobs-and-economy/eu-startup-and-scaleup-strategy_en
[18] See definition in the Glossary section of the NEB part of the HE WP26-27.
[19] See definition in the Glossary section of the NEB part of the HE WP26-27.
[20] European Commission, ’Renovation Wave’, accessed 5 August 2025, https://energy.ec.europa.eu/topics/energy-efficiency/energy-performance-buildings/renovation-wave_en
[21] European Commission, ’European Affordable Housing Plan’, accessed 5 August 2025, https://ec.europa.eu/info/law/better-regulation/have-your-say/initiatives/14670-European-Affordable-Housing-Plan_en
[22] See definition in the Glossary section of the NEB part of the HE WP26-27.
[23] See the NEB Investment Guidelines for more information. European Commission, ’NEB Investment Guidelines’, New European Bauhaus, accessed 5 August 2025, https://new-european-bauhaus.europa.eu/tools-and-resources/neb-investment-guidelines_en . Sections of particular relevance for applicants to consider include: 1. Introduction; 2. Mapping the NEB; 4.4 Project risks; 5. Making the NEB case; and 6. Conclusions.
[24] See definition in the Glossary section of the NEB part of the HE WP26-27.
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Project results are expected to contribute to all of the following expected outcomes:
Scope:
Increased investment in projects for the transformation of neighbourhoods in line with the New European Bauhaus (NEB) may be hindered due to a discrepancy between the demand and supply of capital in terms of size, diversity, returns, and risk. Small-scale NEB-aligned projects typically encounter large, short-term oriented, and highly risk-averse investment funds, which seek investment opportunities able to absorb large amounts of funding, driven by present legislation[4].
Place-based impact investing is an approach that can contribute to investments in NEB-aligned neighbourhood projects by providing risk-adjusted financial returns while creating local social, cultural, aesthetic[5] and environmental value and by helping to meet local needs in terms of community[1] well-being, social inclusion, local economic resilience, and sustainable development[7].
There is a need for research to understand the capital demand and supply-side aspects that influence and shape investments in NEB-aligned neighbourhood projects and to identify appropriate mechanisms to attract increased investment.
Proposals are expected to address all of the following:
Projects are expected to integrate and build upon the New European Bauhaus Investment Guidelines[8].
Proposals are expected to follow a participatory[1] and transdisciplinary[1] approach through the integration of different actors and disciplines.
Proposals are expected to allocate at least 0.8% of their budget for engaging with the Horizon Europe-funded 'New European Bauhaus hub for results and impact' to share their intermediate and final results, findings and learnings, as well as to contribute to impact assessment.
[1] See definition in the Glossary section of the NEB part of the HE WP26-27.
[2] See definition in the Glossary section of the NEB part of the HE WP26-27.
[3] See definition in the Glossary section of the NEB part of the HE WP26-27.
[4] Examples include the EU Taxonomy, Fit for 55 package, and European Social Fund (ESF+).
[5] See definition of ”beautiful” in the Glossary section of the NEB part of the HE WP26-27.
[6] See definition in the Glossary section of the NEB part of the HE WP26-27.
[7] Impact Investing Institute, ’Section 1: What is place-based impact investing?’, Impact Investing Institute website, accessed 29 September 2025, https://www.impactinvest.org.uk/learning-hub/place-based-impact-investing/what-is-place-based-impact-investing/.
[8] European Commission, ’NEB Investment Guidelines’, New European Bauhaus, accessed 5 August 2025, https://new-european-bauhaus.europa.eu/tools-and-resources/neb-investment-guidelines_en . Sections of particular relevance for applicants to consider include: 1. Introduction; 2. Mapping the NEB; 4.4 Project risks; 5. Making the NEB case; and 6. Conclusions.
[9] See definition in the Glossary section of the NEB part of the HE WP26-27.
[10] See definition in the Glossary section of the NEB part of the HE WP26-27.
"],"identifier":["HORIZON-NEB-2026-01-BUSINESS-02"],"es_ContentType":["text/plain"],"programmePeriod":["2021 - 2027"],"deadlineDate":["2026-12-01T00:00:00.000+0000"],"es_Combine":["1"],"esST_URL":["https://ec.europa.eu/info/funding-tenders/opportunities/portal/screen/opportunities/topic-details/HORIZON-NEB-2026-01-BUSINESS-02"],"tags":[],"cenTagsA":["TOPICS-048953","TOPICS-048954","TOPICS-048955","TOPICS-048956","TOPICS-039171","TOPICS-048957","TOPICS-001318","TOPICS-010956","TOPICS-001089","TOPICS-006469","TOPICS-001325","TOPICS-000627","TOPICS-001326","TOPICS-000608"],"esDA_QueueDate":["2026-05-05T00:03:25.768+0200"],"destinationDescription":["Innovative funding and new business models for transformation of neighbourhoods (2026-27)"],"actions":["[{\"types\":[{\"typeOfAction\":\"HORIZON-RIA HORIZON Research and Innovation Actions\",\"typeOfMGA\":[{\"id\":43027849,\"abbreviation\":\"HORIZON-AG-LS\",\"description\":\"HORIZON Lump Sum Grant\"}]}],\"status\":{\"id\":31094502,\"abbreviation\":\"Open\",\"description\":\"Open\"},\"plannedOpeningDate\":\"2026-05-05\",\"submissionProcedure\":{\"id\":31094504,\"abbreviation\":\"single-stage\",\"description\":\"single-stage\"},\"deadlineDates\":[\"2026-12-01\"]}]"],"startDate":["2026-05-05T00:00:00.000+0000"],"deadlineModel":["single-stage"],"status":["31094502"],"supportInfo":["Online Manual is your guide on the procedures from proposal submission to managing your grant.
Horizon Europe Programme Guide contains the detailed guidance to the structure, budget and political priorities of Horizon Europe.
Funding & Tenders Portal FAQ – find the answers to most frequently asked questions on submission of proposals, evaluation and grant management.
Research Enquiry Service – ask questions about any aspect of European research in general and the EU Research Framework Programmes in particular.
National Contact Points (NCPs) – get guidance, practical information and assistance on participation in Horizon Europe. There are also NCPs in many non-EU and non-associated countries (‘third-countries’).
Enterprise Europe Network – contact your EEN national contact for advice to businesses with special focus on SMEs. The support includes guidance on the EU research funding.
IT Helpdesk – contact the Funding & Tenders Portal IT helpdesk for questions such as forgotten passwords, access rights and roles, technical aspects of submission of proposals, etc.
European IPR Helpdesk assists you on intellectual property issues.
CEN-CENELEC Research Helpdesk and ETSI Research Helpdesk – the European Standards Organisations advise you how to tackle standardisation in your project proposal.
The European Charter for Researchers and the Code of Conduct for their recruitment – consult the general principles and requirements specifying the roles, responsibilities and entitlements of researchers, employers and funders of researchers.
Partner Search help you find a partner organisation for your proposal.
"],"sepTemplate":["To access the Electronic Submission Service, please click on the submission-button next to the type of action and the type of model grant agreement that corresponds to your proposal. You will then be asked to confirm your choice, as it cannot be changed in the submission system. Upon confirmation, you will be linked to the correct entry point.
To access existing draft proposals for this topic, please login to the Funding & Tenders Portal and select the My Proposals page of the My Area section.
"],"sortStatus":["1"],"destination":["48080697"],"topicConditions":["described in Annex B of the Work Programme General Annexes.
A number of non-EU/non-Associated Countries that are not automatically eligible for funding have made specific provisions for making funding available for their participants in Horizon Europe projects. See the information in the Horizon Europe Programme Guide.
described in Annex B of the Work Programme General Annexes.
described in Annex C of the Work Programme General Annexes.
are described in Annex D of the Work Programme General Annexes.
are described in Annex F of the Work Programme General Annexes and the Online Manual.
described in Annex F of the Work Programme General Annexes.
Eligible costs will take the form of a lump sum as defined in the Decision of 7 July 2021 authorising the use of lump sum contributions under the Horizon Europe Programme – the Framework Programme for Research and Innovation (2021-2027) – and in actions under the Research and Training Programme of the European Atomic Energy Community (2021-2025) [[This decision is available on the Funding and Tenders Portal, in the reference documents section for Horizon Europe, under ‘Simplified costs decisions’ or through this link: https://ec.europa.eu/info/funding-tenders/opportunities/docs/2021-2027/horizon/guidance/ls-decision_he_en.pdf]].
described in Annex G of the Work Programme General Annexes.
described in the [specific topic of the Work Programme]
Application form templates — the application form specific to this call is available in the Submission System
Standard application form (HE RIA, IA)
Evaluation form templates — will be used with the necessary adaptations
Standard evaluation form (HE RIA, IA)
Guidance
Model Grant Agreements (MGA)
Call-specific instructions
HE Main Work Programme 2026-2027 – 1. General Introduction
HE Main Work Programme 2026-2027 – 13. New European Bauhaus Facility (NEB)
HE Main Work Programme 2026-2027 – 15. General Annexes
HE Framework Programme 2021/695
HE Specific Programme Decision 2021/764
EU Financial Regulation 2024/2509
Decision authorising the use of lump sum contributions under the Horizon Europe Programme
Rules for Legal Entity Validation, LEAR Appointment and Financial Capacity Assessment
EU Grants AGA — Annotated Model Grant Agreement
Funding & Tenders Portal Online Manual