News - 17.01.2025

First Apartments of VR Blær Delivered

The first apartments in the new residential buildings of the VR Blær Housing Foundation in Úlfarsárdalur were handed over to renters today, Friday, January 17, 2025. Halla Gunnarsdóttir, Chair of VR, presented the first apartment on Skyggnisbraut to Nadia Tamimi, a single mother with two teenage children. During the handover, Halla remarked that the labor movement could fight for higher wages and slightly more money in people's pockets, but this would only go so far if housing costs continued to rise in parallel. Many people face severe housing insecurity, she said, and those who experience it understand how serious it is.

Nadia Tamimi expressed her gratitude for the new apartment, which provides her and her children with a fresh start. She had been on the private rental market, where rents were continually increasing. Over the past four years, her rent had risen by nearly ISK 200,000 per month.

Ragnar Þór Ingólfsson, former Chair of VR and current Member of Parliament, was present at the handover. He played a significant role in establishing Blær. Ragnar Þór said it was a true honor to have led the project. A new system was being established in Iceland to both construct and rent housing, ensuring broader access to secure and affordable homes.

Goals of Blær
VR Blær was allocated land in Úlfarsárdalur in 2021 and entered into an agreement with Íslenskir aðalverktakar for the construction. The groundbreaking ceremony for two residential buildings took place in August 2023. Construction has progressed exceptionally well, and the allocation of the first apartments is now underway, with completion of the allocations planned for February.

The goal of VR Blær is to promote housing security for VR members and their families by offering high-quality housing and affordable long-term rentals. VR hopes that more unions will take action in this area under the framework and philosophy of Blær, given the housing crisis in the country, especially in the rental market.
VR extends heartfelt congratulations to its members and new tenants on their new homes.

The union hopes that the first apartments of Blær will mark the beginning of a long and successful journey for Blær.

History of Housing Initiatives at VR
The idea to establish a rental housing association within VR dates back to discussions within its board in 2018. These discussions were prompted by the challenging housing market and the weak rental market, where affordable rental housing was in short supply—a situation that remains unchanged. The VR board decided to begin preparations to establish a rental association under the Blær name, a sister organization to Bjarg Housing Association.

However, the VR Blær apartments are not the first homes VR has built for its members. Earlier projects involved owner-occupied housing. In 1946, the VR Cooperative Housing Association was established and was allocated land in 1947. A total of four buildings with 14 apartments were constructed on Melhagi in Reykjavík.
In the early 1970s, the VR board sought ways to address the significant housing shortage in the city. VR was allocated land for a multi-family building in Breiðholt in 1976, and construction began the following year. The final apartments were occupied by the end of 1979. In 1982, VR was allocated land at Hvassaleiti, where Reykjavík City and VR jointly built housing for elderly members along with service facilities. This project included 60 apartments and marked the first time a union initiated housing construction specifically for its elderly members.