Over the past 20 years, A-liv Group has specialised in renovating residential real estate in urban environments. Among other projects, the company converts offices into apartments and renovates historic buildings to give them a new purpose as residential units. “We deliver around 250 housing units each year,” says CEO Piet Labeeuw. “We are currently transforming the Flandria Palace Hotel in Ghent, for example. And in Zelzate, we are creating 22 apartments in a former 50-metre-high water tower.”
Because the existing shell is retained, material costs carry less weight than in a new-build project
Construction costs have risen sharply since the war in Ukraine. According to Labeeuw, renovation is therefore the more affordable option: “Because the existing shell is retained, material costs carry less weight than in a new-build project. Together with our contractors, we have meanwhile developed genuine expertise in energy-efficient renovation, allowing us to standardise our work. This creates economies of scale in terms of both sustainability and cost.”
"}},{"componentType":"sectionTitle","title":"Strategic shift towards rental"},{"componentType":"paragraph","richBody":{"value":"As construction costs and property prices continue to rise, more and more people are finding it difficult to buy a home of their own. A-liv therefore overhauled its business model in 2015. “We used to sell around 70 percent of our projects and retain 30 percent under our own management for rental,” the CEO explains. “Today, that ratio has been reversed: 70 percent is rented out and 30 percent is sold. Our portfolio includes both conventional rental properties and social housing apartments.”
We have expanded our property management activities because rental has now become more important pillar of our business
That does not mean that sales are disappearing. A-liv operates in various segments, from smaller city homes to luxury apartments, and also sells to investors who subsequently rent out the properties. “As a result, we had already developed property stewardship and property management activities. We have expanded these further because rental has now become a structurally much more important pillar of our business.”
"}},{"componentType":"sectionTitle","title":"Adapted financing model"},{"componentType":"paragraph","richBody":{"value":"This strategic decision to focus on rental had significant financial consequences. Property developers traditionally operate on short investment cycles, recovering their invested capital relatively quickly when housing units are sold. “Because we now retain much more real estate in our own portfolio, we have a different revenue model based on rental income over a longer period,” Labeeuw explains. “Our financing model had to be reviewed to ensure that our cash flow was not compromised. Our principal bank ING was willing to support this transition.”
Real estate is, after all, a cyclical sector in which the economic context and financing needs can change rapidly
Labeeuw sees A-liv’s ten-year relationship with the same specialised relationship manager as an advantage: “Thanks to our relationship manager’s expertise and ING’s entrepreneurial approach, we were able to find the right financing mix. Real estate is, after all, a cyclical sector in which the economic context and financing needs can change rapidly. That makes it all the more important for your bank not only to look at the figures, but also to understand your business model in depth.”
"}},{"componentType":"sectionTitle","title":"Renovation as a sustainability model"},{"componentType":"paragraph","richBody":{"value":"The company’s focus on making the residential building stock more sustainable also plays a role. “Our aim is to bring every home we renovate up to an EPC A rating through insulation, solar panels, heat pumps and other energy-efficient technologies. In an urban environment, this can sometimes be complex. In such cases, we ensure that everything is technically prepared so that an A rating can still be achieved later with a limited additional intervention.”
Furniture is given a second life through upcycling, including in co-living projects
Meanwhile, A-liv Group is also taking steps towards circular construction. Piet Labeeuw explains: “The properties we buy often still contain many usable building materials, such as doors, tiles, bricks and even insulation. These are carefully removed and reused in our projects wherever possible. Furniture is also given a second life through upcycling, including in co-living projects.”
“Over the past ten years, ING has developed a strong understanding of how important themes such as sustainability, circularity and affordability are to us,” says Labeeuw. “The further we progress in these areas, the more supported we feel. It is essential that the bank understands the difference between our product and other real estate models.”
"}},{"componentType":"sectionTitle","title":"Opportunities ahead"},{"alignedImage":{"position":"left","extension":"jpg","original":"https://assets.ing.com/asset/72c6aa45-504b-4c2a-b362-780915ca4598/Kris-Liesse-Head-of-Real-Estate-ING.jpg","transformBaseUrl":"https://assets.ing.com/transform/72c6aa45-504b-4c2a-b362-780915ca4598/Kris-Liesse-Head-of-Real-Estate-ING"},"componentType":"paragraph","richBody":{"value":"Sustainable construction is becoming the norm—that much is clear. The real estate sector can make a major contribution to climate targets, emphasises Kris Liesse, Head of Real Estate Finance at ING Business Banking: “There are many opportunities ahead for developers, investors and contractors. A large proportion of the existing housing stock is outdated and needs to be upgraded to meet the standards.”
Above all, we need a stable framework, with realistic expectations and input from the sector
The framework for new-build projects is fully established. For renovation, regulations are being developed across Belgium’s three regions. “Above all, we need a stable framework, with realistic expectations and input from the sector,” says Liesse. This is why ING is also a founding member of the Belgian Green Building Council, which works with all stakeholders to establish a shared understanding of what sustainable or green actually means. “By speaking the same language, we can accelerate the transition to carbon neutrality in the real estate sector.”
"}},{"componentType":"highlight","richBody":{"value":"For many years, ING has had an extensive team that closely monitors the real estate sector and advises and supports property developers, long-term investors and the wider ecosystem of contractors, architects and engineering consultancies in delivering projects. Kris Liesse explains: “A number of colleagues have completed training to provide specific advice on the sustainable transition of real estate. We have our own tool that assesses a building’s sustainability performance and identifies the investments required.”
For major players, the bank works with Stadim and Bopro to map entire portfolios and improve them in a structured way. “Those who upgrade existing real estate and make it more sustainable can benefit from special terms. As a bank, we want to provide an incentive to encourage such investments.”
"},"title":"Partner to the real estate sector"},{"componentType":"paragraph","richBody":{"value":"Find out how ING supports businesses in the sustainable transition.
And discover our specific approach for the construction and real estate sector.
This article was previously published in Trends/Tendances.
"},"title":"Wondering what ING can do for you?"}]},"hasMacro":false,"id":"6d9fcd41-7826-4c87-87e6-e08acf2f5442","legalZone":{"flexComponents":[{"componentType":"paragraph","richBody":{"value":"Society is transitioning to a low-carbon economy. So are our clients, and so is ING. We finance a lot of sustainable activities, but we still finance more that’s not. See how we’re progressing on ing.com/climate.
This article is for informative purposes only and the information set out herein may change with time. We therefore recommend that you always reference specific regulations and requirements with the competent authorities for the latest information. Additionally, we advise that you seek professional advice on a case-by-case basis before making any decisions. Please note that ING Belgium SA/NV cannot be held liable for any decision taken on the basis of the information provided.
"}}]},"localeString":"en-GB","mainHeaderZone":{"backLink":{"textLink":{"text":"Sustainable business","url":"/en/business/sustainable-business"}},"componentType":"editorialHeader","coreHeader":{"body":"Buying an affordable home in the city is becoming increasingly difficult. Recognising this challenge, Ghent-based property developer A-liv Group has reshaped its business model over the past decade. Today, it retains around 70 percent of its real estate portfolio for rental while also advancing sustainability through energy-efficient renovations and the reuse of materials.","title":"From selling to renting: how affordable housing became A-liv’s core business"},"date":"2026-09-28","readingTime":0},"publishDate":"2026-10-01T15:40:11.331+02:00"}}