It all started back in 1795, when a large part of Copenhagen was destroyed in a great fire. The fire was an important factor behind the establishment of Denmark’s first lending institution in 1797 by a group of wealthy Copenhageners. The object of the new institution was to offer loans secured on mortgages in real estate.
To find the roots of Realdania itself, however, we must advance to 1851, when borrowers set up the first mortgage-credit institutions. The innovative aspect was that borrowers, rather than lenders, joined forces. Realdania grew out of one of these first mortgage-credit institutions.
The Danish mortgage-credit institutions are a unique phenomenon, and Denmark is often referred to as the birthplace of the cooperative association. At that time, much as it is today, it was a matter of course for Danes to come together in associations to address large or challenging social tasks.
In 2000, in connection with the merger of Realkredit Danmark and Danske Bank, we sold off our mortgage-credit activities and decided to secure the value of the company capital in a philanthropic association.
Today, we are a member-based philanthropic organisation. We use the returns on our equity to support projects in the built environment: towns and cities, buildings, the life lived between buildings, and the built heritage.
The focus of our philanthropic activities is directly linked to our history as a mortgage-credit institution.