Partnerships have a long history in European social housing with a mixed degree of success. They are an emerging model in post-socialist countries driven by budgetary constraints, rapid privatisation of public housing, and pragmatic efforts to respond to a complex housing affordability crisis. This article evaluates the challenges and opportunities of a new partnership model implemented in Albania to provide social rental housing. The project, launched in 2009, involves a legally defined partnership between central and local governments, the private sector, and an international financial institution. It has doubled the amount of municipal rental housing, addressing the needs of low- and mid-income households in Albania through the construction of 1,138 rental apartments for 4,300 people in eight cities. The allocation process, although politically charged, has been targeted. The partnership has capitalised on efficiencies, sound fiscal management, and cost and quality control. Despite some construction delays and potential concerns related to future sustainability, we argue that the partnership model is effective and has an important learning and innovation role for the future provision of social housing in Albania as well as in other post-socialist countries in South-East Europe facing similar challenges.