CapitaLand and its real estate investment trusts have raised S$2.42 billion in sustainability-linked loans over the past two years, and S$1.5 billion in 2020 alone.
Property developer CapitaLand has received a four-year S$500 million ($352.16 million) sustainability-linked bilateral loan from UOB, the largest in Singapore's real estate sector to date, the company announced on Thursday.
The loan is not tied to any specific project or property, but is linked to the company's achievements in the Global Real Estate Sustainability Benchmark (GRESB), which measures the ESG performance of real estate and infrastructure investments across the world. CapitaLand will use the funds for general corporate purposes, according to the announcement.
«Integrating CapitaLand’s ESG performance with our financial metrics demonstrates the Group’s longterm focus on sustainability and responsible growth,» Andrew Lim, CapitaLand group chief financial officer, said.
Cost Avoidance
According to CapitaLand's 11th «Global Sustainability Report» released today, the company has achieved utilities cost avoidance of S$208 million since 2009, up from S$170 million one year ago. In 2019, the group’s energy and water consumption intensities were reduced by 19.2 percent and 22.4 percent respectively compared to 2008, with carbon emissions intensity down 29.4 percent from 2008.
«We are reviewing CapitaLand’s sustainability strategy with a view to setting a more ambitious sustainability roadmap, which will allow CapitaLand to better future-proof our company,» said group CEO Lee Chee Koon. who also said the Covid-19 pandemic has «raised global awareness of the importance of ESG, as major disruptions to businesses can come from anywhere, including the environment.»
CapitaLand owns and manages a global portfolio worth over S$131.9 billion as at 31 December 2019. It has 16 properties in Singapore, China, Belgium, India and four business parks in India that are fully or partially powered by renewable energy.
