CapitaLand receives a four-year $352 million green loan from UOB

To date, this is the largest amount to have been given to the real estate sector in Singapore 

Property giant CapitaLand announced on Tuesday that UOB (United Overseas Bank) has granted them a four-year SGD500 million (USD352.16 million) green loan. So far, this is the largest amount to have ever been received in the real estate sector in Singapore, reported finews.asia.

According to the property developer, they won’t be using the said loan on a specific property or project. Instead, they will be using it for general corporate matters, particularly since they have been meeting the Global Real Estate Sustainability Benchmark (GRESB), which evaluates the ESG (Environmental, Social and Governance) performance of real estate and infrastructure investments worldwide.

“Integrating CapitaLand’s ESG performance with our financial metrics demonstrates the Group’s long term focus on sustainability and responsible growth,” said Andrew Lim, the group chief financial officer at CapitaLand.

Based on their 11th Global Sustainability Report, CapitaLand has accumulated utility-related savings worth SGD208 million since 2009, which rose from SGD170 million from a year ago.

More: If green buildings are crucial to addressing climate change, why aren’t we seeing more of them?

In 2019, they have reduced their energy and water consumption by 19.2 percent and 22.4 percent respectively, whereas, in 2008, the carbon emissions intensity dropped from 29.4 percent.

“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 Lee Chee Koon, the group CEO at CapitaLand.

He also said that the outbreak has “raised global awareness of the importance of ESG, as major disruptions to businesses can come from anywhere, including the environment.”

CapitaLand, along with its real estate investment trusts, has collected SGD2.42 million in sustainability-linked loans in the past couple of years, plus SGD1.5 billion only in 2020.