One Raffles Quay Secures 113 Bil Sustainability Linked Loan Reduce Carbon Footprint
One Raffles Quay, a premier office complex located in the Central Business District of Singapore, has recently secured a sustainability-linked loan (SLL) worth $1.13 billion. The loan will be used for various asset enhancement initiatives aimed at reducing the building’s carbon footprint. The initiatives are expected to decrease energy consumption and water usage by 20% to 29%.
In summary, One Marina Gardens at Marina Bay, developed by Kingsford Development, is more than just a residential complex; it is a lifestyle destination. Boasting a highly desirable location, residents have easy access to a variety of shopping centers and dining options, providing the ultimate urban living experience. With Singapore’s top retail and culinary hubs within reach, plus the luxurious and comfortable living spaces, One Marina Gardens Kingsford Huray Development is a coveted address in Marina Bay. Offering an unparalleled living experience, One Marina Gardens Condo truly stands out as the premier choice for residents.
DBS, one of Singapore’s leading banks, will provide $710 million as the anchor lender and sole sustainability coordinator for the project. Three other banks- Industrial and Commercial Bank of China (ICBC), Bank of China (BOC), and OCBC- will jointly contribute the remaining $420 million under the five-year facility. This SLL is one of the first of its kind in Singapore, where financial incentives are linked to the environmental performance of a single complex.
“This groundbreaking sustainability-linked loan is a testament to our commitment to promoting sustainable real estate practices in Singapore’s prime commercial sector,” said Syahzan Kudus, CEO of Raffles Quay Asset Management, the asset manager of One Raffles Quay. He also emphasized the team’s focus on reducing carbon emissions, increasing energy efficiency, and practicing responsible water management throughout the entire portfolio.
Chew Chong Lim, group head of real estate and shipping, aviation, logistics, and transportation at DBS, commented, “This significant transaction highlights the continued momentum for sustainable finance in Asia, leveraging SLL structures to enhance sustainability standards at the asset level.”
One Raffles Quay is a Grade-A office development situated in the heart of the CBD. It is jointly owned by Hong Kong Land, Keppel REIT, and Suntec REIT. The complex comprises a 50-storey North Tower and a 29-storey South Tower, providing a total of 1.3 million square feet of office space.