Link REIT Secures First HKD Sustainability-Linked Loan At HK$1 Billion (US$130 Million)
June 11, 2020 — Link REIT said it has signed a five-year sustainability-linked loan of HK$1 billion from OCBC Bank. This marks Link REIT’s first green loan in Hong Kong dollar.
OCBC Bank will offer reductions in the interest rate on a tiered basis subject to Link REIT’s environmental, social and governance (ESG) performance. Link REIT’s ESG performance will be measured by its continued inclusion in leading global sustainability indices as well as improvements in its Global Real Estate Sustainability Benchmark (GRESB) score.
GRESB is the leading sustainability benchmark for real estate and infrastructure investments across the world. Link REIT will use the proceeds of the loan for general working capital and corporate funding purposes.
Link REIT’s maiden sustainability-linked loan signed in March this year was in Australian dollar.
The REIT is a constituent of the Hang Seng Corporate Sustainability Index, the Dow Jones Sustainability Asia Pacific Index and the FTSE4Good Index. Link REIT is also a signatory to the United Nations Global Compact.