Keppel REIT lands S$150 million green loan from OCBC

Keppel REIT’s Ocean Financial CenterKeppel REIT’s Ocean Financial Center. Photo taken pre-Covid.

Keppel REIT has obtained an unsecured S$150 million green loan facility from OCBC Bank, the REIT’s second green loan facility after a S$505 million one in June, the REIT said in a filing to SGX Wednesday.

The latest green loan can be used to finance or re-finance eligible green projects and fund the growth of the REIT’s green building portfolio, the filing said.

In addition, the REIT established the Keppel REIT Green Loan Framework, in line with green loan principles from the Loan Market Association and the Asia Pacific Loan Market Association, on the use of proceeds, project evaluation and reporting, the filing said.

“Sustainability is a key tenet of Keppel REIT’s strategy. This commitment extends beyond upholding high environmental standards at our
properties, but also covers our financing,” Paul Tham, CEO of the REIT’s manager, said in the statement. “Our Green Loan Framework will provide a clear and structured guide for Keppel REIT as we grow our proportion of green funding sources in our continued drive to build a sustainable future.”

Elaine Lam, head of global corporate banking at OCBC Bank, said her bank’s involvement in the green loan was part of its focus on supporting corporates making a positive environmental impact and pursuing sustainable development.

All of Keppel REIT’s Singapore properties are certified platinum under the Building and Construction Authority’s Green Mark Scheme, the filing said. In Australia, most of its operational buildings have received five stars in the National Australian Built Environment Rating System
(NABERS) Energy rating, the REIT said.