CapitaLand Investment receives top sustainability recognition with 5-star rating
CapitaLand Investment Limited (CLI) and its real estate investment trusts (REITs) and business trusts have once again received top recognition for their sustainability achievements in the 2022 GRESB Real Estate Assessment. CLI and CapitaLand Integrated Commercial Trust (CICT) both maintained the highest 5-star rating, placing them in the top 20% of the benchmark globally. CapitaLand Ascott Trust (CLAS) is the only hospitality trust in the ‘Asia Pacific Hotel – Listed’ category to receive a 5-star rating. CLAS also retained the ‘Global Sector Leader – Hotel’ position and is first in the ‘Asia Pacific Hotel – Listed’ category for the second consecutive year. CLI, CLAS, CICT, CapitaLand Ascendas REIT, CapitaLand China Trust and CapitaLand India Trust were awarded an ‘A’ for public disclosure. CapitaLand is also the first real estate company in Singapore to be consistently ranked among the top 20% since 2011.
With CLI’s, CICT’s and CLAS’ ratings on 2022 GRESB, they will obtain interest rate savings from their existing sustainability-linked loans and bond based on their GRESB achievements. To date, CLI and its listed REITs and business trusts have partnered with 17 financial institutions1 to secure a total of S$10.9 billion in sustainable finance comprising sustainability-linked loans and bond, green loans, green bonds and perpetual securities. In 2022, CLI and its listed REITs and business trusts have secured S$4 billion through 18 sustainable financing instruments, of which S$1.3 billion from seven sustainability-linked loans are pegged to their performance on GRESB.
Mr Vinamra Srivastava, CLI’s Chief Sustainability Officer, said: “CLI integrates sustainability into every stage of the real estate life cycle, from investment to development, operations, and financing. Our strong environmental, social and governance (ESG) performance continues to be recognised by prestigious international indices such as GRESB. This allows us to achieve interest rate savings from our sustainability-linked loans and bond, quantifying the value of our ESG impact. The savings are channeled to fund decarbonisation initiatives and innovations, accelerating our transition to a greener future. Leveraging technology to increase efficiency in energy and water can yield tangible financial results and is a key lever in our carbon mitigation hierarchy.”
“We will continue to expand our global network of capital partners to step up our sustainable financing. With sustainability at the core of everything we do, we remain committed to delivering measurable value through our ESG efforts, as we strive towards our ambitious 2030 Sustainability Master Plan targets and to achieve Net Zero emissions by 2050,” added Mr Srivastava.
Mr Ruben Langbroek, GRESB’s Head of Asia Pacific, said: “We would like to commend CLI and its listed trusts for consistently achieving top ratings in the GRESB assessments. CapitaLand has been an early participant in the GRESB assessments since 2011 and it has continued to demonstrate leadership in sustainability in the real estate sector. By pegging their sustainability- linked loans to their GRESB rankings, CLI and its listed trusts have shown their commitment to delivering tangible results to investors. We encourage more organisations to adopt GRESB for their sustainable financing as we progress towards a climate-resilient future.”
The GRESB Real Estate Assessment is a global benchmark that captures information regarding ESG performance and sustainability best practices for real estate funds and companies worldwide. The assessment is shaped by what investors and the industry consider to be material issues in the sustainability performance of real asset investments and is aligned with international reporting frameworks. In 2022, more than 1,800 property companies, REITs, funds and developers participated in the real estate assessment. Continually recognised as a global sustainability leader by international indices.
