Link REIT bags $948.04m sustainable loan from DBS

Proceeds will be used for general corporate funding purposes.

Link REIT has secured a $948.04m (A$212m) five-year sustainability-linked loan from DBS Bank, which is said to be the first by an Asian REIT to be linked to the Global Real Estate Sustainability Benchmark (GRESB), an announcement revealed.

To incentivise sustainable practices, DBS has structured the loan to incorporate a reduced pricing structure with interest cost savings.

DBS stated that Link will be eligible for the interest savings if it maintains its listing on leading global sustainability indices and achieves sustainability milestones based on performance in the annual independently assessed GRESB, which is said to be the leading sustainability benchmark for real estate and infrastructure investments across the world.

The proceeds of the loan will be used for general corporate funding purposes including sustainability initiatives.