SUSTAINABLE FINANCE
In attaining our key ESG goals and in our transition to a net zero business, CDL has been tapping on sustainable finance since 2017. Our solid grounding and track record in sustainability has helped us gain access to fast-growing sustainable finance. This advances our adoption of green building innovations to design, build and maintain our assets.
In 2021, South Beach Consortium, a CDL-led consortium, secured a $1.22 billion green loan for the refinancing of the South Beach mixed-use development – a double Green Mark Platinum development. In addition, CDL and our JV partner jointly secured green loans of $847 million to finance the development of two Government Land Sales sites at Piccadilly Grand and Tengah Garden Walk. Both developments will obtain the BCA Green Mark GoldPLUS rating, with Tengah Garden Walk EC set to be one of Singapore’s first new SLE private residential developments.
Aligned with good practices, our Sustainable Finance Framework has embraced leading global frameworks including the Green Bond Principles, Green Loan Principles and Sustainability Linked Loan Principles. It demonstrates good governance of CDL’s sustainable financing and contributes to building sustainable and climate-resilient cities and communities.
In the same year, CDL Group Chief Financial Officer (CFO), Ms Yiong Yim Ming, joined UNGC’s CFO Taskforce for the SDGs, joining other C-suites and CFOs of leading companies in unlocking private capital and creating a market to mainstream SDG investments.
CDL Achieves Interest Rate Discount on SDG Innovation Loan
In 2021, through the successful R&D and pilot of DigiHUB, a Facilities Management digital platform developed by our wholly owned subsidiary, CBM Pte Ltd, CDL achieved an interest rate discount on the $250 million SDG Innovation Loan, a sustainability-linked loan secured from DBS Bank in 2019. CDL was the first in Singapore to adopt and apply SDG Innovation linked finance on a large-scale basis.
CDL is Signatory of UN-convened Principles for Responsible Investment (PRI)
In September 2021, CDL was accepted as a signatory of the UN PRI, an investor initiative in partnership with UNEP Finance Initiative (UNEP FI) and the UN Global Compact. The PRI is the world’s leading proponent of responsible investment and supports its international network of investor signatories in incorporating ESG factors into their investment and ownership decisions. As an asset owner and manager, integrating PRI’s Six Principles into how CDL invests will have a profound impact beyond financial value.
From January 2022, CDL CSO was appointed as a member of PRI’s inaugural Real Estate Advisory Committee, which succeeds the Property Working Group coordinated by UNEP FI.
As an extension of our commitment towards sustainable investments, the Board approved the CDL Sustainable Investment Principles (SIP) to steward responsible capital allocation and investments decision-making. The SIP is aligned with the Glasgow Climate Pact, UN SDGs and other global best practices and frameworks such as UN PRI, TCFD, UNEP FI. It also complements CDL’s existing ESG policies and guidelines, including the Climate Change Policy, EHS Policy, Green Building Policy, Biodiversity Policy and Human Rights Policy.
