Frasers Property launches A$600m ‘green' loan in Australia

It will refinance an existing debt facility due in 2020.

Frasers Property’s Australia business has secured its first corporate syndicated green loan in Australia, which is a A$600m five-year term loan that will be used to refinance an existing debt facility due in 2020, an announcement revealed.

To incentivise sustainable practices, the green loan has a reducing pricing structure with interest cost savings from the second year onwards if Fraser Property Australia’s five-star Global Real Estate Sustainability Benchmark (GRESB) ratings are maintained. This syndicated green loan in Australia is Frasers Property’s third green loan.

Previously, Frasers Property’s indirect wholly-owned subsidiary Frasers Property North Gem Trustee has clinched a green club loan worth $785m which will be used to refinance existing loans relating to the development of retail mall Northpoint City South Wing.