QIC Global Real Estate (QIC GRE) has issued a $300 million green bond for capital expenditure associated with the retail property sector.
The QIC Shopping Centre Fund (QSCF), which was one of QIC GRE’s flagship vehicles with interests in retail assets across Australia valued at $15 billion, would mark the new stage in sustainable investment by Australia real estate investment trusts (REITs), the company said.
Also, the QSCF Green Bond would be the first Climate Bonds Certified green bond issued by a retail property landlord globally.
Michael Fattouh, QSCF manager, said the green bond was well received by investors across Asia and Australia, attracting investors with green and ESG investment mandates who were new to QSCF.
“We are proud to have achieved this world first for the retail property sector and deliver on the objectives of our investors to make meaningful and tangible progress towards enhancing our sustainability performance,” he said.
NAB was the green bond arranger and joint-lead underwriter, and the bond was certified the Low Carbon Buildings criteria.
According to QIC, the impact of this capital investment was expected to lead to a minimum 35 per cent reduction in greenhouse gas emissions intensity in three of the assets within the portfolio: Robina Town Centre in the Gold Coast (Queensland), Eastland in Melbourne (Victoria) and Grand Central in Toowoomba (Queensland).