Ho Bee Land, a Singapore-listed property investor and developer, has issued its inaugural green bond amounting to S$160 million (US$119 million).

The five-year SGD fixed-rate unsecured bond was issued off the company’s S$800 million multi-currency medium-term note programme.

The bond was distributed across a diverse range of investors, including institutional investors, private banks, corporations, and financial institutions in Singapore.

Net proceeds from the issuance will be used to fund or refinance eligible green projects under Ho Bee Land’s green finance framework. The framework has received a second-party opinion rating of SQS2 from Moody’s, one of the highest ratings for real estate developers and fund managers.

Ho Bee Land has built a diversified portfolio of commercial, life sciences, and residential properties and developments across Singapore, London, Australia and China. Its investment property portfolio in Singapore and London, totalling over 3.5 million square feet of net leasable area, provides a strong recurring income.

Nicholas Chua, chief executive officer of Ho Bee Land, says: "Ho Bee Land is committed to ensuring sustainability is embedded in our business and financial strategies, and this green bond issuance is a testament to our commitment. It allows us to diversify our funding sources and broaden our investor base while reinforcing our dedication to green building practices."

DBS Bank acted as the sole green structuring adviser and global coordinator for the bond issuance, with DBS Bank, Oversea-Chinese Banking Corporation and The Hongkong Shanghai Banking Corporation (Singapore Branch) acting as joint lead managers and joint bookrunners.

“On the built environment front, we see growing demand for green financing as the industry recognizes the role sustainable buildings play in securing a low-carbon future,” says Clifford Lee, global head of investment banking at DBS Bank.

“Beyond raising capital to finance green assets, green bond issuances are also an effective platform for businesses to demonstrate their commitment to sustainability and to access a network of like-minded investors.”