Lloyds Bank Commercial Banking has arranged a €600m (£514m) refinancing for Unibail-Rodamco as part of its £1bn green lending initiative.
The margin on the syndicated revolving debt facility will be based on the company meeting sustainability targets in its own green strategy.
Among other targets, Unibail-Rodamco has set out to cut its carbon footprint in half in all of its buildings and committed to 100% green energy by 2030.
This is the first deal in Lloyds’ sustainable lending initiative that involves other lenders. The bank has so far set green requirements against more than £120m of loans, agreeing discounts of up to 20 bps in each if the developer meets the targets set out in the covenants.
John Feeney, managing director and global head of commercial real estate at Lloyds, said: “This is a landmark transaction building on our green lending initiative as it not only brings other banks into the green funding model we established, but also leverages our leading capital markets expertise.
“We are beginning to realise some of the bolder, long-term goals of the green initiative in having a transformative effect on the real estate debt market.”
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