One Raffles Quay (ORQ) has secured a $1.13 billion five-year sustainability-linked loan (SLL) from four banks. The office building complex aims to further minimise its carbon footprint through cutting energy consumption and water usage by between 20% and 29%.
ORQ is certified Green Mark Platinum-certified by the Building and Construction Authority. The complex is jointly owned by Hongkong Land, Keppel REIT and Suntec REIT.
DBS will provide $710 million as the anchor lender and sole sustainability coordinator. In addition, three other banks — Industrial and Commercial Bank of China (ICBC), Bank of China (BOC) and Oversea-Chinese Banking Corporation (OCBC) — will jointly contribute $420 million under the facility.
Proceeds will be used to refinance an existing loan and for general working capital purposes including asset enhancement initiatives.
ORQ is a Grade-A office building located between Raffles Place and Marina Bay. The building comprises two towers, offering a total of 1.3 million sq ft of office space. Major tenants include Deutsche Bank, EY and ByteDance.
Syahzan Kudus, CEO of Raffles Quay Asset Management (RQAM), the asset manager of ORQ, says the landmark SLL “underscores our commitment to advancing sustainable real estate practices in Singapore’s prime commercial sector — both within our operations and in collaboration with our tenants”. “By aligning our financing strategy with measurable ESG targets, we are reinforcing our focus on carbon reduction, enhanced energy efficiency and responsible water stewardship across our entire portfolio.”
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Chew Chong Lim, DBS’s group head of real estate and shipping, aviation, logistics and transportation, institutional banking group, says: “This significant transaction highlights the continued momentum for sustainable finance in Asia, leveraging SLL structures to enhance sustainability standards at the asset level.”
