A major commercial real estate investment trust has raised ?650 crore from an international financial institution through a sustainability-linked bond issuance.

The interest rate of the bond is tied to the issuer’s commitment to achieving specific environmental, social, and governance targets aimed at supporting a greener ecosystem. The bonds have a seven-year tenure and carry the highest stability rating from a domestic credit rating agency. Legal advisory support for the transaction was provided by an external law firm.

This collaboration supports the country’s long-term climate goals and highlights the growing role of climate-focused financing in the real estate sector. The assistance is intended to attract more diverse and long-term capital at a time when private investment is essential to building a more sustainable and resilient future.

The bond carries a fixed interest structure, with step-down benefits applied progressively as sustainability targets are met. The issuer has introduced its first sustainability-linked financing framework, allowing it and its subsidiaries to undertake further issuances of sustainability-linked financial instruments.

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