Sustainability is a key cornerstone for Citycon to create long-term value for its investors and to the communities in which it operates. As a result, Citycon has launched a Green Financing Framework which integrates the company’s sustainability targets with its financing activities. Under the Green Financing Framework, Citycon can issue Green Bonds, Green Commercial Papers, Green Loans, Green Hybrid Bonds or Green Private Placements.
The Green Financing Framework is based on Citycon’s sustainability strategy that spans until 2030 with an aim of becoming carbon neutral by 2030. The framework reflects practices that support the transition to a sustainable and low carbon economy through the development of green assets. Proceeds issued under the framework can be used to finance or re-finance eligible green assets in categories green buildings, energy efficiency, renewable energy or waste management. As at December 31st , 2019, approximately EUR 2.7 billion of Citycon’s property portfolio was eligible for green (re)financing. The annual Allocation of Proceeds and Impact Report 2019, along with a verification report from an external part is available below.
In addition to the annual report, Citycon publishes a quarterly update on the total amount of green assets in each category along with the total amount of outstanding green financial instruments. Quarterly updated figures can be found in the table below.
|Approved Eligible Assets Amount Green Financing (KEUR)||Q1/2020||Q2/2020||Q3/2020|
|New Construction, investments made||143 223||157 017||181 978|
|Existing Buildings||2 447 628||2 690 780||2 667 066|
|- of which previously New Construction or Major Renovation||-||-||-|
|Energy efficiency, Energy retrofits||4 000||4 279||8 015|
|Energy efficiency, Activities enabling clean transport||112||112||112|
|Renewable Energy||1 184||1 249||1 228|
|Total approved Eligible Green Assets||2 596 147||2 853 437||2 858 399|
|Outstanding green financing, nominal amount||350 000||350 000||350 000|
|Remaining approved Eligible Green Assets||2 246 147||2 503 437||2 508 399|