Sustainability Finance
ＨＯＭＥ ＞ Initiatives for Sustainability ＞ Sustainability Finance
Marubeni Private REIT Investment Corporation ("MPR"), for which we are entrusted with asset management operations, has formulated as below the Sustainability Finance Framework to more accelerate its efforts to promote sustainability, diversify financing methods, and contribute to society through sustainability finance.
Sustainability Finance Framework
1.
Use of funds
Green eligibility criteria
Green loans are loans that are allocated to new loans or refinancing funds using assets or construction works which satisfy the "Green eligibility criteria" below.
1.
Green eligible assets
Assets for which any of the following certifications from third-party certification bodies has been or will be obtained or wll be developed.
・DBJ Green Building Certification : 3Stars, 4Stars or 5Stars
・BELS Certification
BELS (2016 Standards) : 3Stars, 4Stars or 5Stars (Note1)
BELS (2024 Standards) : Non-residential: Level 4 or higher (Note2)
Residential buildings with renewable energy equipment: Level 3 or higher (Note3)
Residential buildings without renewable energy equipment : Level 3 or higher (Note3)
(Note1) It must not be existing non-conforming (factory, etc. including logistics warehouses: BEI = over 0.75).
(Note2) New acquisitions of existing buildings built before 2016 must be at level 3 or higher (BEI = 0.8 or less) and not be existing non-conforming.
(Note3) New acquisition of existing buildings built before 2016 shall be eligible at level 2 or higher regardless of the presence of renewable energy.
・Certification for CASBEE for Real Estate (excluding the municipal version) : B⁺, A or S rank
・CASBEE architecture (new construction) evaluation certification: B+, A or S rank
・LEED certification: Silver, Gold, Platinum (for LEED BD+C, from version 4 onwards)
2.
Renovation work etc
・Renovation work intended to improve the number of stars or the grade/rank by one or more of the Green eligible asset certifications in above
・Renovation work intended to reduce either energy consumption, greenhouse gas emissions such as CO2 emissions, or water consumption etc (by 30% or more).
・Regarding the exterior envelope performance, the BPI should be 0.8 or lower for non-residential buildings, and renovations should achieve the enhanced exterior
envelope standards for residential buildings.
・Installation or acquisition of facilities related to renewable energy
Social eligibility criteria
Social loans are loans that are allocated to new loans or refinancing funds to assets which satisfy the "Social eligibility criteria" below.
・Healthcare facilities, etc. : Facilities and residences that provide high-quality nursing care and other welfare services to the elderly
・Childcare facilities, etc. : Facilities that provide high-quality childcare for children, including nursery schools etc.
・Medical facilities, etc. : Facilities where a medical facility is a tenant and local people can receive high-quality medical care and contribute to their health.
Sustainability eligibility criteria
Sustainability loans are loans that are allocated to new loans or refinancing funds using assets that meet both the Green eligibility citeria and the Social eligibility criteria defined above.
2.
Project Evaluation and Selection Process
Projects subject to the use of funds such as sustainability loans are determined through necessary internal procedures after selecting projects for which the proceeds will be used, verifying and evaluating them to the eligibility criteria, and following the provisions of the internal regulations of the Asset Manager and the Investment Corporation.
3.
Management of raised funds
In principle, the funds raised are fully allocated to pre-selected projects, and as long as the funds procured exist, the allocated funds are tracked and managed internally. However, if the funds procured are not appropriated for assets defined in the Sustainability eligible criteria, etc., the unallocated funds will be managed in cash or cash equivalents until the funds procured are allocated to the target project.
4.
Reporting
MPR will disclose the following indicators until the repayment date of each loan arrives.
① Green Loans
- Number of eligible asset properties
- Status of certification acquisition for each green eligible asset that has allocated funds
- Evaluation of certification
- Energy consumption (Note)
- CO₂ emissions (Note)
- Water consumption (Note)
- Effects of renovation work
② Social Loans
<Output Indicators> (Note)
- Overview of healthcare facilities, etc. (number of rooms, content of elderly support services provided, etc.)
- Overview of childcare facilities, etc. (number of childcare rooms, content of parenting support services provided, etc.)
- Overview of medical facilities, etc. (number of rooms, number of beds, content of medical services provided, etc.)
<Outcome Indicators> (Note)
- Maximum capacity (available) number of people for healthcare facilities, occupancy rate, etc.
- Maximum capacity number of people for childcare facilities, utilization rate, etc.
- Maximum capacity number for medical facilities, operating rate, etc.
(Note) Disclosed within the possible range.
Evaluation by an External Organization
MPR is subject to the Sustainability Finance Framework by Japan Credit Rating Agency, Ltd. ("JCR"). We have obtained "SU1(F)", the highest level of the JCR Sustainability Finance Framework Evaluation.
