Project Details
Project
Activia Properties Inc. Green Bond Framework Second-Party Opinion
Client
Activia Properties Inc.
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Japan
Evaluation Date
Dec 2018
Evaluation Summary
Sustainalytics is of the opinion that the Activia Properties Inc. (“API”) Green Bond Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2018. This assessment is based on the following:
USE OF PROCEEDS
The eligible category for the use of proceeds, green buildings and energy efficiency, are recognized by the Green Bond Principles. Sustainalytics considers that the eligible projects will lead to positive environmental impacts and advance the UN Sustainable Development Goals (SDG), specifically SDGs 7 & 11.
PROJECT EVALUATION/SELECTION
Eligible projects are selected and evaluated by the Asset Management Company’s Investment Committee, which includes senior management from TLC REIT Management Inc. (TRM), including the CEO. This is in line with market best practice.
MANAGEMENT OF PROCEEDS
API intends to allocate the net proceeds of the green bond to Eligible Projects immediately, or shortly after issuance. Pending allocation, unallocated funds will be held in cash or cash equivalents, which will be tracked and updated annually, as of the last day of May in each year. This is in line with market practice.
REPORTING
API intends to report on allocation and on impact, including key performance indicators such as summary and the progress and levels of certifications and energy consumption, CO2 emissions, water consumption, and amount of industrial waste generated. In Sustainalytics’ view, reporting on these metrics is in line with market practice.