Project Details
Project
grundbesitz europa Green Bond Framework Second-Party Opinion
Client
DWS Grundbesitz GmbH
Project Type
Green Bond/Loan
Industry Group
-
Use of Proceeds
-
Location
Germany
Evaluation Date
Jan 2022
Evaluation Summary
Sustainalytics is of the opinion that the grundbesitz europa Green Bond Framework is credible and impactful and aligns with the four core components of the ICMA Green Bond Principles 2021. This assessment is based on the following:
USE OF PROCEEDS
The eligible category for the use of proceeds – Green Buildings & Energy Efficiency – is aligned with those recognized by the Green Bond Principles. Sustainalytics considers that investments in the eligible categories are expected to reduce carbon emissions and improve the energy performance of buildings in the European Union and the UK, and advance the UN Sustainable Development Goals (SDGs), specifically SDGs 7 and 11.
PROJECT EVALUATION / SELECTION
DWS Grundbesitz GmbH (the “Company”), on behalf of grundbesitz europa (the “Fund”), has established a group which is responsible for identifying and evaluating projects in line with the eligibility criteria. This group is comprised of the Company’s Global Head of ESG Real Estate, the Fund Manager, Head of Real Estate Asset Management in Europe and ESG specialists. The Fund’s risk review process applies to all allocation decisions made under the Framework. Sustainalytics considers these risk management systems to be adequate and the project selection process to be in line with market practice.
MANAGEMENT OF PROCEEDS
The net proceeds will be deposited in the Fund’s general account or one of its sub-accounts, and an amount equal to the net proceeds will be earmarked for allocation to eligible assets. The proceeds will be managed on a portfolio basis using an internal Green Bond Register. The Fund intends to allocate an amount equivalent to the net proceeds within two years following each green bond issuance. Pending allocation, proceeds will be temporarily managed in accordance with the Fund’s general liquidity policy and may be used to refinance debt. This is in line with market practice.
REPORTING
The Company on behalf of the Fund intends to report on the allocation of proceeds on the Fund’s website on an annual basis until full allocation. Allocation reporting will include an overview of the eligible projects by category, the equivalent amount of net proceeds allocated, the geographical distribution of assets and the share of allocation towards new and existing projects amongst others. In addition, the Fund is committed to reporting on relevant impact metrics. Sustainalytics views the Fund’s allocation and impact reporting as aligned with market practice.