Project Details
Project
Places for People Group Sustainable Finance Framework Second-Party Opinion (2024)
Client
Places for People Treasury plc
Project Type
Sustainability Bond/Loan
Industry Group
Real Estate
Use of Proceeds
Affordable housing; Green buildings; Energy efficiency;
Location
U.K.
Evaluation Date
Oct 2024
Evaluation Summary
Sustainalytics is of the opinion that the Places for People Group Sustainable Finance Framework is credible, impactful and aligned with the Sustainability Bond Guidelines 2021, Green Bond Principles 2021, Social Bond Principles 2023, Green Loan Principles 2023 and Social Loan Principles 2023. This assessment is based on the following:
USE OF PROCEEDS
The eligible categories for the use of proceeds – Affordable Housing, Green Buildings and Energy Efficiency – are aligned with those recognized by the Green Bond Principles, Social Bond Principles, Green Loan Principles and Social Loan Principles. Sustainalytics considers that investments in the eligible categories will lead to positive environmental or social impacts and advance the UN Sustainable Development Goals, specifically SDGs 7 and 11.
PROJECT EVALUATION AND SELECTION
Places for People Treasury plc’s ESG Working Group will be responsible for the evaluation and selection of projects in line with the Framework’s eligibility criteria. The ESG Working Group monitors the environmental and social risks associated with the eligible projects and develops mitigation measures if adverse material risks are identified. Sustainalytics considers the risk management process to be adequate and the project selection process to be in line with market practice.
MANAGEMENT OF PROCEEDS
Places for People’s Treasury team will be responsible for the management of proceeds and will track their allocation using internal accounting and financial management systems, with oversight from the ESG Working Group. Places for People Treasury plc intends to allocate proceeds within 24 months of issuance. Pending full allocation, unallocated proceeds will be held as cash, placed in a deposit or used to repay debts. This is in line with market practice.
REPORTING
Places for People Treasury plc commits to report on the allocation of proceeds and corresponding impacts on its website on an annual basis until full allocation. Allocation reporting will include the amount of total proceeds from issuance, the total amount of proceeds allocated to each project and the type of financial reference, the amount and percentage of financing and refinancing, a description of each project and the balance of unallocated proceeds. Sustainalytics considers the allocation and impact reporting as aligned with market practice.