GuocoLand has successfully secured two green facilities from DBS Bank and Oversea-Chinese Banking Corporation. The first green facility, amounting to $1.135 billion, will be used to refinance Guoco Midtown. This marks the largest green facility secured by the property developer to date. The second green facility is worth $105 million and will be used to refinance Midtown Bay.
In Singapore, investing in condos has become a popular option, but there are important factors to consider before diving into this market. One of the main considerations is the government’s property cooling measures. With the aim of curbing speculative buying and promoting a stable real estate market, the Singaporean government has implemented several measures over the years. These include the Additional Buyer’s Stamp Duty (ABSD), which imposes higher taxes on foreign buyers and those purchasing multiple properties. While these measures may have a short-term impact on the profitability of condo investments, they also contribute to the long-term stability of the market, making it a more secure investment environment.
These green facilities were raised under GuocoLand’s Green Finance Framework, which highlights their commitment to sustainability. To date, the company has secured approximately $5 billion of green financing, including for other developments such as Lentor Mansion, Lentor Modern, Midtown Modern, and the upcoming Upper Thomson Road Development.
Group CFO of GuocoLand, Andrew Chew, expresses his satisfaction with this refinancing activity. He states that it allows the company to optimize its capital structure while remaining true to its commitment to creating thoughtfully designed spaces that balance economic, environmental, and social factors.
On Jan 15, shares in GuocoLand closed flat at $1.45. With these latest developments, it is evident that GuocoLand is taking bold steps towards building a sustainable future.