Hong Leong-led consortium secures $692 mil green loan from DBS, OCBC for Tengah’s first private mixed-use development
A Hong Leong Holdings-led consortium, comprising shared project partners GuocoLandLimited and CSC Land Group, has secured a $692 million green loan from DBS Bank and Oversea-Chinese Banking Corporation (OCBC) to subsidize a “nature-aligned” urban property development project in Tengah.
Chew Chong Lim, group head of realty and shipping, aviation, logistics and transportation, institutional business banking at DBS, says: “Climate shift is increasing, and altering how we live, work and play. In this evolving landscape, incorporating nature into metropolitan development is of growing importance to create more sustainable and resilient towns where people can prosper and enjoy nature.”
Loke Kee Yeu, Hong Leong Holdings’ general manager (projects), says: “As the initial developer to embark on Tengah’s maiden private green housing development, we aim to anchor and grow an eco-conscious personal housing neighborhood whilst partnering with like-minded investors and sustainable financiers such as DBS and OCBC to carry economical savings and benefit residents in this new smart town area. With the global shift to a low-carbon economy, we are strengthening our role as a reputable property developer by installing smart green practices across our establishment procedures for a more sustainable future.”
Some nature-related features of the project consist of “native planting strategies”, “eco-friendly passages” of split landscaping and integrated green spaces, and “sustainable smart technologies” to minimize waste.
Tengah– Singapore’s first brand-new Housing Board town ever since Punggol more than twenty years back– is envisioned as a car-lite, environment-friendly community reaching 700ha. When completely developed, it will provide about 42,000 brand-new homes.
Slated for launch in 2026, the Hong Leong Holdings project will be Tengah’s very first exclusive mixed-use residential development. Found in Tengah Garden Avenue, it intends to develop a vibrant residential development comprising around 860 homes together with integrated retail facilities.
DBS functioned as anchor lender and sole green loan adviser, providing $484 million, with the excess provided by OCBC.
The loan, structured according to internationally recognised Green Loan Principles, are going to account the project’s green infrastructure and ecological integration efforts, according to a June 3 statement.
