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 joint project associates 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 development project in Tengah.
Chew Chong Lim, group head of real property and shipping, aviation, logistics and transportation, institutional banking at DBS, says: “Climate change is increasing, and modifying how we live, work and play. In this progressing landscape, including nature into urban property development is of growing value to create more sustainable and resilient townships where people can thrive and delight in nature.”
Tengah– Singapore’s very first brand-new Housing Board town ever since Punggol more than twenty years earlier– is visualized as a car-lite, eco-friendly community covering 700ha. When fully established, it will present about 42,000 brand-new homes.
Schedule for launch in 2026, the Hong Leong Holdings project will be Tengah’s first exclusive mixed-use non commercial project. Located in Tengah Garden Avenue, it aims to develop a vibrant residential property development comprising approximately 860 homes together with blended retail facilities.
The loan, design according to globally recognised Green Loan Principles, are going to account the project’s green infrastructure and ecological integration efforts, according to a June 3 statement.
Loke Kee Yeu, Hong Leong Holdings’ overall supervisor (projects), says: “As the very first developer to start Tengah’s first private green non commercial development, we aim to support and increase an eco-conscious personal real estate neighborhood whilst partnering with like-minded investors and sustainable financiers such as DBS and OCBC to carry economic savings and benefit residents in this new smart town area. With the worldwide shift to a low-carbon economy, we are strengthening our role as a reliable property developer by inserting accountable green practices across our establishment processes for a more renewable future.”
Some nature-related features of the project consist of “native planting strategies”, “environmental hallways” of split landscaping and incorporated green spaces, and “sustainable smart technologies” to reduce waste.
DBS served as anchor lender and main green loan adviser, providing $484 million, with the rest supplied by OCBC.
