As one of Asia’s largest banks, United Overseas Bank ("UOB") is committed to contribute to the progress of the economies and communities in which it operates in, as well as the region’s long term economic, social and environmental well being. This responsible, long term approach is central to our business and sustainability strategies.
Under the "Sustain Growth Responsibly" pillar of our sustainability strategy, we aim to support sustainable development by integrating environmental, social and governance ("ESG") considerations into our investment and lending decisions, as well as providing sustainable solutions that will help our customers make a difference.
Developers in Asia are building more green buildings and retrofitting existing buildings to a market accepted green standard, but the regional green property financing market, though still in its infancy, is gaining traction especially in Singapore. As a leading real estate bank in the region, UOB has the influence and the opportunity to work with like minded clients to drive the development of sustainable financing in the real estate space and in the process raise UOB’s profile as a leading provider of sustainable financing solutions for the real estate sector.
In this Perspective report, we look at the green building activity and trends in Asia, taking reference from a study done by Dodge Data Analytics in 2018. We also delve deeper into some of the benefits of green buildings, such as a reduction in asset operating costs and how this can lead to an uplift in asset valuation. We take this opportunity to thank Dodge Data Analytics (hereafter "Dodge"), Singapore’s Building and Construction Authority (hereafter "BCA"), and Asia Pacific Real Estate Association (hereafter "APREA") for their support and permission to make reference to their respective reports materials.
In view of the regional opportunities that relate to green building development, UOB has launched its Real Estate and Hospitality Sustainable Finance framework. The Green Loan and Sustainability Linked Loan solutions have been curated for our differing clients who develop, renovate, or acquire real estate assets and have sustainability objectives. For more information on the above insights and banking solutions, please contact us here.