Green Finance

Green Finance Initiatives

Green Finance Initiatives

NBF has established a green finance framework with an aim to obtain more than 10 billion yen green finance.

Outline of Green Finance Framework

1.Use of Procured funds

NBF will use the procured funds to acquire assets that meet the eligibility criteria (“Eligible Green Assets”), or to repay the loans taken out/redeem the investment corporation bonds (including green bonds) issued for the acquisition.

2.Eligibility Criteria

Assets that have already received or are expected to receive any of the following certifications given by third-party certification bodies are considered eligible.

Five, four, or three stars in the DBJ Green Building Certification
Five, four, or three stars in the BELS assessments
S, A, or B+ grade in the CASBEE for real estate certification

3.Evaluation and Selection of Projects

Candidate projects are selected by NBF and the Real Estate Investment Department of Investment & Finance Group of NBFM. Final selection is made with the decision of the President after deliberation at the Investment Review Meeting consisting of general managers or higher ranked personnel of each department and deliberation at the Executive Board.

4.Management of Procured funds

The funds procured by NBF are managed under the portfolio approach. As long as there is an outstanding balance of green finance, the Finance and Accounting Department of the Investment & Finance Group of NBFM ensures that the outstanding balance of green finance will not exceed the total acquisition price of Eligible Green Assets each year. Unappropriated funds are managed in cash and cash equivalents.

5.Reporting

NBF discloses the following items once a year on its website.

Property names of Eligible Green Assets and the total acquisition price
Amount of eligible green debt
Outstanding balance of green finance
Types and ratings of green building certifications given to Eligible Green Assets*1
Energy-based CO₂ emissions, etc.*2

Please click here to see types and ratings of green building certifications given to Eligible Green Assets.
Please click here to see energy-based CO₂ emissions, etc.

as of December 31, 2023

Total acquisition price of Eligible Green Assets	1,439.5 billion yen
Amount of green eligible debt	1,439.5 billion yen
Outstanding balance of green finance	63.0 billion yen

Status of appropriation of funds from NBF’s green finance is as follows.

Green finance	63.0 billion yen
Green bonds (GB)	5.0 billion yen
Green loans (GL)	58.0 billion yen

Green Finance Overview*1

as of December 31, 2023

Year	Amount of money	Procurement*2	Fund appropriation target
2021	5.0 billion yen	Green Bond	Osaki Bright Tower, Nagoya Mitsui Main Bldg. and Nagoya Mitsui New Bldg.
2022	35.0 billion yen	Green Loan	IIDABASHI GRAND BLOOM (Additional Acquisition), Toyosu Bayside Cross Tower
2023	23.0 billion yen	Green Loan	IIDABASHI GRAND BLOOM (Additional Acquisition), Toyosu Bayside Cross Tower (Additional Acquisition)
Total	63.0 billion yen	-	-

We have obtained a second-party opinion from Sustainalytics, an ESG assessment firm, regarding our eligibility for the Green Finance Framework.
Individual finance information can be found on the website (https://www.nbf-m.com/nbf_e/financial/borrowings.html).