Sustainability Finance

Yuexiu Property has deeply integrated sustainable development concepts into its corporate financing strategy by developing diversified financial instruments, including green bonds, green loans, and sustainability-linked loans. Funds raised through these specialized financing tools are allocated entirely to projects that meet national and international green finance standards. By establishing a rigorous Sustainable Financing Framework and introducing third-party certification, the Company ensures transparency and traceability in the use of funds, thereby transforming environmental commitments into verifiable green actions.

Sustainable Financing Framework

To fully integrate the concept of sustainable development into corporate operations, Yuexiu Property established its Sustainable Financing Framework for the first time in 2024, and systematically updated it in 2025 in response to market developments and its own strategic evolution. The framework is designed to provide capital support for projects and assets aligned with the Company’s long-term ESG vision through compliant sustainable financing transactions.

In developing and updating the framework, Yuexiu Property strictly aligns with international cutting-edge standards and best practices. It primarily refers to the voluntary guidelines of the International Capital Market Association (ICMA), including the Green Bond Principles (2025), Social Bond Principles (2025), and Sustainability Bond Guidelines (2021), while also adhering to the Green Loan Principles (2025) and Social Loan Principles (2025) jointly issued by the Loan Market Association (LMA), Asia Pacific Loan Market Association (APLMA), and Loan Syndications and Trading Association (LSTA). This ensures that the Company’s financing practices are fully aligned with international norms.

Green Loans and Bonds

Under the Sustainable Financing Framework, Yuexiu Property commits to allocating the funds raised specifically to finance or refinance eligible green projects and social projects. This encompasses activities including acquisition, construction, development, and renovation, ensuring that the projects deliver significant environmental or social benefits.

Eligible green projects primarily include categories such as green buildings, climate change adaptation, energy efficiency enhancement, and pollution prevention and control. Eligible social projects encompass initiatives like affordable housing construction.

2026

In January 2026, Yuexiu Property successfully issued green dim sum bonds with a total scale of RMB 1.735 billion, featuring a 3-year tenor and a coupon rate of 3.40%. The issuance has obtained the Green and Sustainable Finance Certification from Hong Kong Quality Assurance Agency. The funds raised will be fully allocated to finance eligible green projects in strict accordance with the guidelines under the Company's Sustainable Financing Framework (2025).

2025

In October 2025, Yuexiu Property successfully issued green dim sum bonds with a total amount of RMB 2.85 billion, featuring a 3-year tenor and a coupon rate of 3.30%. The issuance has obtained the Green and Sustainable Finance Certification from Hong Kong Quality Assurance Agency. The funds raised will be fully allocated to finance eligible green projects in strict accordance with the guidelines under the Company's Sustainable Financing Framework (2025).

  • Nearly zero energy project: Shanghai Jing’an Tianyue
  • Nearly zero energy project: Shanghai Yangpu Tianyue
  • Three-star green building project: Guangzhou Pazhou Shade
2024

Yuexiu Property successfully issued a green dim sum bond in July 2024 with a total amount of RMB 1.69 billion. This bond carries a three-year maturity and a coupon rate of 4.10% and marks Yuexiu Property's first green bond issuance. In accordance with the guidelines of Yuexiu Property's Sustainable Financing Framework (2024), the equivalent amount of the proceeds will be used for Yuexiu Property's eligible green projects. This green bond has successfully obtained the Hong Kong Quality Assurance Agency's Green and Sustainable Finance Certification.

  • Ultra-low energy consumption project: Hefei Yaohai Starry Junnan
  • Ultra-low energy consumption project: Hefei Joy Winking

Sustainability-Linked Loan

To further promote the Company's sustainable development through sustainable finance, Yuexiu Property successfully signed a HK$1.56 billion sustainability-linked loan (SLL) with a maturity term of three years on 12 June 2025. This is the first SLL signed by Yuexiu Property and its cost is linked to Yuexiu Property's sustainability performance targets (SPTs). It not only further enriched the Company's sustainable finance portfolio and broadens its financing channels, but also incentivised the Company to achieve its pre-set SPTs.

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