StorHub Group, which operates self-storage facilities in Australia and Asia, has secured a SGD180 million sustainability-linked loan (SSL), a form of financing whose terms are tied to a borrower’s environmental, social and governance (ESG) execution. The capital was obtained through CIMB (Commerce International Merchant Bankers) Bank and United Overseas Bank Ltd. (UOB), with a margin adjustment tied to the environmental performance of StorHub’s 13 locations in Singapore, according to a press release.
The SSL is the first to be issued to a self-storage operator in Asia, company officials said. Several StorHub facilities include environmentally friendly components, including electric-vehicle charging stations, green roofs, HVAC systems enhanced by artificial intelligence, LED lighting and solar power, the release stated.
“As the leader of the self-storage industry in Asia, we take immense pride in spearheading the sustainability-driven movement within our industry,” said Mike Hagbeck, group CEO for StorHub. “This loan exemplifies our steadfast commitment to building a sustainable future and reflects the trust that CIMB and UOB have placed in us to make a positive impact on the environment. We believe that prioritizing sustainability will ultimately create value to our customers, investors, partners and communities.”
“We extend our congratulations to StorHub for successfully securing their inaugural sustainability-linked loan,” said Victor Lee, CEO of CIMB Singapore. “We take pride in playing an advisory role in [our] partnership with StorHub, actively contributing to their sustainability endeavors and ESG best practices.”
“We believe that the financial industry has a responsibility to ensure the region’s long-term progress by engaging stakeholders and facilitating their sustainability journey,” added Lim Lay Wah, group head of the sector-solutions and global-financial-institutions groups at UOB. “We are pleased to provide StorHub their first sustainability-linked loan that demonstrates their proactive approach toward embarking on a more sustainable future.”
Launched in 2003, StorHub Group operates self-storage facilities in Australia, China, Japan, Malaysia, Singapore and South Korea. Its portfolio comprises more than 6.4 million square feet of gross floor area, with more than 70,000 storage units.
Source: PR Newswire, StorHub Secures Asia's First Sustainability-Linked Loan in Self Storage Sector