Climate Finance
It’s getting a little easier being green.
Lloyds Bank’s Green Lending Initiative offers real estate owners lower-cost capital to make energy-efficiency upgrades.
Bridges Ventures secured the first such discount for an existing loan. Lloyds is cutting Bridges’ interest rate by 0.2 percent in exchange for Bridges’ commitment to energy upgrades across its Flexspace chain of flexible office space.
The lower rate applies to two loans totaling £61 million ($76 million).
As part of the arrangement, Bridges will procure 30 percent renewable energy for the portfolio by the end of the year, increasing to 45 percent renewable next year. Bridges will also install energy-efficient lighting and share the portfolio’s energy performance data with Lloyds.
Real estate is responsible for more than one-third of total carbon emissions in both the U.K. and the U.S.
This post originally appeared in ImpactAlpha’s daily newsletter. Get The Brief.
Photo credit: Glassdoor
