Singapore commercial property landmark One Raffles Quay ( ORQ ) has secured a S$1.13 billion ( US$837.82 million ) sustainability-linked loan ( SLL ), with DBS Bank acting as anchor lender and sole sustainability coordinator.

The financing facility directly ties environmental performance targets to a single commercial asset, one of the first of its kind in the city-state.

Of the total five-year facility, DBS is contributing S$710 million, while ICBC, Bank of China, and OCBC will provide the remaining S$420 million.

The funds will be used to refinance existing debt and support asset enhancement works within the Green Mark Platinum-certified complex, which is jointly owned by Hongkong Land, Keppel REIT, and Suntec REIT.

The loan incentivizes sustainability outcomes by linking interest rate margins to measurable targets, including a 20-29% reduction in both energy consumption and water usage. This structure reflects the growing market appetite for green finance tied to performance-based environmental benchmarks.

Located strategically between Raffles Place and Marina Bay, ORQ is a premier Grade-A office development that provides 1.3 million square feet of premium workspace and houses marquee tenants such as Deutsche Bank, EY, and ByteDance.

“This significant transaction highlights the continued momentum for sustainable finance in Asia, leveraging SLL structures to enhance sustainability standards at the asset level,” says Chew Chong Lim, group head of real estate at DBS.

Syahzan Kudus, chief executive officer of Raffles Quay Asset Management ( RQAM ), adds: “This landmark loan underscores our commitment to sustainable real estate practices, not just in our operations but in partnership with tenants as well.”

RQAM was founded in 2001 by CK Asset Holdings Limited, Hongkong Land, and Keppel. RQAM oversees the management of One Raffles Quay and Marina Bay Financial Centre, two prominent developments in Singapore’s Marina Bay downtown district. These properties offer a combined 4.5 million square feet of prime Grade-A office space and 179,000 square feet of retail space.

As buildings contribute roughly 20% of Singapore’s carbon emissions, the ORQ transaction signals a broader pivot towards asset-level climate action in the nation’s real estate sector.