ABN AMRO is to use sustainability data on property companies and funds in its real estate lending process.
The Dutch bank will participate in the GRESB Green Bond Working Group, which brings together institutional investors, property company issuers and underwriters.
GRESB, the global standard for portfolio-level sustainability assessments in real estate, said it would work with the bank in future.
The bank issued its first green bond in June.
Rutger Schuur, head of commercial real estate lending at ABN AMRO, said: “As climate change risks, building regulation and changing tenant preferences are becoming ever more relevant for the real estate sector, the sustainability profile of borrowers and their assets is increasingly important to real estate lenders.
“The partnership with GRESB will allow ABN AMRO to incorporate sustainability more deeply into the real estate lending process.”
GRESB data has traditionally been used by pension funds and other institutional investors.
Nils Kok, chief executive at GRESB, added: “Access to corporate ESG ratings such as GRESB scores can assist CRE lenders in better identifying sustainability risks that can adversely impact collateral value and a borrower’s ability to repay their loan.”
ABN AMRO plans to participate in GRESB’s Debt Survey next year, benchmarking itself against other large commercial banks.
