Property Certification
A GLOBAL SYMBOL OF BEST PRACTICE IN
GREEN FINANCEOPPORTUNITIES IN TOKYO

MAY 2023

Opportunities in Green Buildings
Tokyo, JapanOne of the most pressing challenges facing Tokyo is its energy consumption. The city is heavily
dependent on fossil fuels, which contribute to greenhouse gas emissions and exacerbate theimpacts of climate change. To reduce its carbon footprint and minimise pollution, Tokyo needs toinvest in sustainable infrastructure. This will not only reduce the city’s carbon emissions, but alsocreate new opportunities for local businesses and job growth.
Another major challenge for Tokyo is its aging population, which places a strain on healthcare
systems and social services. Green buildings can help address this issue by providing healthy andcomfortable living environments for seniors. Features such as improved air quality, natural lighting,and energy-efficient heating and cooling systems can make a significant difference in the quality oflife for seniors, while also reducing energy costs and greenhouse gas emissions.

Attract investors with theHighest Standard ofGreen Credibility.
The Climate Bonds Standard and Certification Scheme is a voluntary labelling scheme fordebt instruments, investments and entities that address the challenge of climate change,
and are aligned with the goals of the Paris Climate Agreement, limiting global warming to
1.5 degrees celsius.
Launched in 2012, the Climate Bonds Standard and Certification Scheme has been applied tohundreds of debt instruments, amounting to USD 270 billion equivalent as of January 2023.
Globally recognised as best practice, we have expanded the Certification coverage to general
purpose instruments, such as Sustainability-Linked Bonds, as well as Entities and Assets.

Benefits of Certification

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Our Certified brand increases
visibility to investors.

A globally recognised
symbol of best practice ingreen finance.
Higher demand for Certified
issuances compared tosimilar issuances.

PROPERTY CERTIFICATION WITH THE CLIMATE BONDS INITIATIVE

456An endorsement of thegreen credentials of theassets/projects.
A demonstration to themarket that Certified
instruments meet highest
standards for climate.
Enhanced reputational
benefits for issuers,companies, or asset owners.

Climate Bonds
Building Criteria
The Climate Bonds Initiative Building Criteria provide definitions for what constitutes agreen activity or investment. Assets, Use of Proceeds, Entities, and Sustainability-linked
debt that comply with the Building Criteria can be Certified, demonstrating to the market
that the Certified instrument meets the highest standards in climate finance. The Criteria
have been designed with an ambition of a zero-carbon future by 2050 and offers apathway to reach that outcome in a manner bespoke to each city’s present circumstances.

The importance of trusted
Building Criteria to achieve a
Sustainable Future:•Buildings account for around 40% of emissions globally.

•The International Energy Agency (IEA) highlights that the building
sector is not on track in meeting the performance targets
required in keeping global temperature rise to no more than
1.5 degree Celsius above pre-industrial levels.

•Early and rapid investment in the sector is critical to meet thisperformance target. Luckily, the technology already exists in thesector to rapidly decarbonise.

PROPERTY CERTIFICATION WITH THE CLIMATE BONDS INITIATIVEClimate Bonds offer Certification
for a range of Building types
COMMERCIAL
A building or portfolio of buildings where more than half of the floor area isused for commercial purposes and is intended to generate a profit, either
from capital gain or rental income. There are sub-categories of Commercial
Buildings, including but not limited to:• Offices• Schools & campuses• Shopping centres & retail• Hotels

RESIDENTIAL

A building or portfolio of buildings where more than half of the floor area is usedor suitable for use for dwelling purposes, including but not limited to the follow
subcategories of residential buildings:• Single family• Multi-family• Rentals

BUILT ENVIRONMENT / UPGRADES

Projects or activities that are not specifically buildings related, but are part of
the wider built environment, such as street lighting upgrade projects. Generallyupgrades should achieve energy performance improvements through theapplication of energy efficiency measures and components that relate to thebuilt environment.

Fast-track Building
Certification in Japan
Climate Bonds has established low carbon trajectories for Commercial Buildings in17 Japanese cities under the Climate Bonds Building Criteria. This is done by taking theemissions intensity of the top 15% of buildings in that city and drawing a linear pathway down
to zero carbon in 2050.

CityAomori
Fukuoka
Hamamatsu
Hiroshima
Kitakyushu

17Cities

Kobe
Kochi
Kumamoto
Kyoto
Morioka
NagoyaNiigataOkayamaOsaka
SapporoSendaiTokyo (Greater Tokyo area)

Options that suit your needs
Building Construction(design, build, capital expenditure)
Certification of Assets or Use of Proceeds
Commercial, Residential, Upgrades

Level 1: Aligned
1.5 degrees aligned

Management of Assets(operations)Certification ofEntities(Commercial only)

Certification ofSustainability-linked debt
(Commercial only)

Level 2: Transition

Path to 1.5 degrees aligned

Interested in the
Climate Bonds Standard &Certification Scheme?

Get in touch!

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Begin theCertification process
Contact our Certification team:

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Online resources
Building Criteria
Certified Bond Database

Certification@climatebonds.net

Disclaimer: The information contained in this document does not constitute investment advice in any form or any invitation or inducement to engage in investment activity
and the Climate Bonds Initiative is not an investment adviser. Any reference to a financial organisation or debt instrument or investment product is for information purposes
only. Links to external websites are for information purposes only. The Climate Bonds Initiative accepts no responsibility for any content on any external website. Certification
under the Climate Bonds Standard relates exclusively to the conformity of one or more designated debt instruments, designated assets and/or designated entities with theapplicable Climate Bonds Standard at the time of certification. Certification under the Climate Bonds Standard carries no implication (and should not be understood as carrying any implication) as to any other aspect of any debt instrument or investment product or any collection of debt instruments or investment products or any asset or entity
or group of assets or entities or as to continuing conformity at any time after the time of certification. Such certification carries no implication (and should not be understoodas carrying any implication) that any stated target has been or will at any time be met or that any particular legal or regulatory requirement has been or will be satisfied. The
Climate Bonds Initiative is not endorsing, recommending or advising on the financial merits or (subject to the previous paragraph) any other aspect of any debt instrument orinvestment product or any collection of debt instruments or investment products or any asset or entity or group of assets or entities and no information within this document
should be taken as such, nor should any information in this document be relied upon in making any investment decision. The decision to invest in anything is solely yours.
The Climate Bonds Initiative accepts no liability of any kind, for any investment made by an individual or organisation, nor for any investment made by third parties on behalfof an individual or organisation, based in whole or in part on any information contained within this, or any other Climate Bonds Initiative document.