Green Bond Fact Sheet

Growthpoint Properties

Date: 09-Mar-2018

Issue date: 09-Mar-2018 Maturity date: 09-Mar-2028 Tenor: 5-10
Issuer Name

Growthpoint Properties

Amount Issued

ZAR1.1bn (USD93.1m)

Country of risk

South Africa

CBI Database

Included

Issuer Type1

Financial Corporate

Bond TypeGreen Bond

Green Bond Framework

Link to GB Framework

Second party opinion

N/A

Certification Standard

Not certified

Assurance report

KPMG

Certification Verifier

N/AGreen bond rating

N/A☐ Energy☐ Solar☐ Onshore wind
☐ Offshore wind
☐ Geothermal☐ Hydro☐ Tidal☐ Biofuels☐ Bioenergy☐ Waste to energy☐ District heating☐ Electricity grid

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☒ Buildings☒ Certified Buildings☐ HVAC systems☒ Energy performance☒ Water performance☐ Energy storage/meters☒ Other energy related☐ Industry: components☐ Adaptation & resilience☐ Transport☐ Electric vehicles☐ Low emission vehicles☐ Bus rapid transit☐ Passenger trains☐ Urban rail

☐ Freight rolling stock☐ Coach / public bus☐ Bicycle infrastructure☐ Energy performance☐ Transport logistics☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Water & wastewater☐ Water distribution☐ Water treatment☐ Wastewater treatment☐ Water storage☐ Storm water mgmt
☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience

Use of Proceeds☐ Land use &agriculture☐ Afforestation/parks☐ FSC Forestry☐ FSC Cellulose & paper☐ Land remediation☐ Energy/water efficiency☐ Sustainable agriculture☐ Adaptation & resilience☐ Other☐ Adaptation & resilience☐ ICT☐ Industry: process

Issue details
Reporting

The company will report annually on the proceeds allocations and will include
information regarding carbon emissions (total tonnes CO2e/m2), energy (electricity
kWh/m2), water (m2/m3), and waste (tonnes/m2).

Company information

Growthpoint Properties is the largest South African real estate investment trust (REIT).
Its portfolio includes retail, office and commercial properties.

Firsts, records andcertifications

Growthpoint Properties is the first South African corporate to issue a green bondlisted on the Johannesburg Stock Exchange.

Proceeds description

The REIT will mainly finance office buildings within its THRIVE Platinum Portfolio,
which includes Growthpoint’s highest rated assets, but retail and industrial buildingsthat meet the eligibility criteria may also be financed. Proceeds will be allocated only
to properties which have obtained at least a Four-Star Green Star rating on a scalefrom one to six.

Climate Bonds viewIt’s great to see South Africa’s pool of green bond issuers expanding with new issuer
types coming to market and we hope to see more of the country’s corporates
following suit.
We haven’t analysed the Green Star SA rating tool before, so let’s take a closer look.
The rating system covers several categories that evaluate the environmental
performance of a commercial property, including energy, emissions, materials andland use. Each category is assigned a percentage score and category weighting factors
are then applied to calculate the final rating. The six levels of the scale also indicate
the weighted score range and a recognition parameter of the rating level achieved(acknowledgement, best practice, South African Excellence, World leadership). We
note that a Four-Star Green Star SA level stands on the middle to upper range of therating system, which is good. What would be even better is seeing issuers achieving
commercial property certifications on the highest end of the scale.
Underwriters

RMB

Deal comments

1

Credit Rating

Baa3 (Moody’s)

Pricing summary

The five, seven and ten-year tranches priced at 139bps (1.39%), 169 bps (1.69%), and200bps (2%) above the three-month JIBAR respectively.

Investors summary

The issue attracted both local and international investor.

Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, non-financial
corporate, sovereign