Green Bond Fact Sheet

Hemfosa Fastigheter AB

Date: 21/05/2019

Issue date: 16-05-2019 Maturity date: 16-05-2022 Tenor: 3Issuer Name

Hemfosa Fastigheter
AB

Amount Issued

SEK1.3bn/USD135m

Country of risk

SwedenCBI Database

Included

Issuer Type1

Non-financial
corporate

Bond TypeSenior unsecured

Green Bond Framework

Link to Framework

Second party opinion

CICERO

Certification Standard

Not certified

Assurance report

N/A

Certification Verifier

N/AGreen bond rating

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

☐ Energy storage☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience☒ Buildings☒ Certified Buildings☒ HVAC systems☒ Energyperformance☐ Water performance☐ Energy storage/meters☐ Other energy related☐ Industry: components☐ Adaptation & resilience☐ Transport☐ Electric vehicles☐ Low emissionvehicles☐ 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☐ Wastewatertreatment☐ Water storage☐ Storm water mgmt
☐ Flood protection☐ Desalinisation plants☐ Erosion control☐ Energy performance☐ Infrastructure☐ Industry: components☐ Adaptation & resilience

Use of Proceeds☐ Waste management☐ Recycling☐ Waste prevention☐ Pollution control☐ Landfill, energy capture☐ Energy performance☐ Infrastructure☐ Waste to energy☐ Industry: components☐ Adaptation & resilience☐ 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 issuer commits to reporting at least on an annual basis until no bond funds areoutstanding. The reports will be made public on Hemfosa’s website and will include:
Use of proceeds:• Total amount of green bonds issued• Share of proceeds used for financing/re-financing and split per category (see below)
Share of unallocated proceeds (if any)
Impact reporting:• Type and degree of green building certification, energy performance per m2 and/or
estimated annual greenhouse gas emissions reduced or avoided for buildings(tCO2e)• For energy efficiency projects: amount of energy saved per m2• Estimated annual GHG emissions reduced or avoided (tCO2e)
According to the second Party Opinion produced by CICERO, Hemfosa has confirmed thatcountry specific emission factors will be used when calculating emissions from electricity use.

Company information

Hemfosa is one of the largest private owners of community service properties in Sweden
and the only listed property company with this specialisation. Its markets include Sweden,
Norway and Finland. Their portfolio spans premises including workplaces for police officers,
teachers and doctors, among others. Hemfosa aims to actively adapt their properties to theneeds of these professionals, enabling them to contribute to a sustainable society.

Firsts, records andcertifications

The first Swedish listed community service property owner to issue a green bondProceeds description

The proceeds of the bond will be allocated to green buildings exclusively. The threeeligibility sub-categories listed are:•••New construction and major renovation
Existing buildings (including acquired buildings)
Energy efficiency, e.g. replacing heat pumps, upgrading to LED lighting, improving
ventilation systems and extending district heating/cooling systems

All buildings must meet rigorous certification standards (min. BREEAM Very Good,Miljöbyggnad Silver, PassivHus or GreenBuilding for new buildings). The properties mustalso be either a minimum 25% more energy efficient than the national building regulations(new buildings), resulting in an Energy Performance Certificate (EPC) of A or B. If the asset
undergoes renovation, a minimum 25% improvement in energy efficiency is required.

Climate Bonds view

Swedish property sector green issuance continues to boom. Hemfosa’s inaugural bondbrings the cumulative volume to a whopping SEK54bn/USD6.4bn. CBI are pleased to seethat albeit a debut issuer, Hemfosa has opted to follow market best practice and has
incorporated a commitment for post-issuance reporting, including impact reporting.
Sweden continues to be home to myriad issuers driving best practice in the overall green
bond market.

Underwriters

Nordea, Swedbank

Deal comments
Credit Rating
Pricing summary
Investors summary

1Issuer categories: ABS, development bank, financial corporate, government-backed entity, loan, local government, non-financial
corporate, sovereign