Vesteda refinanced its Sustainability-linked Revolving Credit Facility

Vesteda and its banks signed a new agreement for the refinancing of its Revolving Credit Facility that matured in 2025. The new facility has a size of € 650 million and ensures that Vesteda maintains sufficient liquidity headroom for its financial commitments. The new facility again is a Sustainability-linked Revolving Credit Facility. 

The new facility embeds four KPI’s that will measure Vesteda’s sustainability performance: minimum GRESB score, installation of solar power capacity, the reduction of actual scope 1, 2, and 3 carbon emissions (through a carbon reduction of 55% in 2030compared to 1990) by reducing the energy consumption and the outperformance of the IVBN benchmark on tenant satisfaction. 

These KPI’s match the sustainability goals of Vesteda and are embedded in Vesteda’s strategy. If Vesteda meets the majority of these KPI’s, Vesteda obtains a reduction in interest margin. On the other hand, the interest margin will increase if Vesteda fails to meet these KPI’s. This is an extra incentive for Vesteda to improve its sustainability performance. 

Vesteda arranged this financing with ABN AMRO, BNP Paribas, ING, Rabobank, and SMBC. The new facility has a tenor of five years and includes an extension option of one year. It will mainly be used as a back-stop facility for the Euro Commercial Paper program.