The 8 Banks Funding Aldar’s US$2.45bn Sustainability Drive

Share
Abu Dhabi
Giants including Emirates NBD, Citi and J.P. Morgan are part of a US$2.45bn sustainability-linked financing facility won by Abu Dhabi’s Aldar Properties

Aldar Properties, one of the UAE’s leading real estate developers, has closed a groundbreaking US$2.45bn sustainability-linked unsecured revolving credit facility.

The deal is the largest of its kind in the Middle East’s real estate sector and follows Aldar’s successful issuance of US$1bn in hybrid notes earlier this month.

It marks a significant milestone in Aldar’s ongoing financial strategy, with a company press release saying it ensures Aldar is well positioned to execute its ambitious growth plans, as it expands across its development and investment platforms.

Faisal Falaknaz, Group Chief Financial and Sustainability Officer at Aldar

Creating sustainable value

The new facility is six times larger than Aldar’s previous record single-bank financing. It reinforces the company’s balance sheet amid rapid growth in both its residential and commercial property segments.

Faisal Falaknaz, Group Chief Financial and Sustainability Officer at Aldar, said: “This syndicated facility is a significant milestone that highlights Aldar’s financial strength and our ability to attract funding from a wide range of high-quality institutional sources.

“It reflects the trust and confidence global and regional banks place in our business model and trajectory of accelerated growth.”

Faisal added: “This facility, together with our recent hybrid issuance, ensures we remain well positioned to drive our strategic initiatives, capitalise on emerging opportunities and create sustainable value for all our stakeholders.”

Bank of China

Attracting the big banks

The syndicated facility attracted strong interest, with 15 prominent financial institutions participating, including several new names to Aldar’s credit panel.

Key contributors include:

The facility is structured with conventional and Islamic tranches in both AED and USD, making it more inclusive and accessible going forward.

Running over five years, it is tied to a floating rate, allowing Aldar to capitalise on favourable market conditions.

The company said it provides it with enhanced operational and financial flexibility, giving it the firepower to continue executing its expansion strategy.

Youtube Placeholder

What makes it sustainable?

The credit facility is linked to sustainability-focused Key Performance Indicators (KPIs).

Aldar said it “further solidifies” its commitment to responsible business practices and environmental, social and governance (ESG) objectives. The aim is, by integrating sustainability into its financing framework, Aldar not only strengthens its liquidity but also positions itself as a leader in sustainable growth within the real estate sector.

Abu Dhabi

About Aldar Properties

Aldar Properties PJSC is the leading real estate developer and manager in the UAE.

Its business centres around two core businesses: Aldar Development and Aldar Investment.

Aldar Development focuses on developing “integrated, liveable and thriving communities” across Abu Dhabi’s most desirable destinations, including Yas Island, Saadiyat Island, Al Raha and Reem Island.

It is responsible for developing Aldar’s 65 million sq m land bank and includes:

  • Aldar Projects, which manages Aldar's fee-based development management business, including government housing and infrastructure projects
  • Aldar Ventures, which incubates and nurtures new business opportunities and innovation areas
  • Aldar Egypt, the platform focused on developing mixed-use communities in Egypt.

Aldar Investment houses Aldar’s core asset management business comprising a portfolio of investment grade and income-generating real estate assets across retail, residential and commercial.

It also manages Aldar Education, Aldar Estates and Aldar Hospitality and Leisure.

Aldar Education includes Aldar Academies, the leading education group in Abu Dhabi, with 20 schools, over 27,000 students and a growing network of 3,000 educators from over 100 nationalities.


Explore the latest edition of Sustainability Magazine and be part of the conversation at our global conference series, Sustainability LIVE.

Discover all our upcoming events and secure your tickets today.


Sustainability Magazine is a BizClik brand

Share

Featured Articles

How Workiva is Transforming ESG Reporting Strategies

Corporate reporting platform Workiva's latest study reveals 97% of executives see sustainability data integration as key to business growth by 2026

This Week's Top Five Stories in Sustainability

This week's top stories include a forecast for DEI across 2025, missed UN NDC deadlines, energy revolution in the Baltics, Starbucks' legal case & AI laws

McKinsey Will ‘Boldy Pursue’ DEI in Face of Storm

Reports say McKinsey has doubled down on DEI initiatives despite other high-profile firms and businesses retreating from pledges after US executive orders

Apple, IBM & GM Amongst Those Set For DEI Showdowns in 2025

Diversity & Inclusion (D&I)

Which 10 Nations Met the UN's Deadline for NDC Targets?

Net Zero

What Next as Baltic States Switch off Russian Energy Supply?

Renewable Energy