Green Loans
Precede Capital Partners promotes and incentivises improvements in the environmental profile of the projects we finance by extending Green Loans in alignment with the LMA Green Loan Principles.
Structure
Green loans are broadly structured as Whole loans, but are documented utilising a specialist Green Facility Agreement in order to document sustainability linked KPI’s and incentives.
Eligibility
We have developed a proprietary Green Criteria Framework specifically for residential housing development using the 5 environmental categories below that cover the full project lifecycle, from design stage to end of life:
- Energy & Carbon
- Circular Economy
- Biodiversity
- Water
- Health & Wellbeing
Projects are scored against these categories, allowing borrowers flexibility on meeting the minimum qualifying score.
We also accept projects qualifying for industry recognised certifications such as:
- LEED v4.1
- WELL
- BRE HQM
- Next Generation
Incentives
We incentivise the achievement of mutually agreed environmental performance targets through rate ratchets, exit fee discounts or other financial incentives appropriate to the project.
Green Advisory
Specialist advisory is provided by Longevity Partners in order to assess projects against our framework, provide industry certifications, and for costs consultancy for any agreed environmental performance targets.
