ESG

Managers are facing a ‘mind-blowing’ climate financing need.

The lenders and investors tasked with improving the green credentials of their portfolios are passionate – and fatigued.

Chicago-based manager was part of the capital stack for the construction financing on The Edison, a 378-unit, mass timber luxury apartment building in Milwaukee. 

Property finance was on the agenda during week one of the 29th session of the Conference of the Parties to the United Nations Framework Convention.

The transaction is a record for the Nuveen affiliate and will be used to recapitalize a Class A office building in San Jose.

The pair will combine senior and C-PACE financing to supercharge sustainable real estate developments and existing assets.

The live-work development’s funding includes a $155.5m C-PACE component.

The New York-based manager has raised $1.3 billion for C-PACE lending series over the past 12 months, backed by appetite from insurance companies.

It is still early days for sustainable lending in the US, but the growth of C-PACE and green lending indicates the direction of travel.

Diversity, equity and inclusion have become paramount initiatives for the commercial real estate finance industry, with sweeping changes being driven in part by trade associations and their members, says CREFC's executive director.