Neovantage Innovation Parks secures a green loan for its life sciences real estate portfolio

Neovantage Innovation Parks has secured its inaugural green loan of Rs 300 crores (~C$ 50 million) from HSBC India. This is HSBC’s first green loan facility in the life sciences real estate sector in India. It was awarded on the back of Neovantage Innovation Parks’ commitment to eco-innovation and sustainable operations across its properties. Neovantage Innovation Parks has achieved this by maintaining all its operating buildings a Gold or higher rating under the LEED for Operations and Maintenance (O+M) – Existing Buildings certification, awarded by the US Green Building Council.

Neovantage Innovation Parks, located in Genome Valley in Hyderabad, India, is home to several Pharma and Life Sciences Research and Development (R&D) companies and is a privately operated life sciences real estate portfolio. The portfolio is set up as a joint venture (JV) between Ivanhoé Cambridge, the real estate group of CDPQ, and Lighthouse Canton, a global investment institution.

Refinancing of existing debt with the green loan facility is aligned with the company’s ongoing initiatives to maintain an environmentally responsible and operationally efficient real estate portfolio. The portfolio consists of 8 Grade ‘A’ facilities with multi-national and large Indian companies as tenants. The rating certifies the innovative approaches to the conservation of energy, water, and enhanced indoor air quality, amongst other environmental achievements.

Neovantage Innovation Parks aims towards developing environment-friendly life sciences innovation infrastructure and has reiterated its commitment to its new projects – Building 9900 and Building 4500 in Genome Valley. Both projects have been awarded the LEED Gold Precertification for Building Design and Construction – Core and Shell Development. Building 9900 was completed earlier this year and has been fully leased to a large Indian contract research company. Building 4500 is targeted to be ready for occupancy by October 2024.   

Neovantage Innovation Parks has also secured a rate reduction on the loan, reflecting the reduced risk and enhanced creditworthiness due to its sustainable business practices.

HSBC has previously provided green loan facilities to several other key real estate players in India. This first green loan from HSBC in the life sciences real estate sector in this country marks the next step in India’s commitment to sustainable development.