Abu Dhabi’s Aldar Investment Properties — a unit of Aldar Properties — is marketing a USD 500 mn, 10-year senior green sukuk, with order books already surpassing USD 2 bn, excluding joint lead manager interest, Zawya reports. The Reg S, no-grow issuance was initially priced at 140 basis points over US Treasuries.

Where’s the money going? Proceeds will fund eligible projects under Aldar’s green finance framework.

REMEMBER- Last month, Aldar Properties issued USD 1 bn Reg S hybrid capital notes — the largest conventional hybrid issuance in the Middle East — and closed an AED 9 bn sustainability-linked revolving credit facility — the largest syndicated loan of its kind secured by a real estate firm in the region.

The fundraising spree supports Aldar’s big expansion plans. The Abu Dhabi developer set aside AED 1 bn last year to expand its logistics operations in Abu Dhabi and Dubai, and AED 5 bn for commercial, retail, and hospitality assets set to open between 2025 and 2027. In July, it also committed AED 1.8 bn to scale its commercial presence in key Dubai business districts.

The property developer is no stranger to sustainability-linked debt: Over the past two years it also sold about USD 1 bn in green sukuk.

What’s next? The company is also eyeing non-convertible debentures (NCDs). In December, Aldar requested board approval to issue up to USD 1.5 bn in NCDs, which could be perpetual or have fixed maturities between five and 60 years.

ADVISORS- Aldar Investment Properties Sukuk will act as trustee while Aldar Investment Properties will be obligor. JP Morgan and Standard Chartered are joint global coordinators and lead managers, with our friends at Mashreq and HSBC, along with Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Ajman Bank, Bank ABC, Dubai Islamic Bank, Emirates NBD Capital, First Abu Dhabi Bank, KFH Capital, and Sharjah Islamic Bank also serving as joint lead managers and bookrunners.

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