Cbus Property has further cemented its credentials as a sustainable development leader, securing two green loans for major developments in Adelaide and Sydney under its new sustainable finance framework. 

An ANZ green development loan will fund Cbus’ redevelopment of 111 and 121 Castlereagh Street in Sydney, while a green loan from the Commonwealth Bank will fund construction of the 83 Pirie Street office tower, which is nearing completion in the heart of Adelaide’s CBD.

The sustainability framework, along with the projects funded through the green loans, set an example for the development sector, and highlight Cbus’ leadership in the sustainable building sector.

Developed in partnership with Scentre Group and designed by fjmtstudio, 111 and 121 Castlereagh is a mixed-use project that reimagines the heritage David Jones Men’s Store as a premium retail and office podium, with a luxury residential tower “floating” on top.

The commercial part of the project – known as 121 Castlereagh – includes 11,500 square metres of premium office space over six floors, developed by Cbus Property, along with a 6200 square metre extension of Scentre’s Westfield Sydney shopping complex.

Cbus is targeting 6 Star Green Star and 5.5 star NABERS Energy design ratings for the modern workspaces in the building, which are designed to maximise natural light, will be linked through a dynamic central atrium, and feature a direct connection into Westfield Sydney.

The residential tower – known as 111 Castlereagh – is targeting a 7.6 Star average NatHERS rating across its 101 luxury apartments, which will boast access to a range of luxury amenities, including rooftop gardens, along with views spanning across Hyde Park to Sydney Harbour.

Meanwhile, 83 Pirie is targeting 6 Star Green Star, with the 20-level tower providing around 30,000 square metres of A grade commercial office space. Designed by Woods Bagot, it includes outdoor terraces on the rooftop and level three, as well as over 100 bike racks.

Sustainable finance framework unveiled

The two loans are the first to be secured under the green buildings eligibility criteria set out in Cbus’ new sustainability finance framework, which was released to the public alongside the announcement of the loans.

The framework outlines how Cbus plans to issue and maintain green loans that will support the delivery of its development pipeline and investment portfolio.

The company’s portfolio includes major investments and developments in the commercial, retail, and residential sectors and currently exceeds $6 billion, with a further $5 billion of development work underway.

The framework has been independently verified by EY to make sure it aligns with voluntary guidelines issued by the International Capital Market Association, Loan Markets Association, Asia-Pacific Loan Market Association and the Climate Bonds Initiative.

Development project targets in the framework include:

  • 6 Star Green Star Design and As Built certification
  • designed to achieve (all electric) net zero carbon in operation
  • Platinum WELL certification
  • NABERS Energy 5.5 stars design rating
  • 90 per cent reuse or recycling of materials from construction and demolition
  • Climate Risk Assessments to be undertaken for 100 per cent of projects
  • NatHERS 7.5 star average residential rating

The targets for the Cbus investment portfolio include:

  • Cleaning Accountability Framework (CAF) rating across the managed portfolio (2022)
  • Green Star Performance Portfolio 6 Star average rating (2022)
  • Net Zero Carbon (carbon-neutral) portfolio of buildings (2022)
  • NABERS Energy 6 stars average rating (2025)
  • NABERS Waste 6 stars average rating (2025)
  • Platinum WELL certified managed portfolio (2025)

A strong track record in sustainability

The new projects and the framework build on Cbus’ track record in delivering major green building projects, such as Collins Arch in Melbourne and 1 William Street in Brisbane, that deliver both in terms of sustainability and strong investment returns.

As Cbus Property chief executive officer Adrian Pozzo explained in March during a speech to the Green Building Council of Australia’s Transform conference in Sydney, the company is committed to serving its stakeholders by pushing sustainability boundaries. 

“We’ve got 750,000 stakeholders, all members of the super fund. The average age of those members is 39. So by the time we get to 2050, they’ll be in their retirement phase. So they’re looking at what we’re doing at the forefront of our development,” Mr Pozzo said.

Leave a comment

Your email address will not be published.