Kuwait-listed regional real estate developer Mabanee has secured a green loan of 25 million Kuwaiti dinars ($81.4 million) to finance the Souq Sabah (S3) project in Sabah Al-Ahmad city.

The green loan was secured from National Bank of Kuwait (NBK), according to a bourse statement.

The tenure of the loan is 100 months, the statement said.

S3, spread over an area of 40,121 square metres (sqm), will feature a 3-star 110-key Hilton hotel, a shopping mall, retail outlets, restaurants and cafés, cinemas, a supermarket, family entertainment zones, and a 523 vehicle 6-storey car park. The retail component accounts for 23,200 sqm.

The development, valued at KWD 25 million, is targeting LEED Gold Certification for Building Design and Construction (LEED BD+C).

The deal, billed as Kuwait’s first green financing agreement, has been structured in accordance with the Green Loan Principles (GLP) published in 2023 by the Loan Market Association (LMA), according to a separate NBK statement issued on Wednesday.

(Writing by SA Kader; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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