MUFG Establishes Green Finance Framework for New Tokyo Headquarters Building

Mitsubishi UFJ Financial Group established a Green Finance Framework for its planned new headquarters building in March 2024 (JCR published its evaluation on 15 March 2024), to fund construction of the building. The framework obtained a second-party opinion from the Japan Credit Rating Agency.

JCR PROVIDES SECOND-PARTY VALIDATION

JCR assessed the framework against the criteria for green finance, examining the intended use of proceeds, the project selection process, the management of funds, and the planned reporting commitments to investors over the life of the instrument.

Under the framework, eligible buildings must hold or obtain at least one of LEED Platinum or Gold, CASBEE Rank S or A, or ZEB certification (ZEB, Nearly ZEB, ZEB Ready or ZEB Oriented), and JCR noted that the MUFG Headquarters Building will obtain ZEB certification and is expected to support MUFG's goal of net-zero emissions from its own operations by 2030.

SINGLE-ASSET FRAMEWORK AND MUFG TARGETS

The framework is dedicated to a single asset: its proceeds may be used only to finance or refinance construction of the MUFG Headquarters Building.

MUFG has committed to achieving net-zero greenhouse gas emissions from its own operations by 2030 and net-zero emissions from its financed portfolio by 2050.