Financing

Norwegian Property has established as part of its finance policy that the LTV level should be between 45-55%.

The company’s goal is to reduce refinancing risk through a diversified maturity profile.

Funding sources are split between bank loans, bilateral loans and listed bonds. As real estate is a capital-intensive business, it is essential for the company to maintain good relations with several large banks, active and stable in the Norwegian market.

The bond market has been the most important funding source to Norwegian Property for several years.

By the end of Q4-2023 the split was 27% bank loans, 25% bilateral loans, 36% listed bonds and 12% green bonds (5% were both green and listed).

Scope assigned Norwegian Property ASA first-time issuer rating of BBB- with Stable Outlook based on Q1-2022 figures. Scope affirmed the rating on 4th May 2023.

NPRO published its Green Bond Framework with the second opinion from Cicero in May 2021, and the company’s first Green Bond report was published in June 2022.