Kiwi Property updates Sustainable Debt Framework

Kiwi Property today released its updated Sustainable Debt Framework (Framework),
which governs the issuance of its Green Debt. A copy of the Framework is attached to
this announcement.
The Framework was last updated in May 2023. The update supports the future
introduction of green loans into Kiwi Property's debt programme. It also aligns the
Framework with the New Zealand Green Building Council (NZGBC) Sustainable Finance
Guide (September 2025, version 2.0) and the latest green bond and green loan
principles.
DNV Australia Pty Ltd has provided a second party opinion confirming the Framework
aligns with the Green Bond Principles (June 2025) and Green Loan Principles (March
2025).
Kiwi Property's existing green bonds will remain aligned with the criteria that applied
when they were issued.
Kiwi Property will continue to monitor the development of the New Zealand Sustainable
Finance Taxonomy and other market standards, and will update the Framework as
required.

ENDS

For further information:
Fraser Gunn
Head of Strategic Finance and Investor Relations
fraser.gunn@kp.co.nz
+64 21 973 534


About us:
Kiwi Property (NZX: KPG) is one of the largest listed property companies on the New
Zealand Stock Exchange and is a member of the S&P/NZX 20 Index. We have been
around for over 30 years and proudly own and manage a significant real estate portfolio
comprising some of New Zealand’s best mixed-use, retail and office buildings. Our
objective is to provide investors with a reliable investment in New Zealand property
through the ownership and active management of a diversified, high-quality portfolio.
Kiwi Property is licensed under the Real Estate Agents Act 2008. To find out more, visit our
website, kp.co.nz

NZX RELEASE
5 October 2026

Kiwi Property updates Sustainable Debt
Framework

---

S
ustainable Debt Framework
October 2026

Kiwi Property Sustainable Debt Framework02
Contents
Purpose
Introduction to Kiwi Property
Sustainable Debt Framework
Section 1: Green Bonds and Green Loans
S
ection 2: Sustainability-Linked Bonds and Loans
Further information

3
4
5
6
9
11

Purpose
This document outlines the governance
framework (Framework) that applies to
Sustainable Debt issued by Kiwi Property.
Kiwi Property Sustainable Debt Framework03

Kiwi Property Sustainable Debt Framework04
Kiwi Property is one of
New Zealand’s largest
NZX listed property
companies. We own,
invest in, develop and
manage some of the
country’s most well-
known properties.
Introduction
to Kiwi Property
Our purpose is to ‘create places where
people connect and thrive’
underpinned by a deeply held
commitment to sustainability that
dates back over 20 years.
Sustainability has a clear role in how we
create value. It is a key aspect of our
corporate strategy because we believe
high-performing, well-rated and
community-connected assets attract
quality tenants, have stronger
occupancy, and support superior
returns for investors. We see
sustainability and long-term
performance of our assets as interlinked
and central to delivering enduring value
for our investors and our local
communities. Accordingly, Kiwi Property
has a comprehensive sustainability
strategy, focused on five material issues:
•
Managing investments for
sustainability performance
•Decarbonising and reducing our
footprint
•
Demons
trating resilience
•Building a future fit workforce
•Living up to our role in local
communities
We measure our performance against
these strategic issues, including a target
to reduce our operational (scope 1, 2 and
selected scope 3) GHG emissions by
20% by 2030 compared to 2024, and a
target to divert 85% of construction
waste (by weight) from landfill for new
asset developments.
We benchmark our sustainability
performance using GRESB, a
standardised and globally recognised
framework for the real estate industry,
NABERSNZ energy ratings and Green
Star and Homestar certifications for our
newly developed assets.
Kiwi Property proudly supports a range
of environmental and community
organisations, including the Mental Health
Foundation, the New Zealand Green
Building Council and Keystone Trust.
For more information on Kiwi Property’s
sustainability efforts and latest
sustainability report, please visit
www.kiwiproperty.com/investors/
reporting-suite

Kiwi Property Sustainable Debt Framework05
Sustainable
Debt Framework
Sustainable Debt may include:
•Green Bonds and Green Loans; and
•Sustainability-Linked Bonds and
Sustainability-Linked Loans.
This Framework sets out the processes
for each of these products and may be
amended from time to time at Kiwi
Property’s discretion, including as
relevant market standards and best
practice continue to evolve.
A reference in this Framework to:
•
we, our and Kiwi Property includes a
reference to (a) Kiwi Property Group
Limited, Kiwi Property Holdings Limited
and each other Group member that
provides a cross-guarantee in respect
of the indebtedness of the Group; and
(b) in relation to property management
functions, any other company
established by Kiwi Property to provide
investment management services on
its behalf;
•
Gr
een Debt means Green Bonds and/
or Green Loans; and
•
Green Debt proceeds means an
amount equal to the proceeds of
Green Bonds and Green Loans.
Important Notice
This Framework does not form part of
the contractual terms of any
Sustainable Debt issued by Kiwi
Property. This means there is no legal
obligation for Kiwi Property to comply
with this Framework or the relevant
market standards described in this
Framework on an ongoing basis. If Kiwi
Property fails to comply with this
Framework or the relevant market
standards:
•
this does not constitute an event of
review, event of default or any other
breach in relation to the Green Bonds
and/or Green Loans;
•
there is no requirement on Kiwi
Property to repay the Green Bonds
and/or Green Loans early; and
•
the Gr
een Bonds and/or Green Loans
may cease to be labelled as “green”.
If Kiwi Property fails to comply with this
Framework or the relevant market
standards, or if any Green Bonds and/
or the Green Loans cease to be labelled
as “green”, Kiwi Property will include
this information in its annual use of
proceeds reporting.
This Framework is
designed to govern
Kiwi Property’s use of
Sustainable Debt on an
ongoing basis.

Kiwi Property Sustainable Debt Framework06
Green Bonds and Green Loans under the
Framework may take the form of:
•
Green Bonds in accordance with the
ICMA Green Bond Principles (GBP)
1
and, where appropriate, Climate Bonds
Standard (CBS) as published by the
Climate Bonds Initiative (CBI); and
•
Green Loans in accordance with the
APLMA Green Loan Principles (GLP)
2

and, where appropriate, the CBS.
In accordance with the above market
standards and best practice, the
Framework covers four key components:
1.Use of proceeds;
2.Process for project evalua
tion and
selection;
3.
Management of proceeds; and
4.Reporting.
1.Use of proceeds
Kiwi Property intends to allocate Green
Debt proceeds to finance or refinance,
wholly or in part, its direct and indirect
investments in existing properties,
properties under development or
property upgrade projects that
constitute Eligible Projects (see below).
Kiwi Property may allocate Green Debt
proceeds to refinance low carbon and
energy efficient buildings without any
limitation on the look-back period
(i.e. regardless of when the building was
constructed) provided the buildings
constitute Eligible Projects at the time
of refinancing.
A reference in this Framework to Green
Debt proceeds being “allocated” means
a notional allocation in Kiwi Property’s
systems.
Eligible Projects
Criteria
To qualify as an Eligible Project, a
building must meet one or more of the
following criteria for the relevant period
that the Green Debt is issued
3
. The
criteria are informed by the GLP, GBP
and the NZGBC Sustainable Finance
Guide September 2025, version 2.0
(NZGBC Guidelines). If the NZGBC
Guidelines are updated, Kiwi Property
will consider whether any changes are
required to the criteria below.
For Green Debt issued from 1 August
2025 to 31 December 2026:
For office, retail and other non-
residential buildings:
•
Certified as obtaining, or evidenced as
targeting, a minimum certification for
construction:
•4 star Green Star Buildings NZ v1.0;
•5 star Green Star – Design and
As Built NZ v1.1; or
•5 star Green Star – Design and
As Built NZ v1.
Where Kiwi Property has obtained a
Green Star ‘Built’ ra
ting for a building, it
intends to, within 3 years of obtaining
that Green Star ‘Built’ rating, obtain a
NABERSNZ ‘operational performance’
rating for that building.
•
Minimum certification verifying
operational performance:
•
4.5 star NABERSNZ v1.2 office energy
rating; or
•
4.5 star NABERSNZ v1.0 shopping
centre energy rating (or such lo
wer or
higher rating as is recommended by
the NZGBC).
For residential buildings, certified as
obtaining, or evidenced as targeting, a
minimum certification for construction:
•6 star Homestar rating v5; or
•7 or 8 star Homestar v4; or
•Any other green building rating that is
a reco
gnised equivalent standard to
one of those above.
For Green Debt issued from 1 January
2027 to 31 December 2030:
For office, retail and other non-
residential buildings:
•
Certified as obtaining, or evidenced as
targeting, a minimum certification for
construction:
•4 star Green Star Buildings NZ v1.0;
•5 star Green Star – Design and As
Built NZ v1.1; or
•5 star Green Star – Design and As
Built NZ v1.
•Minimum certification verifying
operational performance:
•5 star NABERSNZ v1.2 office energy
rating; or
•5 star NABERSNZ v1.0 shopping
centre energy rating (or such lo
wer or
higher rating as is recommended by
the NZGBC).
For residential buildings, certified as
obtaining, or evidenced as targeting, a
minimum certification for construction:
•
6 star Homestar rating v5; or
•
8 to 10 star Homestar v4; or
•Any other green building rating that is
a recognised equivalent standard to
one of those above.
Green Bonds
and Green Loans
1
https://www.icmagroup.org/sustainable-finance/the-principles-guidelines-and-handbooks/green-bond-principles-gbp/
2
https://www.lsta.org/content/green-loan-principles/
3
For any of Kiwi Property's green bonds outstanding as at the date of this Framework (being KPG050, KPG060 and KPG070 (NZX ticker codes)), the Eligible Project
SECTION 1
criteria are those set out in NZGBC Guidance on green buildings ratings for sustainable finance as at the bond issue date. Where an existing Green Debt instrument is
refinanced with new Green Debt, it will be considered a new Green Debt ‘issuance’ and will be subject to the eligibility criteria applicable at the time of refinance.

Kiwi Property Sustainable Debt Framework07
Existing and/or planned buildings that
are targeting (but are yet to receive) one
or more of the above ratings criteria
may also qualify as an Eligible Project
where we have evidence indicating that
the rating will be achieved
4
.
Ownership or investment interest
Eligible Projects may include existing
and/or planned buildings that Kiwi
Property:
•
owns outright;
•owns in part (for example, through an
unincorporated joint venture); or
•has an interest in because we hold a
direct or indirect equity investment
in the owner of the relevant buildings,
where the entity in which we invest
derives at least 90% of its revenue
from green or green targeted assets
(an equity investment).
Where Kiwi Property partially owns an
Eligible Project, the amount of Green
Debt proceeds we may allocate to
finance or refinance that Eligible Project
will not exceed our proportionate share
of the Eligible Project.
Where Kiwi Property has an interest in
Eligible Projects through an equity
investment, the amount of Green Debt
proceeds we may allocate to finance or
refinance our equity investment will not
exceed the proportionate value of those
Eligible Projects equal to the percentage
of our equity investment.
However, if the relevant owner of those
Eligible Projects issues its own green
bonds or loans to finance or refinance
such Eligible Projects, Kiwi Property will
immediately reduce the allocation of
our Green Debt proceeds on a
proportionate basis so that there is no
double counting.
Valuation
Each Eligible Project is valued at its
latest independent market valuation or
at cost (or projected cost if the Eligible
Project is not yet complete) where a
separate market valuation has not been
obtained. When determining the
projected cost of an incomplete Eligible
Project, Kiwi Property relies on the
professional judgement of its
development and senior management
teams and any relevant external advice
(for example, a quantity surveyor).
Continued monitoring
If a building is sold or no longer meets
the eligibility criteria set out in this
Framework, Kiwi Property will:
•cease to categorise that building as an
Eligible Project; and
•reduce the aggregate value of the pool
of Eligible Projects by the value of that
building.
A list of Eligible Projects will be
published within the annual use of
proceeds reporting. For any Green
Bonds or Loans that are certified by the
CBI as complying with the CBS, the
ongoing certification status will be noted
within these reports.
2.Process for project
evaluation and selection
Kiwi Property manages the process of
selecting and evaluating whether an
existing and/or planned building may
qualify as an Eligible Project by:
•
utilising the ext
ernal star rating tools
summarised above and, in the case
of a planned building, assessing the
evidence indicating that a rating will be
achieved;
•
assessing alignment with the eligible
green pr
ojects contemplated by the
GBP or, as applicable, the GLP and the
following United Nations Sustainable
Development Goals (SDGs):
•
SDG 9: Build r
esilient infrastructure,
promote inclusive and sustainable
industrialisation and foster
innovation; and
•
SDG 11: Mak
e cities and human
settlements inclusive, safe, resilient
and sustainable;
•
assessing alignment with Kiwi
Property’s wider sustainability strategy
and objectives;
•
assessing any po
tential negative social
and/or environmental impacts from
the building and mitigants to these
impacts;
•
obtaining e
xternal advice where
appropriate; and
•applying prof
essional judgement and
sustainability knowledge.
Once a building is determined to have
met the relevant criteria for inclusion, it
will be included as an Eligible Project.

4
For example, written confirmation from a registered Green Star Accredited Professional (or other technical/ informed advisers), Green Star Design rating, registration with
the NZGBC, inclusion of a building on the NZGBC database, or confirmation of a pilot rating etc.

Kiwi Property Sustainable Debt Framework08
3. Management of proceeds
In accordance with this Framework, Kiwi
Property intends to allocate Green Debt
proceeds to finance or refinance its
direct and indirect investments in
Eligible Projects.
Kiwi Property maintains a register of
Eligible Projects that outlines (among
other things) their current value,
allocation of proceeds, the applicable
NABERSNZ, Green Star and/or Homestar
rating(s), and the level of Kiwi Property’s
ownership interest.
Kiwi Property monitors the allocation of
proceeds and the current value of
Eligible Projects on a yearly basis,
aligned to the end of year annual
financial reporting process.
Kiwi Property intends to ensure that the
aggregate value of the pool of Eligible
Projects is at least equal to the
aggregate amount of all outstanding
Green Bonds and Green Loans (the
Green Debt Ratio).
Kiwi Property services its debt
obligations under Green Bonds and
Green Loans out of its general cashflows
and not specifically from revenues
generated by Eligible Projects alone.
Unallocated proceeds or surplus funds
In the event that there are unallocated
Green Debt proceeds:
• Kiwi Property will apply an amount
equal to those unallocated proceeds
to repay revolving bank debt or
to invest in cash deposits or cash
equivalents until Kiwi Property is able
to allocate an amount equal to those
unallocated proceeds in accordance
with this Framework;
• no contractual right of review or
repayment will arise, and no loss of
green classification will occur; and
• Kiwi Property will disclose this
information within the annual use of
proceeds reporting.
Kiwi Property will endeavour to allocate
any unallocated Green Debt proceeds in
accordance with this Framework as
soon as practicable.
4. Reporting
Kiwi Property understands the
importance of transparency and
disclosure. All reporting will be in line
with applicable market standards.
The reporting described below will be
publicly available.
Use of proceeds reporting
Kiwi Property will provide annual use of
proceeds reporting (aligned to the end
of year financial reporting process)
which includes:
• summary of the pool of Eligible
Projects, including location, type
of asset, whether complete or in
development, ownership or investment
interest and valuation (adjusted to
reflect our ownership or investment
interest);
• current NABERSNZ, Green Star and/or
Homestar rating(s);
• confirmation of the aggregate amount
of Green Bonds and Green Loans
outstanding;
• confirmation of the Green Debt Ratio;
• disclosure of any unallocated
proceeds;
• alignment with relevant SDGs;
• confirmation of compliance with
applicable market standards; and
• assurance updates or the most recent
assurance report.
Impact reporting
Kiwi Property will also report annually on
relevant environmental impact metrics
in its sustainability report. Examples of
impact indicators that may be reported
include the relevant building rating, floor
space of qualifying green real estate
(m
2
), GHG emissions footprint by
building, and reduction over time
(tCO
2
-e).
Assurance
In accordance with the applicable
market standards, Kiwi Property will seek
assurance from an approved verifier on
an annual basis for the use of proceeds
issued under this Framework, and as
deemed necessary by Kiwi Property.
Confirmation of assurance will be made
publicly available.
In the case of Green Loans, Kiwi Property
may also elect to provide lenders with
independent evidence of green building
certifications / ratings and valuations for
each Eligible Project on a semi-annual
basis (or such other frequency as
determined by Kiwi Property).
Sustainable Debt Framework
Any amendments to the Framework will
be made publicly available.
In accordance with the applicable
market standards, Kiwi Property may
seek to obtain assurance from an
approved verifier if it makes any material
amendments to the Framework.

Kiwi Property Sustainable Debt Framework09
Sustainability-Linked
Bonds and
Sustainability-Linked
Loans
Sustainability-Linked Bonds and
Sustainability-Linked Loans are distinct
from Green Bonds and Green Loans as
described above. Proceeds from
Sustainability-Linked Bonds and
Sustainability-Linked Loans are utilised
for general corporate purposes. The
proceeds are not required to be
allocated towards, monitored or tracked
against any specific purpose.
Sustainability-Linked Bonds and
Sustainability-Linked Loans issued
under the Framework may take the
form of:
• Sustainability-Linked Bonds
in accordance with the ICMA
Sustainability-Linked Bond Principles
(SLBP)
5
; and
• Sustainability-Linked Loans in
accordance with the APLMA
Sustainability-Linked Loan Principles
(SLLP)
6
.
In accordance with the above market
standards and best practice, the
Framework covers five key components:
1. Selection of key performance
indicators (KPIs);
2. Selection of sustainability
performance targets (SPTs);
3. Financial characteristics;
4. External review; and
5. Reporting.
The above components form part of the
SLBP. The SLLP components are
substantially similar to those above, and
references for Sustainability-Linked
Loans will be highlighted where required.
Selection of KPIs
When undertaking an issuance of
Sustainability-Linked Bonds or
Sustainability-Linked Loans, Kiwi
Property will communicate how the
instrument and selected KPIs relate to
elements of Kiwi Property’s sustainability
strategy and the Framework that are
material to the Company’s overall
performance.
Kiwi Property is committed to delivering
a brighter New Zealand by reducing its
resource consumption, supporting
community building and providing a
reliable investment option via a resilient
and high-quality property portfolio.
For the issuance of Sustainability-Linked
Bonds or Sustainability-Linked Loans,
where the bond coupon or the loan
margins are linked to the achievement of
sustainability targets, Kiwi Property has
provided the following metrics as a
guide for potential target setting:
• NABERSNZ building ratings;
• Green Star building ratings;
• Homestar building ratings;
• Ratings on a subset of properties or
Kiwi Property’s total portfolio;
• Energy, water or waste consumption
for properties, or on a portfolio basis;
• Greenhouse gas (GHG) emissions for
properties, or on a portfolio basis; and
• Other environmental or social
sustainability metrics that are relevant
to Kiwi Property’s overall sustainability
strategy and this Framework.
Selection of sustainability
performance targets
Kiwi Property will ensure the targets set
and metrics used will be meaningful to
Kiwi Property’s sustainability programme
and will be aligned to the group’s
sustainability strategy.
Measurement of performance with
respect to selected SPTs for any
Sustainability-Linked Bonds or Loans will
be undertaken periodically as relevant
for the selected targets. At a minimum,
measurement will be annual.
Material factors that may impact the
achievement of SPTs (either positively or
negatively) will be disclosed in the
relevant documentation for each
Sustainability-Linked Bond or
Sustainability-Linked Loan.
Financial characteristics
The proceeds of Kiwi Property’s
Sustainability-Linked Bonds and Loans
will be used for general corporate
purposes, unless otherwise stated.
These transactions will feature financial
and/or structural characteristics that
encourage the achievement of the SPT.
This may include both penalties and/or
incentives, depending on the
transaction.
The magnitude of the coupon or margin
adjustment, as well as the effective
date(s) (otherwise known as trigger
date(s)) will be detailed in the relevant
documentation for each transaction.
5
https://www.icmagroup.org/sustainable-finance/the-principles-guidelines-and-handbooks/sustainability-linked-bond-principles-slbp/
6
https://www.lsta.org/content/sustainability-linked-loan-principles-sllp/
SECTION 2

Kiwi Property Sustainable Debt Framework10
External review
Kiwi Property will undertake an
appropriate external verification for each
Sustainability-Linked Bond or
Sustainability-Linked Loan on issue. This
includes external assurance of
sustainability performance prior to
issuance and ongoing performance in
relation to the selected SPTs for each
issuance.
Reporting
For Sustainability-Linked Loans, Kiwi
Property and the arranging bank(s) will
agree on appropriate reporting
parameters and the schedule for
disclosing information on sustainability
performance to the lenders.
For Sustainability-Linked Bonds, at a
minimum, Kiwi Property will undertake
annual public reporting regarding the
issuance and performance in relation to
the SPTs. This reporting will be available
in Kiwi Property’s Annual Reporting and
website, and will include relevant
information relating to the aspects of
Section 2 of this Framework.
At issuance, Kiwi Property will disclose
the reporting that will be provided,
including its location, frequency, scope
and assurance commitments. Kiwi
Property will ensure the provision of
timely information regarding the
performance in relation to the selected
SPTs for each transaction.
Governance
Kiwi Property’s Audit and Risk
Committee (ARC) will oversee matters
relating to Sustainable Debt. The ARC is
a committee of the Company’s Board,
responsible for oversight of matters
including financial management and
controls, reporting, risk management
and sustainability. The ARC meets at
least quarterly and will consider
Sustainable Debt issues and
opportunities on an ongoing basis.

Kiwi Property Sustainable Debt Framework11
Further
Information
Contacts
Kiwi Property Group Limited
Level 7, Vero Centre
48 Shortland Street
Auckland 1140
+64 9 359 4000
kp.co.nz
info@kp.co.nz
Registrar
MUFG Corporate Markets
A division of MUFG Pension
& Market Services
Level 30, PwC Tower
15
Customs Street West
Auckland 1142
+64 9 375 5998 or
0800 377 388
mpms.mufg.com
enquiries.nz@cm.mpms.mufg.com
More information on Kiwi Property’s
sustainability strategy and
performance can be found at:
Sustainability:
https://www.kiwiproperty.com/
sustainability
Latest Kiwi Property Annual Report:
https://www.kiwiproperty.com/
investors/reporting-suite

kp.co.nz