Hong Leong-led consortium gets $692m green loan for Tengah project

It will finance green infrastructure and ecological integration.

A consortium led by Hong Leong Holdings Limited, together with GuocoLand Limited and CSC Land Group, has secured a $692m green loan to fund Singapore’s first eco-friendly and car-lite “forest” town development in Tengah.

The loan, following internationally recognised Green Loan Principles, will finance green infrastructure and ecological integration.

DBS provided $484m as the anchor lender and sole green loan advisor, with OCBC providing the rest.

Tengah is Singapore’s first “forest estate,” spanning 700 hectares and bordered by a 100-metre-wide, five-kilometre-long forest corridor. It is the first new Housing Board town in over 20 years, designed to be car-lite and sustainable, with about 42,000 homes planned to reconnect residents with nature.

The Hong Leong Holdings-led project, launching in 2026, will be Tengah’s first private mixed-use residential development.

Located on Tengah Garden Avenue, it will include around 860 homes and retail amenities.

The design features layered landscaping and integrated green spaces that form ecological corridors to enhance urban biodiversity and mitigate the heat island effect.

Additionally, the project’s proximity to Tengah’s future forest corridor, which links to the Central Catchment Nature Reserve, enables the incorporation of measures aimed at reducing environmental impact during construction

Moreover, native planting strategies will be employed to restore habitats and strengthen ecological networks, making nature a fundamental part of daily life.

The development will also leverage sustainable smart technologies, using digital tools such as Building Information Modelling and cloud-based coordination platforms to improve efficiency, streamline processes, foster collaboration, and reduce waste throughout the project’s lifecycle.