Information regarding the capital increase of GTC S.A.

At today’s EGM, Globe Trade Centre S.A. received its Shareholders’ support for the capital increase of up to 20% of the existing share capital.

The Management of GTC appreciates Shareholders’ confidence.

As per the EGM authorization, the Management may conduct the transaction within the next 6 months, however the Management’s intention is to share its Q2 2021 results with the investors prior to any offering of the new shares.

Inspired by sustainability: Aeropark’s new look

Globe Trade Centre has started the modernization of one of its key office assets in Warsaw – Aeropark Business Center. Zephirus, one of three A-class Aeropark’s buildings, can soon boast a brand-new lobby designed together with BIT CREATIVE studio. The lobby renovation is the first step in bringing the whole Aeropark complex to a futureproof level as GTC continues to upgrade its long-running properties into and sustainable and human centric spaces.

Zephirus new lobby had the idea of circular economy at its root – in line with GTC’s approach to sustainable development and care for the environment. Designing the lobby, the BIT Creative studio paid particular attention to the illumination of the interior to make it more welcoming and spacious. The architects optically enlarged the lobby, perfectly exploiting the size of the room by playing with sloping walls made of lighted lacquered elements. The reception desk furniture, inspired by the wings and the new logo of Aeropark, perfectly finalizes the interior design and adds warmth to the space. Made in a dynamic form and enhanced with sustainable illumination, it adds lightness to Zephirus entry.

“Architecture plays a key role in inspiring employees and motivating them to achieve better professional results. While working on the renovation of Zephirus lobby, we bore in mind the current and future needs of GTC and its tenants. The idea behind our project was inspired by the core values of GTC – sustainability, responsibility and solid outlook, which is reflected in the visual identity of the lobby and the materials we chose for it. Our goal was to make the design not only aesthetic and comfortable, but also flexible and functional. On top of all, the unique architecture of lobby reflects the sign of time – sustainability embedded in futureproof design. The whole interior is a combination of wood, steel, white and black – very modern, yet classic and timeless. Various elements of its design were made with responsibly sourced and reused materials, supporting the ergonomics of Zephirus in the most efficient way. As a result of our cooperation, we succeed to create a new highlight of Aeropark Business Center, which can be easily identified with GTC’s brand”– says Barnaba Grzelecki, the leading architect of Bit Creative Studio.

Aeropark is a high-end business park uniting three A-class offices – Corius, Nothus, Zephirus – within an area of 28,800 sq m, located just three minutes away from Warsaw Chopin Airport. Each building stands out with refined architecture intertwined with sustainable solutions, such as heat, water, and energy-saving systems. Fully powered by green energy, Aeropark meets the strictest ecological criteria, proven by LEED and BREEAM certifications. Apart from being conveniently connected to the main transport arteries of the city, the office park is also well communicated within its territory as a shuttle bus circulates from one office building to another. A home to one of the most reputable logistics companies, the complex neighbors a plethora of hotels and conference facilities and hosts car sharing for even greater ease of commuting between the airport and the city.

Aeropark Business Center can also boast a unique service offer to suit the most exquisite tenants’ needs. Recently extended cycling paths now are complemented with station-less Revelo bikes and upgraded shower cabins for two-wheel commuting enthusiasts. Tenants can also enjoy a fully equipped gym, canteen and food trucks set in extensive green areas crowned with a pond which is a perfect spot for escaping from the busy work routine. Since recently, the park’s tenants can also enjoy fresh greens all year round grown in the local herbarium. Thanks to the proximity to Warsaw Chopin Airport, Aeropark can offer its residents a unique plane-spotting experience, as the office windows overlook take-offs and landings throughout the day. On top of that, GTC plans to crown the building with a terrace, serving as an observation deck.

“Aeropark Business Center is timeless assets in our portfolio that continues to attract tenants over the years. The secret of its success is simple: continuous improvement of our service offer to anticipate tenants’ expectations. These days we are focused on upgrading our properties with our tenants’ safety and needs in mind, as more of them are willing to come back to offices. While green certificates serve the proof of upscaling the Aeropark into a more sustainable office space with the highest safety standards, we always try to provide our tenants with tangible ‘extras’, such as a fully renovated Zephirus lobby, Revelo bike sharing, or an herbal garden we have recently planted together. Modernization is never a one-way process – it is a dialogue between our tenants and us, which results in long lasting, trust-based relations” – says Grzegorz Strutyński, Country Manager for GTC in Poland.

Aeropark’s modernization is another step in realizing GTC’s sustainable development agenda. The developer pays extra attention to offering the premium quality of services provided in its properties, with a special focus on tenant’s comfort and sustainability. The office park ensures energy and water-saving solutions within its premises, such as modern heating and ventilation systems. Prior to the lobby change, each of Aeropark Office Center buildings underwent ecological certification and achieved LEED Gold status. The complex provides energy-efficient solutions in buildings, such as modern heating and ventilation systems. Besides, all Aeropark’s facilities are powered by green energy from 100% renewable sources since April 2021.

design: Bit Creative Barnaba Grzelecki photos: Katarzyna Seliga-Wróblewska, Marcin Wróblewski / Fotomohito

Seweryna Afanasjew joins GTC Poland as Head of Asset Management

GTC has appointed Seweryna Afanasjew as Head of Asset Management in Poland. Her outstanding in-depth sector knowledge coupled with extensive experience in commercial asset management and leasing for investment funds will strengthen GTC’s market position. With Seweryna on board, the company expects the successful growth of its sustainable real estate portfolio in line with the developer’s best ESG practices.

Seweryna Afanasjew has made a name in real estate as a member of the Management Board of the RICS World Europe Board, Chairman of the RICS Poland Board, member of and IFMA Poland and Polish Facility Management Council. Licensed real estate manager and broker, Seweryna has 20 years of experience in commercial real estate, including offices, shopping centers, and warehouses.  Her focus area is finding and implementing modern technological solutions for real estate to increase the efficiency of the whole organization, which perfectly fits into GTC’s strategy of developing futureproof sustainable properties with a focus on the wellbeing of its immediate communities.

 An expert in corporate real estate and strategic facilities management in large international organizations, Seweryna started her outstanding career in 1999 at Cushman&Wakefield, followed by over 7 years as Real Estate Management Head in Citi Group. Later, Seweryna served as Asset Management Head at several real estate funds and helped build the commercial real estate portfolio of Octava Property Trust while leading their asset management and leasing team. From 2017 Seweryna managed the strategic FM area at Liberty Global as CEE Real Estate Facilities Fleet & Energy Head with 1000 lease agreements and 300,000 sq m of leased space at her disposal. This experience contributed to Seweryna becoming the founder and co-owner of 4 FM, a proptech company, which specializes in creating platforms for strategic facilities management sourcing.

“We welcome Seweryna Afanasjew as our new Head of Asset Management in Poland. In her new role Seweryna will oversee a diverse portfolio of real estate assets and work with third-party management partners to maximize each of our properties’ potential for greater revenue generation, net operating income, capital investment, planning, and asset preservation. I’m sure Seweryna’s deep sector knowledge and impressive experience will help strengthen the relationships with our tenants in Poland and, with their comfort and well-being in mind, bring the quality of our offer to even higher level, especially now, when we are focusing on introducing innovative sustainable solutions and setting for digital transformation in our portfolio” – commented Grzegorz Strutyński, Country Manager at GTC Poland.

Seweryna Afanasjew is a holder of multiple degrees and certificates, such as Digital Transformation from the University of Virginia, Boston Consulting Group, MSc in Property Appraisal and Management at Sheffield Hallam University, and master’s degree in Property Valuation from Warsaw University of Technology. Powered by extensive experience and deep market knowledge, Seweryna is a frequent speaker and lecturer at webinars, conferences, and training courses. She is also an author of many real estate articles and co-author of RICS publications “Real Estate Fund, Asset and Property Management: Investment Services” and “Procurement of Facilities Management”.

 GTC has always stayed on top of industry’s mind for its excellent asset management recognized by multiple renowned tenants. Nowadays, with COVID-19 putting additional pressure on property owners and tenants to adapt to ever-changing reality and keeping the consistent service quality and staying open to the dialogue is a must. It is an honour for me to be trusted with such a responsibility – to strengthen GTC’s exceptional reputation and conquer new heights within the asset management area in Poland. I am looking forward to a long and fruitful journey together with GTC, as I believe my experience will help in the realization of the Group’s strategy of developing sustainable buildings and ensuring long-term trust-based relationships with our tenants, based on prioritizing their comfort. Together we can propel the Group’s development strategy towards a steady, long-term growth in Poland” – commented Seweryna Afanasjew, Head of Asset Management at GTC Poland. 

GTC pays particular attention to the fostering long-term relationships with its communities in Poland. Care for the communities is manifested at all stages of property development – from choosing a location for new investment, through design and construction, to the asset management and creating service offer of a completed building. In Poland the company strives to improve the quality of every building it develops, including the existing assets, focusing on its tenants’ needs. GTC has been successfully revitalizing long-standing properties in its portfolio, upgrading them with sustainable solutions. For example, since 2021 all of the GTC’s Polish offices are powered by green energy and have environmental certificates, proving their ecological excellence. Apart from that GTC has gained its reputation in Poland for high-quality asset management by maintaining premium quality of common spaces, relaxation and leisure zones with small architecture elements that increase tenants’ wellbeing. More information about GTC’s sustainable asset management practices can be found through the Group’s 2020 ESG report at www.esg.gtc.com.pl/en.

Riding the green wave: All GTC Poland offices powered with renewable energy

Since 2021 All office buildings of Globe Trade Centre are powered by renewable energy sources. Green energy used in the properties is certified by guarantees of origin. With sustainable electricity running through 16 office buildings, including Aeropark Business Centre in Warsaw and Korona Office Complex in Cracow, GTC aims to reduce its carbon footprint and commits to ensure affordable and clean energy in all its facilities, as announced recently in the Group’s 2020 ESG report.

GTC is taking another step towards the sustainable reinvention of its portfolio. Following its responsible construction and development strategy, Globe Trade Centre is taking action to deliver upon its commitments regarding affordable and clean energy. Recently the company has completed the green certification process for all its buildings in Poland, switching 16 offices to run on sustainable energy. The electricity supply has a so-called guarantee of origin, i.e. a certificate confirming that it was obtained from renewable sources.

“We treat the improvement of our properties with great responsibility, implementing effective solutions that minimize the environmental impact of our operations. We are not stopping: after achieving LEED and BREEAM certification in all our properties in Poland, we “switched” them to green energy, with further steps planned ahead. Thanks to the exceptional efforts of our specialists and fruitful cooperation with external partners, we have significantly advanced the standard of our office buildings, allowing us to decrease their emissions for the benefit of the environment” – says Grzegorz Strutyński, Country Manager for GTC in Poland.

In all its activities Globe Trade Centre is guided by the idea of being both a responsible company and a good neighbour for the communities it co-creates. Recently the company as the first commercial developer in Central and Eastern Europe has published its first-ever ESG report, summarising the Group’s 25 years of activity in six real estate markets. GTC’s long-standing commitment to improve its operations on multiple levels goes hand in hand with the ESG commitments. The company acts holistically to achieve Sustainable Development Goals (SDGs), following the United Nations 2030 agenda. Globe Trade Centre provides energy-efficient solutions in most of its buildings, including modern water saving, heating and ventilation systems, as well as sustainably sourced materials. The company pays particular attention to make sure the applied technologies have appropriate certificates and approvals. On top of that, the developer puts extra emphasis on promoting healthy lifestyle and building sustainable habits among its tenants, such as cycling to work or commuting by public transport. To achieve that goal, all GTC’s developments are designed to be perfectly intertwined with main transport arteries and cycling paths. In this way, GTC continuously enhances the infrastructure and upgrades its facilities with tenant comfort in mind.

More information about GTC’s Green Bonds Framework and sustainable development strategy can found in the Group’s 2020 ESG report available at www.esg.gtc.com.pl/en.

Trusted partner: Best Value moves its headquarters to GTC’s City Gate

GTC Romania welcomes a new tenant under its wing – Millenium Pro Design retail group, operating under the brand Best Value, chose City Gate as its new headquarters in Romania. The company will occupy over 1,600 sq m in the South Tower of the Bucharest located landmark office complex. Best Value will move into City Gate by the end of Q3 2021.

While last year Covid-19 adversities influenced many companies put all major decisions related to negotiating office space on hold, this year’s prospects seem promising as more tenants consider moving back to offices. Great location, proximity to key urban facilities, wide selection of amenities for relaxation and leisure are becoming as important for tenants as safety and security in the workspace, especially after getting accustomed to working from home. Recognized by high-quality, safe, and tenant-centric properties, GTC Romania has signed yet another lease agreement for its landmark office property in Bucharest. Best Value, a recognized international retailer offering a premium duty-free shopping experience, has selected City Gate as its head office in Romania and will move into its new offices by the end of the third quarter. The Best Value’s new headquarters will be spread over 1,600 sq m in the South Tower of City Gate.

“I am excited that, yet another renowned company has chosen City Gate as its headquarters. This is a sign of our strong position in the Bucharest office market. We are delighted that such a renowned tenant as Best Value trusted in us and even more, we are thankful for the fast track of the negotiation and the decisions showed by our new tenant in securing a prime location for its business and employees. Also, I would like to thank the CEE Estate asset management team for their great support with this transaction. We hope City Gate will become a good home for Best Value, turning our relationship into a long-term mutually fruitful cooperation” – said Ziv Gigi, Managing Director for GTC’s operations in Romania.

Best Value belongs to Millennium Pro Design Group, which is also the owner of the Obsentum brand and the operator of the Furla Baneasa Shopping City and Coccinele Promenada Mall franchises. Founded in 1999, Millennium Pro Design is one of the retail market leaders in Eastern Europe with more than 12 years of experience in high-end duty-free commerce, dealing with such brands as Swarowski, Gucci, Furla, Tom Ford, Yves Saint Laurent, among others. Best Value has 23 shops in 12 international airports and more than 20 shops in Romania. The well-communicated location, well-designed interior, and high-quality offer of tenant amenities became the decisive factors for Best Value to choose City Gate as its head office in Bucharest, where the retailer will move by Q3 this year.

We are very pleased to move our new headquarters to the landmark City Gate towers and start a long and strong collaboration with GTC Romania. We believe with its perfect location and facilities City Gate will offer a great working environment for our employees” – says Cristian Negoita, General Manager for Millenium Pro Design.

City Gate is a high-end office building located in the North of Bucharest, with easy access to business and recreational facilities grouped around the Herăstrău Park and office hubs like Piața Victoriei. The facility offers 48,000 sq m of modern office space, tailored to suit various tenants’ needs. Served directly by a bus and a tram line, the property offers approx. 1,000 underground parking spaces. Tenants are invited to recreate between the City Gate Towers office building within the Plaza premise. The Plaza provides a moment of tranquility for tenants and visitors, who can relax in one of the lobbies, arranged in a matching urban design. The upper floors of City Gate offer an exceptional view of Herastrau Park, where one can enjoy lunch or have a coffee break in the sky-bar and restaurant.

Success beyond expectation: GTC’s green bonds meet strong investor demand

Globe Trade Centre has successfully issued a debut unsecured green bond for EUR 500m. The bonds, bearing a coupon of 2.25% p.a., received a strong reception from the broad European fixed-income investor universe and were several times oversubscribed with a peak order book in excess of EUR 1.4bn.

Following the streak of landmark transactions and the first-ever publication of an ESG report, GTC continues to attract strong investor interest by successfully issuing EUR 500m of 5-year unsecured green bonds. The successful placement of the first Green Bond underlines GTC’s solid market position and investor’s trust in the Company. This follows the recently obtained investment grade rating of BBB- with a Stable Outlook by Fitch and Ba1 rating with Positive Outlook by Moody’s.

Strong momentum saw books multiple times covered within just a few hours of launch, with the book attracting orders from over 120 high-quality accounts across Continental Europe and the United Kingdom. Despite a very busy market with ample Real Estate supply, the transaction attracted strong investor demand with books peaking in excess of EUR 1.4bn. This is a highly successful debut issue for GTC” – commented Ariel Ferstman, GTC’s CFO and Member of the Management Board. Delivering a benchmark international Eurobond in green format highlights our long term commitment to sustainability, further evidenced by the fact that 84% of our assets carry green certification – he added.

GTC chose to issue Green Bonds following its commitment to certify its office and retail portfolio with the most recognizable LEED, BREEAM and DGNB certificates. An amount equivalent to the net proceeds from the issue will be used to refinance a portfolio of Eligible Green Assets as outlined in the GTC’s Green Bond Framework as well as financing eligible projects going forward. Currently, 84% of GTC’s income-generating portfolio worth EUR 1.9bn carries green certifications. As recently announced in GTC’s first-ever ESG report, the Group plans to achieve 100% green certification for all of their properties in CEE. The ambition is already realised in Poland, where all GTC offices have environmental certificates and are powered by green energy. More information about GTC’s Green Bonds Framework and sustainable development strategy can found in the Group’s 2020 ESG report available at www.esg.gtc.com.pl/en

J.P. Morgan, who acted as joint global coordinator, sole ratings advisor and green structuring agent, observed: “This highly successful inaugural transaction on the international debt capital markets highlights GTC’s compelling credit story and commitment to being part of the green solution. The deal is the culmination of several months of intensive preparations, including GTC obtaining an investment-grade rating by an international rating agency for the first time”.

Morgan Stanley, who acted as joint global coordinator stated: “Strong momentum saw books covered within an hour of launch, with the book attracting orders from over 120 accounts“.

The refinancing of secured loans with the green bonds follows GTC’s strategy to transition to a predominantly unsecured debt funding model. The green bond issuance will enable GTC to prepay a multitude of secured loans that will release around EUR 840m of currently encumbered assets and significantly reduce GTC’s consolidated secured leverage ratio.

The issue achieved strong sponsorship from real money accounts, selling primarily to Fund Managers (85%), with most of the demand coming from the United Kingdom (56%) and Continental Europe, including DACH (19%), Benelux (7%) and CEE (5%).

The bond matures on 23 June 2026, and carries a fixed annual coupon at the rate of 2.25%.

J.P. Morgan acted as joint global coordinator, sole ratings advisor and green structuring agent. Morgan Stanley acted as a joint global coordinator. J.P. Morgan, Morgan Stanley, Erste Group and Raiffeisen Bank International acted as joint bookrunners. Dentons acted as counsel to GTC and Clifford Chance acted as counsel to the joint book-runners.

This announcement does not constitute or form part of any offer or solicitation to purchase or subscribe for securities in any jurisdiction.  A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision, suspension or withdrawal at any time by the assigning rating organization. Similar ratings for different types of issuers and on different types of securities do not necessarily mean the same thing. The significance of each rating should be analyzed independently from any other rating.

The Notes are being offered and sold pursuant to an exemption from the registration requirements of the U.S. Securities Act, outside the United States in offshore transactions, in reliance on, and in compliance with Regulation S under the U.S. Securities Act. This announcement does not constitute an offer to any person in the United States. Distribution of this announcement to any person within the United States is unauthorized.

GTC obtains BBB- rating with stable outlook from Fitch and BA1 with positive outlook from Moody’s

Globe Trade Centre announced today that it has been assigned an investment grade rating of BBB- with a Stable Outlook by Fitch Ratings and Ba1 with Positive Outlook rating by Moody’s Investors Service.

Following the streak of successful landmark transactions and its first-ever publication of an ESG report, GTC continues to strengthen its position in CEE by obtaining credit ratings from Fitch Ratings (“Fitch) and Moody’s Investors Service (“Moody’s). GTC has been rated by Fitch at an investment grade rating of BBB- (Stable) and Ba1 (Positive) by Moody’s, confirming the Group’s solid performance. GTC obtained credit ratings in anticipation of its planned green Eurobonds issue of EUR 500 million, as part of its move from secured to predominantly unsecured Eurobond financing.

 “We are delighted to obtain ratings from Fitch and Moody’s which recognize GTC’s strong business profile and provides the Group with more flexibility to cement our foothold in the CEE Real Estate market. We believe the investment grade rating from Fitch validates our record of delivering strong operational results and the quality of our long-term cash flows, as well as, demonstrating our commitment to a best-in-class balance sheet. By remaining active on the capital markets in 2020, we managed to raise approximately EUR 110 million of senior unsecured bonds, providing additional flexibility for debt repayment and undertaking new developments and acquisitions. This first issue of HUF-denominated green bonds within our “Green Bond Framework” in December 2020 further demonstrated GTC’s commitment to sustainability and financial innovation, which was recognized with a BBB- investment grade rating by the Scope Rating Agency” – commented Ariel Ferstman, GTC’s CFO and Member of the Management Board.

GTC holds a 2.1-billion-euro portfolio, including modern office and retail income generating properties, based in Poland and capital cities of five CEE countries. The office and retail portfolio, leased to multinational and local blue-chip tenants, is currently predominantly financed by secured debt, whereas the planned bond issue of EUR 500 million follows GTC’s strategy to transition to a predominantly unsecured debt funding model. Recently the Company has announced the sale of its Belgrade office portfolio at EUR 2 million above book value, releasing funds to be reinvested mainly in Polish and Hungarian projects. Alongside the 500-million-euro bond issue, this will strengthen the company’s position in the CEE real estate market.

“Proceeds from the planned 500-million-euro bond will mainly be used to prepay a multitude of secured loans, thereby increasing GTC’s financial flexibility and increasing our unencumbered ratio to close to 50%. This will improve GTC’s contingent liquidity and recovery prospects for unsecured creditors” – added Ariel Ferstman, GTC’s CFO and Member of the Management Board.

Moody’s and Fitch also highlighted the real estate company’s income generating portfolio with a high share of green certified assets at 84% and the Group’s further plans to achieve 100% eco-certification for all its properties in CEE. The ambition is already realized in Poland, where all GTC offices have environmental certificates and are powered by green energy. Nevertheless, the company continues to develop premium quality sustainable properties with tenant comfort and community wellbeing in mind. Two new office projects are currently under construction: Pillar, a 29,000 sq m A-class office building in Budapest 96% pre-leased to Exxon Mobil, and Sofia Tower 2, an 8,300 sq m add on to the existing mixed-use project in Sofia, Bulgaria. There are two further projects (52,300 sq m of office space in total) ready to be launched once pre-lets are procured.

Both Fitch and Moody’s assigned strong credit ratings based on the Group’s resilient operating environment supported by a robust economic backdrop across its main countries of operations. Strong medium-to-long-term fundamentals and good liquidity, further improving with the planned bond and equity issuance, will considerably expand GTC’s unencumbered asset base. The agencies also viewed positively GTC’s long-term oriented main shareholder Optima that holds a 66% stake, fully supporting management’s action plan.

This communication does not constitute or form part of any offer or solicitation to purchase or subscribe for securities in any jurisdiction. A securities rating does not constitute a recommendation to buy, sell or hold securities and is subject to change, suspension, or withdrawal at any time by the organisation assigning it. Similar ratings for different types of issuers and types of securities will not necessarily carry the same weight. The weighting of each rating should be analysed independently of the other ratings.

This announcement does not constitute or form part of any offer or solicitation to purchase or subscribe for securities in any jurisdiction.  A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision, suspension or withdrawal at any time by the assigning rating organization. Similar ratings for different types of issuers and on different types of securities do not necessarily mean the same thing. The significance of each rating should be analyzed independently from any other rating.

For people and the environment: GTC publishes its first-ever ESG report

Globe Trade Centre has presented its first-ever ESG report, summarizing the Group’s achievements during 25 years across its six markets. The 2020 report presents industry-unique data on GTC’s engagement in sustainable development, responsible construction and asset management, collaboration with local communities and responding to stakeholders’ expectations. GTC is the first among commercial developers to present an ESG report on the CEE market.

GTC has a long-standing commitment to creating humancentric properties with a focus on environment protection in all its markets of Central and Eastern Europe. The comprehensive summary of the developer’s quarter of a century presence in the industry, along with detailed information regarding all its investments and their environmental impact, is demonstrated in the 2020 ESG report – the first document of its kind in GTC history, sharing unique insights on the Group’s approach to sustainable development and responsible business principles. GTC is also the first commercial developer to publish a comprehensive overview of its activities on the CEE market.

For 25 years, we have been successfully developing our business based on a quality offering, long-term relationships with our stakeholders and the transparency of our operations. The 2020 ESG report is a detailed reflection of our approach, demonstrating our quarter of a century growth journey across diverse and unique real estate markets of the CEE. With the foundation of GTC Group as people: our employees, tenants and investors, and the ambition to provide solutions in the real estate that improve the quality of their lives, we want to be crystal clear in reporting our impact on immediate surroundings. Therefore, I’m excited to share the first-ever Globe Trade Centre’s ESG report, made with our key stakeholders’ needs and our shared responsibility for the environment in mind”– commented Yovav Carmi, President of the GTC Management Board.

The report is rich in data on GTC’s performance across all markets – Poland, Hungary, Serbia, Croatia, Bulgaria and Romania. Special attention is paid to the COVID-19 pandemic, as the year 2020 brought a real challenge of putting tenant-developer relationships through a test. Nevertheless, GTC has proven its business acumen and confirmed that social responsibility is integral to the Group’s strategy regardless of the circumstances. Thanks to the tenant-first approach, GTC’s key performance indicators have remained at a satisfactory level and by the end of 2020, the developer could boast, among others, a high office leasing rate. By engaging in a responsive dialogue and adjusting its operations to ever-changing pandemic realities, GTC was able to maintain high occupancy in its malls as well, with new important retail anchors willing to commit to new stores. On top of that, for the first time in the Group’s history, two entities: Globe Trade Centre S.A. and GTC Real Estate Development Hungary Zrt, received an investment rating of BBB- / with a stable outlook, respectively.

Approaching the high expectations of stakeholders and being a responsible neighbor for its communities, GTC has significantly improved its operations in terms of environmental impact. The Group has decreased its electricity consumption by 193,195 MWh, which is 10% less than in 2019 and has cut its water consumption by 36% (325,353 m3), compared to the previous year. The developer has also curbed CO2 emissions, limiting them to 108,069 tCO2e in 2020. On top of that, community engagement and development programs were implemented in 91% of properties under the operational control of GTC Group. The developers supported in total 145 public and non-public institutions and organizations in various CSR projects.

“The real estate industry has an important role to play in mitigating climate change and reducing environmental risks. We have set ourselves the goal of building and managing properties that meet the highest environmental standards, taking decisive actions to limit adverse environmental changes at all levels – strategic, financial, development. In 2020, we developed and implemented a “Green Bond Framework”, which defines the guidelines for issuing green bonds by the companies of our Group. The funds raised in this way will be used to finance or refinance existing and future projects promoting sustainable solutions and the use of alternative energy sources. The first issue of ten-year bonds, under the Green Bonds Framework and rated at the Investment grade by Scope Rating Agency, completed on the Hungarian market in December 2020, totaling EUR 110 million, was a great success. And investing in our existing properties to improve their environmental impact pays off. In 2020, our Matrix A and Matrix B office buildings in Zagreb achieved LEED certification at the highest possible Platinum level. We do not intend to stop there – we are currently obtaining certification for all buildings under construction as well as for already completed projects across all over markets in CEE” – commented Ariel Ferstman, GTC’s CFO and Member of the Management Board.

GTC Group operates in 6 European countries, managing 48 buildings and offering to its clients 752,500 sq m of premium quality commercial space, developed on the principle of respect for the people and the environment. The developer strives to minimize the impact on its immediate communities, fulfilling 10 out of 17 United Nation’s Sustainable Development Goals, including clean and affordable energy, developing sustainable cities, and ensuring responsible consumption and production, among others. All GTC new developments and, where possible, those already completed, meet the strictest ecological criteria and ensuring the highest safety standards. As a result, 84% of the properties, totally worth 1,6 billion euro, having LEED and BREEAM environmental certificates.

The full 2020 GTC ESG report can be downloaded at www.esg.gtc.com.pl