Nexus Select Trust, India’s first listed retail REIT, has raised ₹700 crore through a 10-year sustainability-linked bond anchored by the International Finance Corporation, the trust announced Wednesday. The deal marks IFC’s first investment in an Indian retail REIT and the first 10-year sustainability-linked bond in the country’s retail REIT sector.
IFC, a World Bank Group member, invested ₹250 crore as anchor investor in the bond issuance, which includes a floating rate tranche of ₹200 crore benchmarked to the 3-month MIBOR OIS. The proceeds will primarily refinance existing debt, generating annual savings of approximately 90 basis points or ₹6 crore.
The bond structure ties financing costs to performance-based sustainability targets. Nexus Select Trust has committed to achieving net zero emissions by 2030 and obtaining EDGE green building certification from IFC for new acquisitions. Trilegal served as transaction counsel for the deal.
Rajesh Deo, Chief Financial Officer of Nexus Select Trust, said the issuance aligns the trust’s capital-raising strategy with its sustainability roadmap. Imad N Fakhoury, IFC’s Regional Division Director for South Asia, stated the investment supports energy efficiency across Nexus’s portfolio and demonstrates how innovative financing can create value in existing assets.
Nexus Select Trust operates 19 retail properties across 15 Indian cities with 10.7 million square feet of leasable area, along with three hotel assets and three office properties.
Published on February 4, 2026
