BXP Prices $750.0 Million Offering of Green Bonds

Boston Properties, Inc. (NYSE: BXP) (“BXP”), the largest publicly traded developer, owner and manager of premier workplaces in the United States, has announced that its operating partnership, Boston Properties Limited Partnership (“BPLP”), has agreed to sell $750.0 million of 6.500% senior unsecured notes due 2034 in an underwritten public offering through BNY Mellon Capital Markets, LLC, BofA Securities, Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Wells Fargo Securities, LLC, as joint book-running managers. The notes were priced at 99.697% of the principal amount to yield 6.537% to maturity. The notes will mature on January 15, 2034, unless earlier redeemed. The offering is expected to close on May 15, 2023, subject to the satisfaction of customary closing conditions.

The estimated net proceeds from the offering are expected to be approximately $741.3 million. BPLP intends to allocate an amount equal to the net proceeds from the offering to the financing and refinancing of recently completed and future “eligible green projects” in the United States.

Pending such allocation, BPLP intends to use the net proceeds for the repayment of debt, including funding the redemption of the $500.0 million aggregate principal amount of BPLP’s 3.125% senior notes due 2023 that are scheduled to mature on September 1, 2023, and any remaining net proceeds to fund development and redevelopment projects or other investment opportunities and for other uses. Pending such uses, BPLP may invest the net proceeds in short-term, interest-bearing deposit accounts. Net proceeds allocated to previously incurred costs associated with “eligible green projects” will be available for the repayment of debt and other uses.

This is BPLP’s sixth green bond offering. Since BPLP’s initial green bond offering in November 2018, BPLP has issued an aggregate principal amount of $4.30 billion in its five previous green bond offerings.

BXP actively works to promote its growth and operations in a sustainable and responsible manner and is a recognized leader in green building. BXP has LEED certified approximately 34 million square feet of its current in-service portfolio. BXP has publicly announced sustainability goals and remains on track to achieve carbon-neutral operations by 2025 and achieved its energy and water reduction targets in 2022. BXP’s commitment to ESG and sustainability performance has been recognized by numerous industry groups and rankings. BXP was named to Newsweek’s List of America’s Most Responsible Companies in 2023, ranking first in its industry and 29th overall out of the 500 companies included on the list. BXP was recently recognized for Best ESG Program by Commercial Property Executive and was again named an ENERGY STAR Partner of the Year - Sustained Excellence Award winner, as well as a Best in Building Health winner by the Center for Active Design. BXP was recognized as an inaugural Platinum level Green Lease Leader by the Institute for Market Transformation and the U.S. Department of Energy and was the recipient of Nareit’s prestigious Leader in the Light Award. In addition, BXP earned its eleventh consecutive “Green Star” recognition, the highest GRESB 5-star Rating, and an “A” disclosure score.

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