Lending Green
Tuesday, October 21st, 2008
Wow! So much has changed in the banking world since I last checked in. While adjectives describing this change abound, few include “innovative.” It is the topic of innovations in green banking that I would like to discuss today.
Since the 1990’s, ShoreBank has been a pioneer in the field of green banking. Our conservation loans are good for the environment but also help our customers save money by reducing their utility bills. We carefully measure our conservation loans each year and look to find ways to increase our ability to do more lending in this area.
Last year, ShoreBank made $127 million in conservation loans. Many banks tout themselves as “green” for offering online bill pay and electronic statements, but ShoreBank backs up its claim by specializing in lending to homeowners to help make their houses more energy efficient and to projects that will create LEED certified green buildings.
ShoreBank’s commitment to being green is also reflected in its own branches and service centers. For example, ShoreBank’s new Central Loop Branch features:
* Recycled content flooring and ceiling tiles
* Energy efficient and zoned lighting
* Recycled content cubicle fabric
* 100% recyclable desk chairs
* A completely green galley kitchen that includes bamboo cabinetry, recycled glass countertops, recycled and porcelain flooring
ShoreBank is also committed to implementing green innovations in the target communities it serves— low-income, minority neighborhoods in Chicago, Cleveland and Detroit. One example of ShoreBank’s commitment to conservation lending is the construction financing ShoreBank provided for the Genesis Housing Development Corporation’s “Urban Green House.” Constructed in Bronzeville, a south side Chicago neighborhood it was the area’s first single-family environmentally sustainable home. With cost-saving green features such as central lighting shafts, cooling floor slabs, and a thermal rock bed and garden, the “Urban Green House” has been rated as the “greenest” new single-family residence in Chicago.
“There is sometimes a stereotype that ‘green’ consciousness only happens among a certain demographic and in affluent areas,” said Holly Marshall, Director of Operations at Genesis Housing Development Corporation. “The Bronzeville community has embraced this creative and eco-friendly approach to affordable housing and welcomes many more similar projects from ShoreBank in the future.”
Clearly, it is an exciting time to be involved in conservation banking. As I write this blog, a nonprofit organization called the Climate Group has just proposed “the UK Green Banking Charter” which would guide banks through the vital aspects and elements of green banking.
ShoreBank prides itself in its history of sustainable environmental leadership, and we’re confident that our expertise, investment, and innovation in conservation lending will continue to help change the world.
