Methodoloties for Commercial Real Estate

Methods
1

Hi, I’m Hyerin and working as a consultant.
Thank you for your huge efforts to make the world better!^ ^

In accordance with table 5.2. Required, Optional, and Out-of-Scope Activitied and Applicable Methods in the file ‘SBTi Financial Sector Based Target Guidance’, there is no Commercial Real Estate as asset class(not meaning Corporate loan: commercial real estate). What methodologies could be applied to Commercial Real Estate as asset class? How much is the required minimum coverage for that asset class?

Thank you,
Sincerely.

2

Hi @Hyerin,

Welcome to the community.

There is guidance for commercial real estate in table 5.2 on page 56 (Corporate loan: commercial real estate). As you can see from the guidance document, min coverage is 67% and applicable methods are SDA, Portfolio coverage and Temperature rating.