REIT Boston Properties has issued its third green bond, pricing the offering at $850 million and announcing the redemption of all outstanding shares of its 5.25% Series B preferred stock. 

Boston Properties will issue the bond through 2.550% senior unsecured notes due in 2032 in an underwritten public offering through BofA Securities, Deutsche Bank Securities, J.P. Morgan Securities, Morgan Stanley & Co. and TD Securities (USA) as joint book-running managers. The notes were priced at 99.570% of the principal amount to yield 2.595% to maturity.

This most recent green bond offering follows Boston Properties' initial $1 billion green bond in November 2018 and a second one worth $850 million in June 2019.  The funds from this 11-year bond offering will be used to repay a $500 million delayed draw term loan facility and other eligible green projects. The offering is expected to close March 16.