Green bonds are picking up steam as the ESG movement gains traction among property owners, with an increasing number of REITs issuing the instruments

Proceeds from green bond offering proceeds account for 16.4% of all capital raised through U.S. REIT debt offerings so far this year, according to S&P Global. At that rate, the segment is poised to hit an all-time high this year. Last year, green bond offerings constituted 10.3% of total debt capital raises.

JP Morgan Securities is the leading underwriter of US REIT green bonds, a title it's held since 2020. The company is also the top underwriter of REIT bonds overall for the same period. BofA Securities is the second most active underwriter of REIT green bonds and the third-most active REIT debt underwriter,. Goldman Sachs underwrote $1.05 billion in US REIT green bonds since the beginning of 2020, according to S&P Global, finishing third among REIT green bond underwriters for the time period.