The Asian Development Bank (ADB) has signed a $30 million loan (in togrog equivalent) with Tavan Bogd Holdings LLC to finance the construction of Mongolia's first green-certified residential complex developed by the private sector. The financing will help expand sustainable housing, reduce energy costs and greenhouse gas emissions, and introduce internationally recognized green building standards to Mongolia's residential real estate market.

"This project shows how sustainable urban development and private sector investment can work hand in hand," said ADB Country Director for Mongolia John Juhyun Jeong. "By supporting this landmark development, ADB is helping establish a new benchmark for energy-efficient housing, while demonstrating that green construction can deliver both environmental and commercial benefits."

The financing will support the Gerlug Green Apartments project, a four-tower residential development in Ulaanbaatar's Khan-Uul District comprising 252 units. The project is targeting Excellence in Design for Greater Efficiencies (EDGE) standard certification, an international green building standard requiring at least 20% savings in energy, water, and materials compared with conventional buildings. Gerlug Green Apartments project is expected to achieve 34.6% energy savings, 30.6% water savings, and 38.1% embodied carbon reduction, substantially exceeding the EDGE standard threshold.

“We believe the private sector plays an important role in providing homes that meet the evolving expectations of Mongolian families and create lasting benefits for communities,” said Tavan Bogd Group President Baatarsaikhan Tsagaach. “Our partnership with ADB reflects our commitment to advancing higher standards in residential development and supporting a more resilient and sustainable housing sector in the country.”

Mongolia's residential buildings are energy-intensive, relying heavily on coal-fired heating during the winter season. The project's green features, including advanced insulation, energy-efficient lighting, and smart energy meters, will lower energy costs and contribute to Mongolia's 23% emissions reduction target by 2030.

ADB is supporting Mongolia in promoting and assessing green building opportunities and integrating energy-efficient design measures in public and private sector buildings through its technical assistance on Accelerating Climate Action, Innovation and Private Sector Development. The technical assistance helped Tavan Bogd Holdings LLC adopt internationally recognized green building standards.

During construction, the project is expected to create about 1,800 jobs, while increasing opportunities for women in technical professions and internships. As Mongolia's first privately developed green-certified residential complex, the project is expected to establish a replicable model for green housing and encourage wider adoption of energy-efficient building measures across the country.

Tavan Bogd Holdings LLC is the investment holding company of Tavan Bogd Group, one of Mongolia's largest and most diversified private sector conglomerates.

ADB is a leading multilateral development bank supporting sustainable, inclusive, and resilient growth across Asia and the Pacific. Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and safeguard our planet. Founded in 1966, ADB is owned by 69 members—50 from the region.

Published Date:2026-09-09