Climate Change Data

Diversified Healthcare Trust

Climate Impact & Sustainability Data (2023)

Reporting Period: 2023

Environmental Metrics

Renewable Energy Share:0%

ESG Focus Areas

  • Energy efficiency
  • Water efficiency
  • Waste reduction
  • Climate change resilience
  • Tenant engagement

Environmental Achievements

  • 33 properties (3,362,012 sq ft) achieved Green Lease Leaders — Gold Partner status
  • Implementation of energy and water management programs, including LED lighting upgrades and HVAC optimization
  • Increased visibility into operational performance for over 18 million square feet of senior living properties
  • 1305 Corporate Center Drive achieved ENERGY STAR Certification with a score of 93, resulting in estimated savings of over $25,000 per year

Social Achievements

  • RMR, DHC's manager, focuses on hiring, training, and developing a workforce that contributes positively to society and reduces environmental impact
  • AlerisLife's "Take it Back" strategy aims to make a positive difference in the communities where it operates
  • Recognized as having a Gender Balanced Board by 50/50 Women on Boards

Governance Achievements

  • Adoption of Governance Guidelines and Committee Charters
  • Implementation of a Code of Business Conduct and Ethics, along with a Governance Hotline
  • Establishment of a Business Partners’ Code of Conduct, an Employee Health and Wellness Policy, a Human Rights Policy, and a Philanthropy Policy

Climate Goals & Targets

Environmental Challenges

  • Maintaining comfort for vulnerable populations amidst rising utility costs
  • Increased susceptibility of tenants (especially in life science spaces) to higher utility costs and water stress
  • Maintaining electrical power during climate disasters
  • Maintaining air quality during nearby wildfire events
Mitigation Strategies
  • Energy and water management programs
  • Strategic capital investments, including physical protection elements
  • Routine evaluation of properties impacted by climate hazards
  • Coordination with tenants and local authorities
  • Property incident response plans and insurance assessments
  • Benchmarking and BEPS compliance

Supply Chain Management

Responsible Procurement
  • Incorporation of standards from the RMR Capital Project Guide for Green and Energy Efficient Equipment Purchasing

Climate-Related Risks & Opportunities

Physical Risks
  • Increased severity of acute weather events
  • Chronic changes to weather patterns
  • Flooding
Transition Risks
  • Changes in policy and market-driven expectations
  • Increases in utility costs
Opportunities
  • Increased demand for medical buildings and resilient senior housing

Reporting Standards

Frameworks Used: SASB

Certifications: ENERGY STAR, LEED

Third-party Assurance: Deloitte & Touche LLP (limited assurance for water intensity metric)

Awards & Recognition

  • Green Lease Leaders — Gold Partner