Hammerson plc
Climate Impact & Sustainability Data (2010, 2011, 2014, 2016, 2019, 2020, 2021, 2022, 2023)
Reporting Period: 2010
Environmental Metrics
ESG Focus Areas
- Climate Change
- Resource Use
- Waste Reduction
- Community Regeneration
- Supply Chain Sustainability
- Customer Engagement
Environmental Achievements
- Reduced carbon emissions (CO2e) from landlord shared services by 21% (excluding Highcross) for UK shopping centres, 13% (excluding O’Parinor) for French shopping centres, and 13% for UK offices on a like-for-like basis since 2006.
- Improved waste recycling rates: 55% for UK shopping centres, 29% for French shopping centres, and 54% for UK offices.
- Les Terrasses du Port development in Marseille improved BREEAM score from 29 to 73 points.
Social Achievements
- Community investment increased, including bursary projects and skills training programs.
- Employee accident and lost time injury rate remained under 1%.
- 84% staff participation in annual survey, showing high ratings for friendliness, training, facilities, and environmental/social impact management.
Governance Achievements
- Board and Committees operating effectively, with some procedural improvements identified.
- Compliance with Section 1 of the 2008 Combined Code on Corporate Governance.
Climate Goals & Targets
- Not disclosed
- Reduce carbon emissions by 20% from 2010 by 2015.
- Implement biodiversity action plans at all retail properties by 2015.
- Prepare community plans for all developments and managed assets by 2014.
- 75% of community activity to be long-term community investment by 2014.
- Engage with 100% of customers on sustainability issues by 2013.
- 50% of suppliers by value to be engaged in sustainability survey.
- Reduce water consumption by 12% from 2010 baseline by 2015 (all managed shopping centres in UK and France).
- Increase waste recycling to 75% by 2013 (France).
Environmental Challenges
- Difficult trading environment for some tenants due to increased taxation and government spending restrictions.
- Macroeconomic challenges: government deficit actions, sovereign debt concerns, and global trade imbalances.
- Cautious occupier commitment to lease space.
Mitigation Strategies
- Active portfolio management: £555 million raised from disposals and £219 million invested in acquisitions offering superior returns.
- Prudent financial management: strong liquidity, flexible financial position, and diversified funding sources.
- Phased development program: major capital projects only commenced with substantial pre-lets.
- Risk management framework in place to identify and control risks.
Supply Chain Management
Supplier Audits: Issued sustainable supply chain questionnaire to main contractors, architects, consultants, lawyers, and IT contractors.
Responsible Procurement
- Sustainable supply chain questionnaire used in tender process for several projects.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI
Certifications: Carbon Trust Standard, ISO 14001 (WestQuay)
Third-party Assurance: Jones Lang LaSalle (validated, not fully independently audited)
Reporting Period: 2011
Environmental Metrics
ESG Focus Areas
- Carbon emissions reduction
- Waste recycling
- Water consumption reduction
- Community engagement
- Supplier engagement
- Health and Safety
- Employee engagement
Environmental Achievements
- Reduced carbon emissions across the portfolio by 11.5%, with several shopping centres producing outstanding results, notably Queensgate (-19%) and Bercy 2 (-8%). French portfolio delivered a 20% reduction due to warmer winter.
- Increased overall waste recycling rate in the UK to 58%.
- Centralized waste management contract, reducing cost through strict recycling targets.
Social Achievements
- Expanded ESG engagement program to include France, meeting with eight key investors.
- Delivered a series of seminars in 2011 to share knowledge and create new partnerships.
- Approved new volunteering and charity donations policies, engaging staff in the identification and selection of charitable partnerships.
- Increased the number of employees with sustainability-related objectives.
- Over 500 employees and contractors undertook an accredited environmental course.
- Improved community investment by 24% in France, investing £1.2 million across 389 community organizations.
Governance Achievements
- Improved score in both DJSI and FTSE 4 Good indices.
- Implemented measures around community consultation to support partners following the passing of the Localism Act in the UK.
- Provided a separate statement on Health and Safety following investor requests for improved transparency.
Climate Goals & Targets
- Not disclosed
- Not disclosed
- Increase waste recycling to 75% by 2013 (offices and shopping centres)
- Reduce water consumption to 9.3m3/person/pa by 2013 (offices) and 6.4m3/person/pa by 2015 (good practice)
- Reduce water consumption by 12% by 2015 in shopping centres portfolio
Environmental Challenges
- Weakening consumer confidence impacting retail sales.
- Challenging operating conditions for some tenants increasing the risk of rent default.
- Rising energy and utility costs.
- Uncertainty surrounding the eurozone and austerity measures impacting financial markets and the French economy.
- Economic environment making property development inherently riskier.
- Cautious occupiers delaying lease commitments.
Mitigation Strategies
- Stress-tested business model against severe downside economic scenario, confirming business robustness due to low gearing, secure income streams, currency hedging, debt maturity spread, and flexible development program.
- Focus on growing income through tenant engineering, improving tenant mix, commercialization, and multi-channel retailing.
- High-quality, geographically diversified portfolio let to a large number of tenants mitigating negative impacts from market changes.
- Progressing developments only when markets are robust, with sufficient occupier interest and sound financial analysis demonstrating good returns.
- Seeking substantial pre-lets before progressing significant developments.
- Opportunistic but selective approach to acquisitions, concentrating on retail assets where expertise can generate income and capital growth.
- Disposing of mature assets and reinvesting in acquisition, development, or asset management opportunities.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Supplier code of conduct (to be launched in 2012)
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: GRI, EPRA BPR
Certifications: ISO 14001
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Ranked first among European listed property companies in the Global Real Estate Sustainability Benchmarking study.
Reporting Period: 2014
Environmental Metrics
ESG Focus Areas
- Environmental
- Social
- Economic
Environmental Achievements
- Improved Global emissions intensity ratio from 221mtCO2e/£m in 2013 to 180mtCO2e/£m in 2014. Integration of 130kWp of solar photovoltaic panels at Elliott’s Field Shopping Park, Rugby, enabling the generation of approximately 1mWh of renewable energy each year.
Social Achievements
- Les Terrasses du Port, Marseille, welcomed over 8 million visitors since launch; Cyfarthfa Retail Park extension created over 250 jobs during construction and will create up to 230 full-time jobs when complete; Launched 'Plus' mobile app at Les Terrasses du Port, Marseille, providing personalized content and offers to shoppers.
- Successful trials of mobile app in 2013 at The Oracle, Reading and Highcross, Leicester, leading to a wider rollout in 2015.
Governance Achievements
- Successfully raised over £1 billion of capital (equity and debt), enhancing flexibility to fund further expansion; EPRA cost ratio reduced to 23.4% (2013: 24.6%); on track to achieve target ratio of 21% by 2016; Moody’s upgraded outlook from stable to positive in June 2014.
Climate Goals & Targets
- Not disclosed
- Not disclosed
- Achieve target cost ratio of 21% by 2016
Environmental Challenges
- Challenging economic environment in France; Cost inflation in the construction sector; Potential instability in the eurozone; Uncertainty caused by UK elections; Reduced levels of floating rate debt leading to higher financing costs.
Mitigation Strategies
- Refurbishment programme across French centres completed in 2014; Guaranteed maximum price contracts with building contractors; Diversified portfolio by sub-sector and geographic location; Stress-testing of business model against severe downside economic scenario; Currency hedging of euro-denominated portfolio; Flexibility to phase or halt development programme; Issue of 8-year €500 million bond in July 2014 to redeem outstanding bond, resulting in cost savings.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather, flooding
Transition Risks
- Regulatory changes, market shifts
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: EPRA
Certifications: BREEAM
Third-party Assurance: Not disclosed
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- B&Q’s first Eco-learning store
Awards & Recognition
- Not disclosed
Reporting Period: 2016
Environmental Metrics
ESG Focus Areas
- Carbon emissions
- Resource use
- Water
- Socio-economic impacts
Environmental Achievements
- 10% reduction in carbon emissions intensity of the business
- 7% reduction in electricity consumption across the like-for-like UK shopping centre portfolio
- 14% reduction in carbon emissions across the like-for-like managed portfolios
- 3% reduction in electricity consumption across the like-for-like UK shopping centre portfolio
- Installation of a 130kWp PV array at Westquay, producing an average 7.6 mWh of clean electricity each month
Social Achievements
- Delivered over 2,000 jobs across our developments and assets
- Worked with Teenage Markets, Pop-Up Business, Enabling Enterprise and others to deliver innovative, market-leading community engagement events and activities
- Highcross, Leicester became the first UK shopping centre to be recognised by Alzheimers UK
- Silverburn became Scotland’s first Dementia Friendly Shopping Centre
Governance Achievements
- Published 3rd Annual Supplier Report
- Updated online Supplier Survey
Climate Goals & Targets
- Become Net Positive for carbon emissions, water, resource use and socio-economic impacts by 2030
- Reduce absolute op. CO2e by 18% by 2020
- Reduce operational energy use of the LfL portfolios by 10% by 2018
- Achieve continued improvement in carbon emissions intensity of the business
- Achieve 10% reduction in energy use for like-for-like UK assets against the 2015 baseline
- Achieve 85% recycling of operational waste and 100% diversion from landfill
- Roll out Waterblades where feasible, and improve metering and monitoring of water demand through new utility management platform project
- Begin implementing energy audit recommendations for the French assets
- Continue to manage EPC compliance
Environmental Challenges
- Rising demand for electricity placing unprecedented demand on the electricity supply infrastructure in the UK
- Pricing uncertainty as charges rise at peak periods
- Deregulation of the water markets in the UK
- Waste management in France due to a less advanced infrastructure
- Achieving 85% recycling target for operational waste
Mitigation Strategies
- Reducing demand for electricity through good management and investment in energy-efficient technology
- Investment in metering infrastructure and systems to support effective demand management
- Investment in on-site renewable electricity production to reduce our demand from the grid
- Improved metering and data collection processes
- Engaging with retailers on their fit-out and design to promote water-efficient fittings
- Investment in on-site technology, such as waste sorting and recovery facilities
- Engagement with retailers and restaurant and café staff to support the maintenance of good practice in the sorting and management of waste
- Trialling BioWhale as a new organic waste solution at Westquay
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Code of Conduct
- Supplier sustainability requirements
- Sustainability clauses in leases
- Environmental standards in fit-out guides and retail delivery process
Climate-Related Risks & Opportunities
Physical Risks
- Increased risk of flooding
- Increased demand for energy to maintain comfortable temperatures within our enclosed assets
Transition Risks
- Potential for carbon pricing
- Rising energy costs
- Pressure on the electricity supply network across the UK
Opportunities
- Reduction of carbon emissions from the portfolio
- Reduction in energy demand
- Implementation of a metering strategy that will support electricity demand management
Reporting Standards
Frameworks Used: GRI G4, GRI Construction and Real Estate Sector Supplement (CRESS), EPRA Best Practice Sustainability Reporting guidelines
Certifications: ISO 14001, BS 18001
Third-party Assurance: Deloitte (waste, water, energy data); JLL Upstream Sustainability Services (additional targets)
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Eco-pod
- BioWhale organic waste solution
- Bio-digesters
Awards & Recognition
- Not disclosed
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Climate change
- Resource-use
- Water
- Socio-economic impacts
Environmental Achievements
- Reduced like-for-like portfolio carbon emissions by 12%
- Increased renewable energy capacity to 1.94 MWP, generating 1.1 MWH of clean electricity
- Reduced energy demand by 12%, delivering £0.9 million in cost savings
- Achieved 99.6% waste diversion from landfill
- Recycled 79% of operational waste
Social Achievements
- Launched employee value proposition #HammersonLife
- Improved employee retention, reducing voluntary employee turnover from 13.4% to 10.1%
- Launched Women’s Career Development Programme
- Invested £1.3m in addressing local challenges
- 596 young people participated in LionHeart Challenge
- Supported 266 people in developing skills to start their own business through PopUp Business School
- Colleagues mentored young people at risk of re-offending through Key 4 Life Mentoring
Governance Achievements
- Appointed three new Non-Executive Directors
- Completed a Board effectiveness review
- Won ICSA award for best Annual Report in the FTSE 250 category
Climate Goals & Targets
- Not disclosed
- Net Positive targets extended to include tenanted areas by 2030 (Phase Three)
- Net Positive for carbon, water, resource-use and socio-economic impacts by end of 2020 (Phase One)
Environmental Challenges
- Challenging market conditions in UK retail, including high-profile CVAs and administrations
- Subdued consumer confidence in the UK due to political uncertainty
- Rising cost pressures for retailers (business rates, wages)
- Valuation declines across the portfolio, particularly in the UK
- Impact of Coronavirus travel bans on Chinese tourists (affecting premium outlets)
Mitigation Strategies
- Disposal programme to reduce debt (£975m achieved)
- Portfolio optimization, focusing on flagship destinations and premium outlets
- Repurposing of department store space to introduce new brands and categories
- Shifting brand mix towards high-performing categories
- Investment in experience-enhancing events and digital services
- Cost savings initiatives (£7m target achieved)
- Proactive engagement with retailers on omnichannel development
- Progressing City Quarters strategy to diversify income streams
Supply Chain Management
Supplier Audits: 139 partners completed Supplier Survey
Responsible Procurement
- Specification of recycled content in construction materials
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather
- Flooding
Transition Risks
- Regulatory changes
- Market shifts
Opportunities
- Development of energy-efficient products and services
- Facilitating clean last-mile deliveries
Reporting Standards
Frameworks Used: EPRA Best Practice Recommendations, GRI, TCFD
Certifications: OHSAS 18001 (transitioning to ISO 45001), ISO 14001
Third-party Assurance: Deloitte
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 11 (Sustainable Cities and Communities)
- Goal 12 (Responsible Consumption and Production)
- Goal 13 (Climate Action)
- Goal 8 (Decent Work and Economic Growth)
- Goal 10 (Reduced Inequalities)
- Goal 4 (Quality Education)
- Goal 3 (Good Health and Well-being)
Initiatives contributing to these goals detailed in the Sustainability review
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- ICSA award for best Annual Report (2018)
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Climate Change
- Water
- Resource Use
- Socio-economic Impacts
- Governance
Environmental Achievements
- Reduced absolute carbon emissions by 66% vs. 2015 baseline
- Reduced landlord water demand by 77% vs. 2015 baseline
- Three assets achieved Net Positive for landlord water demand in 2020
- Reduced Net Positive resource use footprint by 2,100 tonnes in 2020
- 92% of UK and Ireland electricity from REGO-backed contracts
- Almost 3% of landlord electricity demand supplied by on-site renewable assets in 2020
- 2,214 MWh renewable electricity produced on-site
Social Achievements
- £180k invested in local community organizations through Giving Back project
- 57,258 local people engaged in socio-economic projects
- 88 small organizations benefited from Giving Back Project grants
- Delivered an extensive programme of work in four key areas (Health and Wellbeing, Skills and Employment, Young People, and Enterprise) despite pandemic disruptions
Governance Achievements
- Published Net Zero Carbon Transition pathway
- Response to TCFD published as a standalone document
- Four-step process for managing sustainability risk implemented
- Sustainability Governance structure established
Climate Goals & Targets
- Reach Net Positive position for Scope 1, 2, and 3 carbon emissions, mains water demand and resource use
- Transition 50% of Flagship assets to certified Net Zero Carbon status
- 100% of landlord purchased energy to be additional renewable or on-site generation
- Reduce scope 3 carbon emissions from the operational portfolio by 30% vs. 2019
- Transition one flagship asset to certified Net Zero Carbon status
- Increase renewable energy generation capacity by 3.5MWp
- Reduce absolute carbon emissions by 26% vs. 2019
- Recycle or reuse 75% of operational waste
- Agree PPA to deliver additional renewable energy for up to 50% of UK Shopping Centre portfolio demand
Environmental Challenges
- COVID-19 pandemic impacted business activities, reducing utility demand, increasing organic waste, delaying capital expenditure projects, and changing community needs
- Reducing Scope 3 emissions (from tenanted spaces) requires collaboration with brands
- Achieving Net Positive for water requires minimizing demand within tenanted spaces
Mitigation Strategies
- Robust systems and staff enabled quick adaptation to pandemic challenges, including investment in smart metering
- Work with retailers through lease events to manage F and G rated energy performance certificates
- Partnership with Thames Water to provide water audits, water-saving technologies, and leak correction
- Redirected £180k of investment into local community organizations
- Switched to online and socially distanced delivery modes for social impact work
- Developed local offset projects
Supply Chain Management
Supplier Audits: 300+ suppliers completed the Supplier Sustainability Survey
Responsible Procurement
- Supplier Sustainability Survey
- Contractual sustainability requirements
- Collaboration with design teams to set targets and find innovative solutions
Climate-Related Risks & Opportunities
Physical Risks
- Increased energy demand to maintain mall comfort
- Increased exposure to potential flooding
Transition Risks
- Increasing exposure to regulation
- Impact of carbon pricing
- Impact on key sector clients
- Rising regulatory/fiscal charges for utilities
Opportunities
- Energy efficiency investments and renewable energy
- Developing local offset projects
Reporting Standards
Frameworks Used: GRI, EPRA
Certifications: ISO 14001, ISO 50001, BREEAM
Third-party Assurance: JLL (Net Positive); Deloitte LLP (other data)
UN Sustainable Development Goals
- Goal 7 (Affordable and Clean Energy)
- Goal 11 (Sustainable Cities and Communities)
- Goal 13 (Climate Action)
Initiatives contribute to these goals through energy efficiency, renewable energy, waste reduction, community engagement, and sustainable development
Reporting Period: 2021
Environmental Metrics
ESG Focus Areas
- Climate Change
- Water Use
- Resource Use
- Socio-economic Impacts
- Governance
Environmental Achievements
- Reduced landlord emissions by 68% to 9,928 tCO2e from a 2015 baseline of 30,599 tCO2e
- Reduced landlord water use by 55% on the 2015 baseline
- Reduced resource use footprint to 10,112 tonnes, from 22,050 tonnes in 2015
- Global energy intensity down by 40% compared to 2015
- Total waste intensity reduced by 50% since 2015
- 2.2 GWh renewable electricity produced on-site
- Terrasses du Port shopping centre marine geothermal energy project reduced center carbon emissions by 68% v 2019
Social Achievements
- Invested £2 million in local socio-economic projects
- Delivered 64 socio-economic projects under four themes
- Engaged with 194 community groups, supporting 22,283 local people
Governance Achievements
- Sustainability linked bond issued, linking financial commitments to sustainability targets
- Changes to governance structure, bringing Risk and Sustainability together under a new Director
- TCFD training for Executive and Non-executive Board members
Climate Goals & Targets
- Net Zero carbon by 2030
- Reach Net Positive position for carbon emissions, water demand, resource use, and socio-economic impacts by 2030
- 60% reduction in Scope 1, 2 and selected 3 landlord controlled emissions by 2025
- 50% reduction in Scope 3 operational, occupier controlled emissions by 2025
Environmental Challenges
- Occupier emissions estimated to be five times higher than landlord emissions
- Managing Minimum Energy Efficiency Standards (MEES) compliance
- Climate-related regulation resulting in higher costs
- Climate-induced changes to customer preferences
- Carbon and resource policies impacting resource acquisition
- Failure to provide assets meeting market standards
- Reduction in attractiveness of retail investments
- Macroeconomic shocks from climate change or transition
- Severe and frequent extreme weather events
- Chronic shifts in climate patterns
- Difficulties insuring assets at risk
- Failure to act credibly on climate change
- Climate-induced political activism or social unrest
- Failure to provide infrastructure demanded by occupiers and investors
Mitigation Strategies
- Reporting occupier emissions from 2022
- Engaging with occupiers to improve energy performance (EPC) during store fit-out
- Resolution plan in place for F and G rated EPCs in UK assets
- CRREM pathways created to identify assets at risk of stranding
- Development sustainability standards to meet market standards
- Evolving business strategy focusing on mixed-use spaces
- Corporate Power Purchase Agreement (CPPA) to mitigate electricity pricing risk
- Phased roll out of ISO 14001 Environmental Management System
- Climate scenario analysis and action plan development
- Physical climate risk assessments on assets
- TCFD training for Board and GEC members
Supply Chain Management
Supplier Audits: 45 suppliers completed survey in 2021
Responsible Procurement
- Sustainability survey for suppliers
- New eSourcing and Contract management system integrating ESG criteria
Climate-Related Risks & Opportunities
Physical Risks
- Severe and frequent extreme weather events
- Chronic shifts in climate patterns
Transition Risks
- Climate-related regulation
- Changes in customer preferences
- Carbon and resource policies
- Reduction in attractiveness of retail investments
- Macroeconomic shocks
Opportunities
- Adaptation and diversification of portfolio
- Priming assets for low-carbon operations
- Reputational benefits
- Capitalizing on tax incentives
- Responding to increased demand for climate-resilient buildings
- Leveraging resources efficiently
Reporting Standards
Frameworks Used: GRI, EPRA, TCFD
Certifications: ISO 14001, ISO 50001, BREEAM
Third-party Assurance: Deloitte
UN Sustainable Development Goals
- Goal 7 (Affordable and clean energy)
- Goal 13 (Climate action)
- Goal 14 (Life below water)
- Goal 15 (Life on land)
Awards & Recognition
- Highly Commended in the Sustainability category of the Royal Institute for Architects in Ireland (RIAI) Awards 2021 for Pembroke Square development
- Green Apple Award and International Corporate Social Responsibility Award for Victoria Leeds
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Greenhouse Gas Emissions
- Energy Use
- Water Use
- Waste Management
- Social Value
- Employee Well-being
- Board Diversity
- Health and Safety
- Risk Management
Environmental Achievements
- Reduced total GHG emissions by 33% vs 2019 baseline (SPT1)
- Reduced Scope 3 operational, occupier controlled emissions by 31.5% vs 2019 baseline (SPT2)
- Increased renewable energy share in electricity consumption to 54%.
Social Achievements
- Increased total social value investment to £2,691,180 in 2022.
- Supported 152 charities and local organizations through social value activities.
- Achieved 100% of direct employees receiving regular performance and career development reviews.
Governance Achievements
- 38% female representation on the Board of Directors.
- 75% of the organisation operating in verified compliance with an internationally recognised health and safety management system.
- Implementation of an ESG Risk Management Framework.
Climate Goals & Targets
- Not disclosed
- 50% reduction in Scope 3 operational, occupier controlled emissions by 31/12/25 vs 2019 baseline (SPT2).
- 60% reduction in Scope 1, 2 and selected Scope 3 landlord controlled emissions by 31/12/25 vs 2019 baseline (SPT1).
Environmental Challenges
- Climate-related regulations impacting operational costs and asset values.
- Climate-induced changes to customer preferences affecting demand for retail and leisure services.
- Carbon and resource policies impacting material supply chains.
- Extreme weather events increasing energy demand and risk of business interruption.
- Failure to act credibly on climate change leading to reputational and financial risks.
Mitigation Strategies
- Routine monitoring of environmental regulations and legislative reviews.
- Implementation of ISO 14001 and 50001 compliant Environmental and Energy Management System.
- Sustainability Design Brief for new developments to address regulatory changes.
- Engagement with key tenants to adapt to changing customer demands.
- Net Zero Asset Plans to align with customer preferences and reduce reliance on fossil fuels.
- Design standards for new developments to withstand predicted climatic scenarios.
- Incident response procedures in place.
- Senior management training on climate change.
- ESG strategy focusing on key material transitional risks.
- Materiality review with investors.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Updated design and fit out standards to reflect material specifications and resource efficiency best practice
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
- Flooding
Transition Risks
- Climate-related regulations
- Changes in customer preferences
- Carbon and resource policies
- Failure to act credibly on climate change
Opportunities
- Development of energy-efficient products
- Innovation opportunities aligned to customer needs and comfort
Reporting Standards
Frameworks Used: GRI Standards CORE, EPRA Sustainability Best Practice
Certifications: ISO 14001, ISO 50001, ISO 45001
Third-party Assurance: BDO LLP
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Not disclosed
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Climate Change
- Nature
- Social Value
- Biodiversity
Environmental Achievements
- Reduced like-for-like Scope 1, 2 and landlord 3 carbon emissions by 13.4% year-on-year and 35% since 2019.
- Pavilions, Swords won a Best Energy Achievement in Retail and Best Overall Achievement at the Business Energy Achievement Awards 2023 (Ireland) for going gas free four years ahead of schedule.
- Gifted woodland and natural grassland in Lowestoft to the Wildlife Trust.
Social Achievements
- Delivered asset-centric events to support local communities.
- Increased participation in Giving Back Day (over 90%).
- Social value investment of £2.5m.
Governance Achievements
- Maintained sector and regional ratings with ISS ESG and Sustainalytics.
- Regained GRESB 4-star rating and achieved a peer-first A for GRESB ESG public disclosure.
Climate Goals & Targets
- Not disclosed
- Assess position against Net Gain Biodiversity targets; achieve net zero status by 2030.
- Reduce energy use by 7% year-on-year; maintain annual reduction in water use; divert 100% of waste from landfill; implement NZAP initiatives; 60% reduction in landlord emissions and 50% reduction in occupier emissions by 2025.
Environmental Challenges
- Stubbornly high inflation and interest rates.
- Reduction in debt availability.
- Cost of living crisis.
- Climate change (physical and transition risks).
- Biodiversity loss.
- Increased regulatory burden (CSRD).
Mitigation Strategies
- Strengthened balance sheet through disposals and debt reduction.
- Built a more efficient and agile platform.
- Implemented Net Zero Asset Plans (NZAPs).
- Undertook revised Physical Climate Risk Assessments and Nature-based action plans.
- Increased focus on social value.
- Proactive engagement with stakeholders.
- Early planning for CSRD requirements.
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Responsible procurement policy
- Supply chain code of conduct
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Climate-related regulation
- Changes to customer preferences
- Carbon and resource policies
- Reduction in attractiveness of retail investment
- Macroeconomic shocks
Opportunities
- Portfolio adaptation
- Priming assets with low carbon emissions
- Becoming a truly green real estate business
- Capitalising on tax incentives
- Responding to demand for climate-resilient buildings
- Leveraging resources circularly
- Divest from land and invest in other assets
- Upgrade infrastructure
- Influence occupiers' ESG ambitions
- Onsite energy generation
- Repurpose car parks
- Attract new talent
- Low carbon transition favouring urban locations
Reporting Standards
Frameworks Used: GRI, EPRA, TCFD
Certifications: ISO 14001, ISO 50001, ISO 45001
Third-party Assurance: Third-party assurance provider (limited assurance in accordance with ISAE 3410)
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- Pavilions, Swords: Best Energy Achievement in Retail and Best Overall Achievement at the Business Energy Achievement Awards 2023 (Ireland)
- Charity Super.Mkt: Revo Award for Pop-up of the Year