Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Commitment
• Corporate Governance
• Community Service

Environmental Achievements

• Embarked on Sabra’s E-Initiative Roadmap, laying the groundwork for environmental, health safety and wellness across our portfolios.
• Established core processes for measuring and assessing utility usage, including energy, water and waste.
• Identified innovative HVAC and water efficiency solutions that we are piloting and implementing across our managed portfolio.
• Explored nontraditional investment opportunities, including repurposing formerly underutilized or shuttered properties into productive assets.
• Joined the Well Living Lab as a proud Alliance Member.
• Collaborated with the Delos Lab and Direct Supply Innovation & Technology Center on senior wellness studies and technologies.
• Became one of the first REITs to use WELL Health-Safety Ratings across our managed portfolio.

Social Achievements

• Broadened our diversity, equity and inclusion strategy to focus on enhancing our recruitment efforts and developing new training programs.
• Provided leadership coaching for management-level team members.
• Conducted a pay equity review.
• Continued a cooperative program with PointRight to manage and improve outcomes in skilled nursing facilities.

Governance Achievements

• Established a three-part process to identify ESG issues impacting the business and stakeholders.
• Utilized aspects of the Sustainability Accounting Standards Board (SASB) Standards and industry issues identified by key ESG rating agencies to disclose practices.
• Engaged a third-party consulting firm to perform an investor perception study.

Climate Goals & Targets

Environmental Challenges

• The COVID-19 pandemic dramatically changed the skilled nursing and senior housing industry and had a devastating effect on staff, residents, and patients.
• Staffing shortages and social and environmental issues affecting staff, residents, and patients.
• Industry recovery to pre-pandemic levels of financial health taking time.

Mitigation Strategies

• Focus on creating a responsible, safe, and healthy environment for all staff, residents, and patients.
• Creative, bold, and collaborative approaches to address staffing shortages and social/environmental issues.
• Investing in E-Initiative Roadmap, including energy efficiency measures and adaptive reuse of properties.

Supply Chain Management

Responsible Procurement

• Identifying preferred vendors for energy efficiency services

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Opportunities

• Energy-efficient operations

Reporting Standards

Frameworks Used: SASB Standards

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Commitment
• Corporate Governance

Environmental Achievements

• Launched Green Links initiative with a $5 million fund to finance energy and water efficiency improvements in NNN portfolio; completed lighting retrofitting project at three NNN skilled nursing facilities in Hudson Valley, New York.
• First-time reporting of Scope 1 and 2 emissions for managed properties.
• Expanded climate risk analysis to include multiple scenarios and integrated this data across the portfolio to improve due diligence, prioritization of energy efficiency projects, and operator awareness of climate hazards.

Social Achievements

• Continued investment in property technology (Proptech) and medical technology (Medtech) improvements to enhance indoor air quality, reduce falls and accidents, and improve resident health and wellness.
• Maintained a diverse workforce with women representing approximately 55% of full-time teammates and 64% of management roles; 33% of teammates self-identify as members of one or more ethnic groups.
• Implemented DE&I training for all new hires and ongoing training programs.
• Increased parental leave coverage to 12 weeks with 100% pay supplement.

Governance Achievements

• Formalized management-level Sustainability Steering Committee.
• Refined process for addressing ESG factors, utilizing aspects of SASB standards and industry issues identified by key ESG rating agencies.
• Appointed four new directors since 2019 with diverse backgrounds.
• Implemented a Corporate Human Rights Statement and a Corporate Vendor Code of Conduct.

Climate Goals & Targets

Environmental Challenges

• Gathering environmental data from NNN portfolio (tenant-controlled properties).
• Managing climate-related risks across a geographically diverse portfolio.
• Maintaining high employee engagement and retention.

Mitigation Strategies

• Developed Green Links program to incentivize and finance environmental improvements in NNN portfolio.
• Integrated climate risk analysis tools (ClimateCheck) into due diligence, acquisition, and investment decision-making processes; implemented risk mitigation strategies based on scenario analysis.
• Implemented various employee engagement initiatives, including quarterly Board dinners, company retreats, and flexible work arrangements; conducted regular check-in meetings and company-wide surveys.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Identifying, evaluating, and tracking preferred vendors for energy efficiency services.

Climate-Related Risks & Opportunities

Physical Risks

• Heat
• Precipitation
• Drought
• Fire
• Flood

Transition Risks

• Rising energy costs
• Increased water expenses

Opportunities

• Energy-efficient retrofits
• Renewable energy adoption

Reporting Standards

Frameworks Used: SASB, GRESB, TCFD

Certifications: LEED Gold (new headquarters)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Stewardship
• Social Commitment
• Corporate Governance

Environmental Achievements

• Scope 1 and 2 emissions decreased by 3.5 percent and 2.9 percent respectively since 2022. Water usage decreased by 1.6 percent year over year.
• Launched Green Links program, allocating $5 million for NNN operators' energy and water efficiency upgrades.
• Completed first Green Links-funded project with an NNN tenant.

Social Achievements

• Maintained a collaborative culture and workplace that motivates and drives engagement.
• Provided opportunities and encouraged team activities that create a sense of belonging and emotional well-being.
• Invested in teammates’ well-being through high-quality benefits, including a hybrid work model, office amenities, and various team-building activities.
• Donated almost a quarter of a million dollars to various organizations.

Governance Achievements

• Board of Directors monitors environmental and social practices.
• Lynne Katzmann, chair of the Corporate Responsibility and Governance Committee, earned an ESG Certificate and Designation.
• Established a Code of Conduct and Ethics, with an Ethics Hotline for reporting violations.
• Integrated cybersecurity policies, standards, processes, and practices into the ERM program.

Climate Goals & Targets

Environmental Challenges

• The substantial majority of Sabra’s properties are leased under long-term NNN operating leases (84 percent), limiting direct control over environmental measures at these properties.
• Climate-related risks such as heat, precipitation, drought, fire, and flood.
• Managing Scope 3 emissions from NNN leased properties.

Mitigation Strategies

• Regular engagement and discussions with NNN tenants on sustainable practices.
• Encouraging and incentivizing tenants to practice responsible property management.
• Allocating resources for collecting, verifying, and analyzing utility data for NNN energy efficiency efforts.
• Investing in and implementing energy-saving technologies (LED lighting retrofits, energy-efficient HVAC systems, smart thermostats).
• Utilizing renewable energy sources.
• Implementing water-saving technologies and initiatives.
• Investing in fire preparedness practices, air-purifying technologies, and fire retardants.
• Utilizing flood zone assessments and ClimateCheck to inform flood risk and response decisions.
• Diversifying properties geographically.
• Green Links program to finance environmentally beneficial improvements for NNN tenants.

Supply Chain Management

Responsible Procurement

• Identifying, evaluating, and tracking preferred vendors for energy efficiency services and implementation.

Climate-Related Risks & Opportunities

Physical Risks

• Heat
• Precipitation
• Drought
• Fire
• Flood

Transition Risks

• Rising heat and drought

Opportunities

• Energy and water efficiency improvements

Reporting Standards

Frameworks Used: SASB, GRESB, TCFD

Third-party Assurance: Cventure LLC (limited assurance for Scope 1 and 2 emissions)