Climate Change Data

Elme Communities

Climate Impact & Sustainability Data (2021, 2022)

Reporting Period: 2021

Environmental Metrics

Renewable Energy Share:26% of all electricity used by our portfolio (landlord and residents/tenants)
Total Energy Consumption:106,818 MWh/year (portfolio)
Water Consumption:272,828 kgal/year (portfolio)

ESG Focus Areas

  • Climate Change
  • Energy Efficiency
  • Water Conservation
  • Waste Reduction
  • Diversity, Equity, and Inclusion
  • Resident Well-being
  • Corporate Governance

Environmental Achievements

  • Surpassed energy and greenhouse gas emission goals earlier than anticipated.
  • Achieved LEED certifications at over 75% of commercial office buildings sold in 2021.
  • Supplied 25% of all electricity used across the portfolio from a clean energy supplier using local and regional sources.
  • Achieved Green Lease Leaders Gold status.
  • Installed over 480 kW of solar panels on two multifamily buildings in DC, equivalent to planting 7,800 trees annually in avoided greenhouse gas emissions.
  • Achieved BREEAM In-Use Certification across over 30% of the multifamily portfolio.

Social Achievements

  • Implemented fitness centers and associated activities at 96% of communities to promote resident health and wellness.
  • Increased female representation on the Board to 25%.
  • Partnered with Esusu to enable residents to build their credit score by reporting on-time rent payments.

Governance Achievements

  • Developed a new Statement on Human Rights, Supplier Code of Conduct, and Vendor Code of Conduct.
  • Created green lease language to enhance sustainability within residential communities.
  • Partnered with a Diversity, Equity, and Inclusion (DEI) specialist.

Climate Goals & Targets

Long-term Goals:
  • Achieve Net Zero GHG emissions across the portfolio by 2050.
Medium-term Goals:
  • Reduce Scope 1 and Scope 2 market-based emissions intensity by 50% by 2031.
  • Reduce energy use intensity by 20% by 2031.
  • Reduce water use intensity by 15% by 2031.
Short-term Goals:
  • Increase building certifications by 10% by 2026.

Environmental Challenges

  • Supply chain disruptions due to COVID-19.
  • Data limitations in measuring Scope 3 emissions and waste.
  • Changes in workforce diversity metrics due to in-housing community management.
Mitigation Strategies
  • Developed new green lease language for data sharing.
  • Worked with utility companies to expand data coverage.
  • Reorganized data benchmarking for Scope 3 calculations.
  • Engaged with a DEI expert to improve internal programs.

Supply Chain Management

Responsible Procurement
  • Vendor Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Flood
  • Sea Level Rise
  • Heat Stress
  • Water Stress
  • Hurricanes
Transition Risks
  • Increased utility costs
  • Accelerated equipment replacement
  • Natural gas restrictions
  • Increased regulatory reporting
  • Technological obsolescence
  • Non-compliance penalties
Opportunities
  • Incentives for deep energy retrofits
  • Lower cost of capital from Green Bonds
  • Lower operating costs
  • Increased federal spending
  • Improved resident demand

Reporting Standards

Frameworks Used: GRI Standards 2016, UN SDGs, SASB, TCFD

UN Sustainable Development Goals

  • Goal 3: Good Health and Well-being
  • Goal 5: Gender Equality
  • Goal 6: Clean Water and Sanitation
  • Goal 11: Sustainable Cities and Communities
  • Goal 13: Climate Action

Initiatives aligned with these goals are described throughout the report.

Awards & Recognition

  • GRESB Green Star status
  • Green Lease Leaders Gold

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:5620 MTCO2e (Scope 1 & 2 Market-Based)
Scope 1 Emissions:1752 MTCO2e
Scope 2 Emissions:3415 MTCO2e
Scope 3 Emissions:Not disclosed
Renewable Energy Share:72%
Total Energy Consumption:89513 MWh
Water Consumption:346745 kgal
Waste Generated:Not disclosed
Carbon Intensity:3.8 kgCO2e/SF (Scope 1 & 2 Market-Based)

ESG Focus Areas

  • Climate Change
  • Sustainability
  • Energy Efficiency
  • Water Conservation
  • Waste Reduction
  • Diversity, Equity, Inclusion, and Accessibility (DEIA)
  • Employee Well-being
  • Resident Engagement
  • Financial Inclusion
  • Ethical Governance
  • Supply Chain Responsibility
  • Human Rights
  • Data Security
  • Climate Risk Management

Environmental Achievements

  • Completed construction of solar panel systems generating over 670,000 kWh of clean electricity annually.
  • 72% of common area electricity at stabilized communities was renewable energy purchased from local and regional sources.
  • Increased building certifications (ENERGY STAR, LEED, BREEAM, IREM, Fitwel) to 72%.

Social Achievements

  • Racially diverse employees nearly doubled from 19% in 2021 to 37% in 2022.
  • Increased female representation in key positions, including the Board of Trustees.
  • Partnered with a financial technology firm to report on-time rent payments to all three credit bureaus, helping residents build credit scores.
  • Offered interest-free housing stability loans to residents facing financial hardship.

Governance Achievements

  • Developed a new Statement on Human Rights aligned with the UN Universal Declaration of Human Rights.
  • Developed a Vendor Code of Conduct requiring suppliers to adhere to Elme's Code of Business Conduct and Ethics.
  • Achieved a GRESB score of 77 in 2022, exceeding the average of peers.

Climate Goals & Targets

Long-term Goals:
  • Achieve Net Zero GHG emissions across our portfolio by 2050.
Medium-term Goals:
  • Reduce Scope 1 and Scope 2 GHG market-based emissions intensity by 50% by 2030.
  • Monitor and set targets for Scope 3 emissions.
  • Reduce water use intensity by 15% by 2031.
  • Reduce energy use intensity by 20% by 2031.
Short-term Goals:
  • Reduce whole-site water use intensity by 15% by 2031.
  • Reduce Scope 1 and Scope 2 market-based emissions intensity by 50% by 2031.
  • Reduce energy use intensity by 20% by 2031.
  • Increase building certifications to 85% by 2026.

Environmental Challenges

  • Increased GHG emissions (1.9%) and energy use (1.2%) in 2022 compared to 2021, largely due to increased occupancy and renovations in recently acquired communities.
  • Increased water use (4.6%) in 2022 due to higher occupancy.
  • Limited data coverage for Scope 3 emissions and waste.
  • Changes in DEI metrics due to in-housing community management.
Mitigation Strategies
  • Developing standard data collection processes for Scope 3 emissions.
  • Working with waste experts to improve data coverage and quality.
  • Engaging a DEI expert to improve internal programs and establish new processes.
  • Standardizing resident surveys to measure and compare communities.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Vendor Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Flood
  • Sea Level Rise
  • Heat Stress
  • Water Stress
  • Wildfire
Transition Risks
  • Increased utility costs
  • Accelerated equipment replacement
  • Natural gas restrictions
  • Increased regulatory reporting
  • Technological obsolescence
  • Non-compliance penalties
Opportunities
  • Incentives for deep energy retrofits
  • Lower cost of capital from Green Bonds
  • Lower operating costs
  • Increased federal spending for climate regulation
  • Increased resident demand

Reporting Standards

Frameworks Used: GRI Standards 2016, UN SDGs, SASB, TCFD

Certifications: ENERGY STAR, LEED, BREEAM, Fitwel

Third-party Assurance: None

UN Sustainable Development Goals

  • SDG 7 (Affordable and Clean Energy)
  • SDG 11 (Sustainable Cities and Communities)
  • SDG 13 (Climate Action)

Initiatives aligned with SDGs are described in "An ESG Strategy Aligned with Global Objectives" section.

Sustainable Products & Innovation

  • Smart home technology (SmartRent)

Awards & Recognition

  • Green Lease Leaders Gold (multifamily and office)