Climate Change Data

Environmental Metrics

ESG Focus Areas

• Energy Consumption
• Greenhouse Gas Emissions
• Social Initiatives
• Supply Chain Responsibility
• Resident Satisfaction
• Health, Wellbeing & Safety
• Employee Engagement, Training & Development
• Sustainable Communities
• Board Composition & Governance
• Regulatory Compliance
• Data & Cyber Security
• Ethics
• Insurance & Risk Management
• Waste Management
• Energy & Water Management
• Diversity & Inclusion

Environmental Achievements

• Reduced GHG intensity by 2.1% (KgCO2e/SF basis)
• Invested $5 million in energy projects with a 5.6-year payback
• Completed LED lighting retrofit across 100% of portfolio, saving over 5 million kWh annually
• Installed low-flow toilets in over 11,350 units, saving over 700,000 cubic meters of water since 2015
• Operational solar thermal heating systems at four properties, saving approximately 2,800 GJ of natural gas
• Purchased 22,260 square meters of carbon-neutral flooring, resulting in the retirement of 230 tCO2

Social Achievements

• Hosted dozens of resident and community events
• Achieved 88% resident satisfaction rating
• Supported over 750 subsidized affordable housing units
• Increased employee participation in paid community volunteer day program (over 550 volunteer hours)
• Donated over $300,000 in cash and in-kind gifts

Governance Achievements

• Established an internal ESG Oversight Committee
• Completed initial GRESB assessment
• Completed a materiality assessment of Killam’s largest risk factors
• Created a sustainability scorecard for all property managers
• Implemented additional environmental policies and due diligence procedures

Climate Goals & Targets

Environmental Challenges

• Significant energy consumption and greenhouse gas emissions from a large apartment portfolio
• Need to reduce water consumption across the portfolio
• Managing risks associated with older properties

Mitigation Strategies

• Five-year, $25 million energy-efficiency program
• Investment in energy-efficient technologies (LED lighting, low-flow toilets, geothermal and solar heating)
• Conversion to natural gas in Nova Scotia and New Brunswick
• Sub-metering water usage in new developments
• Extensive suite renovation program to improve energy efficiency
• Acquisition due diligence process that considers sustainability

Supply Chain Management

Responsible Procurement

• Mandatory vendor checklist including workers' compensation, liability insurance, and safety training

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards: Core Option

UN Sustainable Development Goals

• SDG 7: Affordable and Clean Energy
• SDG 8: Decent Work and Economic Growth
• SDG 11: Sustainable Cities and Communities
• SDG 12: Responsible Consumption and Production

Killam's initiatives align with these SDGs through investments in renewable energy, employee engagement, sustainable development, and resource management.

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Installed photovoltaic (PV) solar panels at 11 properties, generating 880 MWh of renewable energy annually.
• Implemented a green cleaning policy.
• Completed an independent review of its 2020 greenhouse gas inventory.
• Invested $5.2M in energy-efficiency projects including 880 MWh of PV solar panels.

Social Achievements

• Donated over $375,000 to support organizations across Canada.
• Supported affordable housing with more than 750 subsidized units.
• Formed a Diversity and Inclusion Committee.
• Achieved an 84% employee satisfaction score and 87% resident satisfaction score.
• Partnered with the Canadian Centre for Diversity and Inclusion.
• Completed mandatory diversity training for all management employees.

Governance Achievements

• Completed its second GRESB submission, achieving a green star rating and a 32% increase from its initial score.
• Began monitoring suppliers’ compliance with Killam’s internal ESG minimum standards.
• Aligned Killam’s strategy and targets with the UN’s Sustainable Development Goals.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacted volunteer opportunities and created challenges for in-person events and operations.

Mitigation Strategies

• Implemented a Pandemic Illness Plan and policies to mitigate the spread of the virus.
• Offered resources and financial flexibility to residents (zero rent increases, waived late fees, payment plans).
• Offered additional flexibility in work schedules and increased compensation for front-line employees.
• Leveraged technology for remote work and training.

Supply Chain Management

Responsible Procurement

• Mandatory checklist for vendors including proof of insurance, disclosure of health and safety infractions, and adherence to Killam’s sustainability policy.

Climate-Related Risks & Opportunities

Physical Risks

• Sea-level rise
• Flood risk
• Heat stress
• Extreme weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products
• Investment in renewable energy sources

Reporting Standards

Frameworks Used: GRI Standards (core), SASB standards, TCFD framework

Certifications: ISO 14064-3:2019 (limited assurance)

Third-party Assurance: Quinn & Partners Inc.

UN Sustainable Development Goals

• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 11: Sustainable Cities and Communities
• Goal 12: Responsible Consumption and Production

Killam's corporate sustainability targets are aligned with these SDGs.

Sustainable Products & Innovation

• Geothermal heating and cooling systems
• PV solar panels
• EV charging stations

Awards & Recognition

• Canada’s Most Admired Corporate Cultures (2020)
• Company Culture Award of Excellence (Federation of Residential Housing Providers of Ontario)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Energy Management
• Water Management
• Waste Management
• Greenhouse Gas Emissions
• Diversity and Inclusion
• Affordable Housing
• Employee Engagement
• Governance
• Risk Management
• Cyber Security

Environmental Achievements

• Reduced GHG emissions by 2.1% from 2020 levels.
• Invested $8.2 million in energy efficiency initiatives (solar PV installations, boiler and heat pump replacements, electricity and water conservation projects, geothermal heating and cooling installations).
• Completed nine solar photovoltaic installs, producing ~1,000 MWh of annual renewable energy.

Social Achievements

• Increased employee volunteer time by 20% from 2019.
• Increased affordable housing units by 14% (108 units), ending 2021 with approximately 850 subsidized affordable housing suites.
• Achieved an 86% resident satisfaction score.
• Completed a bi-annual diversity survey showing notable increases in representation of racialized and indigenous persons, persons with a disability, and those who identify as LGBTQ2+.
• Completed over 500 D&I training sessions.

Governance Achievements

• Improved GRESB score by 6% in 2021 (40% increase since initial participation).
• Earned a GRESB Public Disclosure survey rating of “A”.
• Reported under TCFD framework and aligned with SASB and GRI standards.

Climate Goals & Targets

Environmental Challenges

• Housing affordability in Canada.
• Climate change risks (physical and transitional).
• Cybersecurity threats.

Mitigation Strategies

• Acquisitions in Calgary and Charlottetown increased affordable housing suites.
• Annual investments in energy efficiency projects, use of green technology in new developments, energy audits, and piloting deep retrofits of older properties.
• Property-level analysis of physical climate risk exposure (expanding to include transitional risks and opportunities).
• Migration of all data to cloud-based solutions, investment in advanced cyber risk detection systems, increased firewalls, two-factor authentication, and planned vulnerability assessment and penetration testing.

Supply Chain Management

Responsible Procurement

• Mandatory checklist signed by suppliers prior to commencing work (includes proof of insurance, disclosure of safety infractions, documentation of safety training, and adherence to Killam’s sustainability policy).

Climate-Related Risks & Opportunities

Physical Risks

• Sea-level rise
• Flood risk
• Extreme weather events
• Heat stress

Transition Risks

• Carbon pricing
• Regulatory changes

Opportunities

• Development of energy-efficient products and services
• Investment in renewable energy sources

Reporting Standards

Frameworks Used: GRI Standards (core), SASB standards, TCFD framework

Certifications: ISO 14064-3:2019

Third-party Assurance: Green Check (Risk Check Inc.) - Limited Assurance

UN Sustainable Development Goals

• SDG 7: Affordable and Clean Energy
• SDG 8: Decent Work and Economic Growth
• SDG 11: Sustainable Cities and Communities
• SDG 12: Responsible Consumption and Production
• SDG 5: Gender Equality
• SDG 13: Climate Action

Killam's targets align with these SDGs through initiatives such as renewable energy investment, diversity and inclusion programs, building certifications, energy and water conservation, and GHG emission reduction targets.

Sustainable Products & Innovation

• Geothermal heating and cooling systems
• Solar PV panels
• LED lighting
• Low-flow toilets

Awards & Recognition

• One of Canada’s Greenest Employers
• One of Canada’s Most Admired Corporate Cultures

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Achieved a 2.7% reduction in like-for-like GHG emissions from 2020 baseline levels.
• Reduced GHG intensity ratio by 6.7% from 2020 baseline levels.
• Completed 12 solar photovoltaic installations, producing ~1,285 MWh of annual renewable energy.
• Achieved building certifications on an additional 10 properties (1,541 units), resulting in 13% of the portfolio being certified.
• Invested $8.5M in energy-efficiency projects.

Social Achievements

• Increased employee volunteer time by 75% from 2020 levels.
• Increased the number of units with a long-term affordability commitment by 160 units (35% increase from 2020).
• Achieved an 87% resident satisfaction score.
• Achieved an 83% employee satisfaction score.
• Provided housing to 57 Ukrainian families.

Governance Achievements

• Improved GRESB score by 15% and earned a 3-star ranking.
• Reported under TCFD framework and aligned with SASB and GRI standards.
• Formed a corporate-level Climate Change Committee.
• Offered Diversity & Inclusion training.

Climate Goals & Targets

Environmental Challenges

• Housing supply and affordability crisis in Canada.
• Increased costs of property insurance due to climate change.
• Costs associated with capital expenditure and infrastructure-related remediation projects due to climate change.
• Sea-level rise and extreme weather events threatening property viability.
• Limited access to reliable water supply during potential droughts.
• Insurers requiring resilience measures.
• Enhanced emissions reporting requirements.
• Increased operational costs due to proactive mitigation measures.
• Carbon pricing increasing operational costs.
• Unpredictable policy changes across regions.

Mitigation Strategies

• Working with industry peers and all levels of government to find solutions to the housing crisis.
• Annual long-term investments in energy-efficiency projects.
• Building new properties with advanced green technology.
• Conducting energy audits annually.
• Piloting deep retrofit of older properties.
• Developing plans to implement energy-efficiency upgrades at high-consumption properties.
• Undertaking a recommissioning program for 14 properties.
• Investing in a central Building Automation System (BAS) server.

Supply Chain Management

Responsible Procurement

• Mandatory checklist signed by suppliers prior to commencing work, including proof of insurance and adherence to Killam’s sustainability policy.

Climate-Related Risks & Opportunities

Physical Risks

• Direct damage to properties
• Increased costs of property insurance
• Costs associated with capital expenditure and infrastructure-related remediation projects
• Sea-level rise and extreme weather events threatening property viability
• Limited access to reliable water supply during potential droughts

Transition Risks

• Enhanced emissions reporting requirements
• Increased operational costs due to proactive mitigation measures
• Carbon pricing increasing operational costs
• Unpredictable policy changes across regions
• Rapid demand for EV chargers and air conditioning in buildings
• Increased capital and development costs to meet decarbonization requirements
• Increased electricity costs due to capital requirements from utility providers to increase grid capacity
• Increased costs and/or potential fines due to non-compliance with regulatory requirements

Opportunities

• Efficient operations may avoid operating cost increases from rising energy costs
• Capital investment in energy efficiency may avoid operating cost increases from rising energy costs and/or create cost reductions
• Improved allocation of capital from integrating climate risk into acquisition and development due diligence process
• Product differentiation and competitive advantage from energy and carbon reductions
• Increased value of energy-efficient and climate-resilient properties
• Increased demand for assets converted to, and certified as, net zero
• Access to grants and funding for net-zero investments and green financing mechanisms

Reporting Standards

Frameworks Used: GRI 2021 Universal Standards, SASB standards, TCFD framework

Certifications: ISO 14064-3:2019

Third-party Assurance: Green Check (Risk Check Inc.)

UN Sustainable Development Goals

• 5.5
• 7.2
• 7.3
• 8.5
• 11.1
• 12.5
• 13.1
• 13.2

Killam has aligned its corporate sustainability targets with the United Nations SDGs, focusing on gender equality, renewable energy, energy efficiency, decent work, affordable housing, waste reduction, climate resilience, and climate action.

Sustainable Products & Innovation

• Geothermal heating and cooling systems
• Air-to-air heat pumps
• Building automation systems
• Energy-recovering ventilation
• Energy-efficient building envelopes
• LED lighting
• Water-conserving fixtures
• Solar photovoltaics

Awards & Recognition

• Canada’s Most Admired Corporate Cultures (2022 and previous 6 years)
• GRESB green, three-star designation

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Invested $8.8 million in energy-efficiency projects.
• Reduced total emissions by 4.5% and GHG intensity by 5.7% compared to 2022.
• Certified 14 additional properties under the CRBP, bringing the total to 33.
• Installed 255 additional EV chargers, bringing the total to 401 across 57 buildings.

Social Achievements

• Contributed over $2.5 million in affordability assistance.
• Provided over 900 hours of diversity and inclusion training to employees.
• Donated $415K to communities.
• Achieved an 87% resident satisfaction score and an 81% employee engagement score.

Governance Achievements

• Implemented a Human Rights Policy and a Supplier Code of Conduct.
• Updated Sustainability Policy.
• Achieved a 3-star GRESB rating and an A-rating on the GRESB Public Disclosure Assessment.
• Integrated ESG targets into executive compensation plans.

Climate Goals & Targets

Environmental Challenges

• Diverse regulations governing waste disposal across municipalities.
• Climate change presents physical and economic risks to the business and communities.
• Significant investment required to achieve net-zero GHG emissions.

Mitigation Strategies

• Expanding partnership with Recycle Track Systems (RTS) for waste management.
• Investing in green technology, transitioning to renewable energy, and conducting climate risk assessments.
• Developing a long-term investment strategy to understand and manage physical climate risks.
• Developing a decarbonization plan and capital investment plan.

Supply Chain Management

Supplier Audits: Mandatory checklist for contractors; Supplier Code of Conduct shared with active vendors.

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Direct damage to properties
• Increased cost of property insurance
• Sea-level rise and extreme weather events

Transition Risks

• Insurers requiring resilience measures
• Enhanced emissions reporting requirements
• Carbon pricing increasing operational costs
• Regulatory changes

Opportunities

• Reduced energy expenses through improved operational efficiency
• Increased value of energy-efficient and climate-resilient properties

Reporting Standards

Frameworks Used: GRI 2021 Universal Standards, SASB standards, TCFD framework

Third-party Assurance: ISOS Group

UN Sustainable Development Goals

• SDG 5
• SDG 7
• SDG 8
• SDG 11
• SDG 12
• SDG 13

Killam's strategy aligns with these SDGs through initiatives related to gender equality, renewable energy, decent work, affordable housing, waste reduction, and climate action.

Awards & Recognition

• Kitchener’s Great Places Award for preservation of 87 Scott Street