Climate Change Data

Prosperity Real Estate Investment Trust

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:3,116.07 tCO2e/year
Scope 1 Emissions:0.57 tCO2e/year
Scope 2 Emissions:7,846.93 tCO2e/year
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:6,586,193 kWh/year
Water Consumption:10,093 m3/year
Waste Generated:21,723 tons/year
Carbon Intensity:0.002 tCO2e/sq. ft.

ESG Focus Areas

  • Green buildings
  • GHG emissions reduction
  • Energy efficiency
  • Water management
  • Waste management
  • Climate change
  • Occupational health and safety
  • Diversity, Equity & Inclusion
  • Employee well-being
  • Employee engagement
  • Employee development
  • Supply chain management
  • Tenant satisfaction
  • Tenant wellness
  • Community Investment
  • Business ethics
  • Data privacy protection

Environmental Achievements

  • 100% of the portfolio awarded green building certificate, with The Metropolis Tower attained the “Platinum” rating under BEAM Plus Comprehensive Scheme
  • 36% Reduction in GHG emissions as compared to 2017
  • 16% Reduction in energy consumption as compared to 2017
  • Completion of installation of solar panels at The Metropolis Tower, 9 Chong Yip Street and Trendy Centre
  • Completion of installation of rainwater collection system at Prosperity Place
  • 3 properties have rooftop urban farm in place with approximate total area of 140m2
  • 550 sq. ft. green wall is refurbished at The Metropolis Tower main lobby
  • Prosperity Place was accredited “Excellent Class” and four other properties were accredited “Good Class” under the Indoor Air Quality Certificate Scheme (81.54% of the whole portfolio, being all the wholly owned properties)

Social Achievements

  • 95.4% Employee satisfaction
  • 592 Total training hours
  • 10 Years Plus Caring Company
  • 6 Years Plus ELCHK Corporate Partnership Award
  • 99% Tenant Satisfaction

Governance Achievements

  • 100% term loan under sustainability-linked financing
  • First sustainability-linked interest rate swap
  • Rated as “Negligible Risk” by Sustainalytics
  • 5-star performance rating, Green Star accreditation and an A grade public disclosure rating in GRESB 2022

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reduce 20% GHG emissions by 2030
  • Reduce 20% energy consumption by 2030
  • Reduce 5% water consumption by 2030
  • 100% of our property portfolio’s total GFA recognised with external green building certification
Short-term Goals:
  • Reduce 14% GHG emissions by 2025
  • Reduce 14% energy consumption by 2025
  • Reduce 2% water consumption by 2025
  • Increase employee training hours by 20% by 2025
  • Increase volunteer hours by 20% by 2025

Environmental Challenges

  • Stringent environmental regulation or emissions-reporting obligations
  • Introduction of carbon tax in Hong Kong
  • Exposure to litigation
  • Rapidly changing new technologies developed in response to improving energy efficiency
  • Changing tenant’s behaviour
  • Changing in price of energy, water resources or waste management
  • Changes in stakeholders’ (including tenants, investors and community) preference
  • Increased severity of extreme weather events
  • Rising mean temperature
  • Rising sea levels
Mitigation Strategies
  • Require employees to attend ESG-related trainings
  • Develop ESG policies in controlling and monitoring the ESG performance and enhancing climate resilience
  • Keep track of the ESG-related technology development and conduct continuous market research
  • Regular meeting with leasing team members and building managers
  • Stakeholder engagement and regular performance of materiality assessment with stakeholders
  • Engage consultants for monitoring of ESG and TCFD matters to avoid negative perception from stakeholders
  • Emergency procedures in place, drills are performed annually before typhoon season
  • Regular checking to ensure the safety condition of the glass doors and related parts and accessories
  • Implement fixing method during typhoon
  • Replace chiller and its pump sets to enhance cooling efficiency

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Green Purchasing Policy
  • Group Supplier Code of Conduct
  • Contractor Safety Regulations

Climate-Related Risks & Opportunities

Physical Risks
  • Increased severity of extreme weather events
  • Rising mean temperature
  • Rising sea levels
Transition Risks
  • Stringent environmental regulation
  • Introduction of carbon tax
  • Exposure to litigation
  • Rapidly changing technologies
  • Changing tenant behaviour
  • Changes in stakeholder preferences
Opportunities
  • Improve efficiency across businesses
  • Transit of energy usage
  • Provide low-emissions products and services
  • Build internal capacity to respond to climate change

Reporting Standards

Frameworks Used: HKEX ESG Reporting Guide

Certifications: ISO 14001, ISO 45001

Third-party Assurance: Hong Kong Quality Assurance Agency (HKQAA)

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • GRESB 5-star Rating
  • Sustainalytics Negligible Risk Rating
  • MSCI ESG Rating B
  • FTSE EPRA Nareit Global Real Estate Developed Index Constituent
  • Various ARC Awards