CapitaLand lauded as Asia’s most sustainable diversified real estate developer
CapitaLand Mall Trust also feted as most sustainable listed shopping mall owner in Asia
Group’s inclusion in local, regional and global indices and benchmarks throughout 2016 highlights industry leadership in sustainability issues
Singapore, 8 September 2016 – CapitaLand has been crowned Regional Sector Leader of Asia (Diversified1) in the 2016 Global Real Estate Sustainability Benchmark (GRESB) Real Estate Assessment – the sixth year in a row it has achieved this distinction. CapitaLand Mall Trust, Singapore’s first and largest real estate investment trust, has also been recognised by GRESB as Regional Sector Leader of Asia (Retail – Listed). GRESB is an industry-driven organisation committed to assessing the environmental, social and governance (ESG) performance of real assets globally, including real estate portfolios. GRESB data is used by its members, which include pension funds and their fiduciaries, to optimise the risk and return profile of their investments.
On top of this, CapitaLand has been listed in the Dow Jones Sustainability World Index for the fifth year in a row – it is one of only two Singapore companies to make the World listing. It has also retained its listing in the Dow Jones Sustainability Asia Pacific Index, marking the Group’s eighth consecutive listing in the regional index. CapitaLand remains the longeststanding Singapore company in the index, having been the first from the country to be listed when the regional index was launched in 2009.
Mr Tan Seng Chai, Group Chief Corporate Officer of CapitaLand Limited and Chairman of the CapitaLand Sustainability Steering Committee, said: “We are honoured to be recognised by GRESB as Asia’s most sustainable diversified real estate developer, and to be listed in the Dow Jones Sustainability Indices along with some of the world’s biggest corporations whose names are synonymous with sustainable growth. These results are deeply encouraging and affirm the path that CapitaLand has taken towards creating long-term value for our investors by growing our business in a sustainable manner. We will stay the course, and are committed to remaining profitable while improving the economic and social wellbeing of our stakeholders.”
2016 – a year of continued excellence in sustainability
CapitaLand’s recognition by GRESB and its inclusion in the Dow Jones Sustainability Indices add to the list of sustainability achievements that the Group has accumulated throughout 2016.
In January, CapitaLand was listed for the fifth year running in the Global 100 Most Sustainable Corporations in the World by Corporate Knights, recognised as the gold standard in corporate sustainability analysis. It was also listed in RobecoSAM’s The Sustainability Yearbook 2016 with a ‘Bronze Class’ award for the second year running – placing it in the top five among real estate companies worldwide, and retaining its distinction as the only Singapore company to be awarded a medal award.
In April, CapitaLand was included in FTSE Russell’s newly launched FTSE4Good ASEAN 5 Index, an ESG index developed in collaboration with the Association of Southeast Asian Nations (ASEAN) Exchanges, and comprising companies from the region that were measured against FTSE’s ESG ratings model. CapitaLand also retained its listing on the broader FTSE4Good index in 2016.
This was quickly followed by CapitaLand’s inclusion in all four of the Singapore Exchange’s (SGX) newly launched Sustainability Indices in May. This included SGX’s flagship Sustainability Leaders Index, which comprises SGX-listed companies considered to be clear frontrunners in ESG compared to their peers.
Most recently, in August, CapitaLand retained its listing on the MSCI Global Sustainability Index – its third year running. The index encompasses the highest rated companies in ESG making up 50% of the adjusted market capitalisation of their respective sectors in the underlying index. In addition, CapitaLand was included for the first time in the MSCI Global Socially Responsible Investment (SRI) Index Series, which is pegged to a benchmark of the highest rated companies in ESG making up 25% of the adjusted market capitalisation of their respective sectors of a parent MSCI index.
Leading the industry for sustainability reporting
CapitaLand believes in being transparent with its ESG efforts and activities. It published its first annual sustainability report in 2009, making it one of the first companies in Singapore to do so voluntarily. This was before the Sustainability Reporting Guidelines were introduced by SGX in 2011, and well before SGX introduced sustainability reporting requirements for Singapore-listed companies this year.
CapitaLand is also one of the few real estate developers to cover its international property portfolio and global workforce in its sustainability report. In June this year, CapitaLand published its seventh Global Sustainability Report, which is based on the Global Reporting Initiative ‘Global 4’ Sustainability Reporting Guidelines. It also applied the Guiding Principles of the International Integrated Reporting (IIRC) Framework as well as ISO 26000:2010 Guidance on Social Responsibility to this report. All underlying systems and processes that support the Group’s sustainability framework were reviewed and the accuracy and reliability of its statements and figures validated. The assurance engagement was conducted in accordance with the International Standard on Assurance Engagements 3000 (ISAE 3000). The assurance includes the evaluation of the Group’s sustainability behaviour and performance, based on the AA1000 Assurance Standard. CapitaLand is a signatory to the United Nations Global Compact and its sustainability report serves as its Communication on Progress.
The report outlines CapitaLand’s corporate responsibility priorities that form the foundation of its global reporting approach on organisational, manufactured, environmental, human, and social and relationship capitals, and covers CapitaLand’s international portfolio and staff for 2015. Some highlights from the report include:
22.6% reduction in carbon emissions intensity since 2008, on track to meet its 23% target by 2020
S$93 million in utilities cost avoidance since 2009 from 18.4% and 23.3% energy and water consumption reduction (per square metre with 2008 as base year) respectively
3,800 tonnes of recyclable waste diverted from landfills
Over 50 electric vehicle charging stations installed in its properties worldwide
About 30% of senior management positions filled by women
Over 55 training hours per staff
Close to 17,300 volunteer service hours contributed by staff in CapitaLand properties