Consense Internationale Fachmesse und Kongress für nachhaltiges Bauen, Investieren und Betreiben
Sustainable Portfolio Management 2.0 Heike Ostriga Head of Sustainability Ingemar Hunold Project Manager, Sustainable Properties Union Investment Real Estate
Laying the foundations Union Investment Group sustainability strategy Sustainability included in corporate strategy in 2010 Positioning as asset manager with focus on CSR Segment strategies for 2015 Implementation of organisational responsibility UMH executive board Environmental management officer Sustainability management officer Representative** IK segment Representative** PK segment Representative** PM segment Representative* * Dept. Legal Representative** Dept. STC Representative** Dept. HR Representative** IT/infrastructue segment Representative* * SIM segment Representative** FDL segment Representative** Dept. Accounting Representative** Dept. Investment analysis Representative** Compliance Representative** F&E 3
Laying the foundations Structure Objectives Processes and instruments Investors Tenants Service providers Employees The public 4
Embedding in the investment process Sustainable research Analysis of real estate markets and forecasting Deriving market recommendations for investment strategy Sustainable fund management Sustainable investment strategy Acquisition and sales strategy Sustainability reporting at fund level Sustainable asset management Property selection considering sustainability factors Green due diligence Tenant retention New lettings Portfolio analysis/optimisation considering sustainability factors Benchmarking Risk management considering sustainability factors Sustainability profiles for service providers Property valuation considering sustainability factors 5
Union Investment sustainability programme Objectives 6
Instruments Portfolio Sustainability Management Roll-out in 2012 Objective: to record consumption data for 75% of overall portfolio by 2015 Roll-out in 2012: recording a representative group of 187 properties = 78% Not taken into account: properties undergoing restructuring or under construction, residential buildings Relevant portfolio: 282 properties (as at 31 December 2011) Proportion of space (usable area) in overall portfolio examined Untersuchter Space examined Flächenenteil Nicht Space untersuchter not examined Flächenanteil 22% 78% 7
[] [] [] [] Instruments Portfolio Sustainability Management Findings 3.Ia GRI EN16 Absolute CO2-Emissionen des untersuchten Portfolios (187 Obj) nach Verbrauchs- und Nutzungsarten 3.Ib GRI EN16 Absolute CO2-Emissionen des Gesamtportfolios (282 Obj) nach Verbrauchs- u 200.000,0 Absolute CO2-Emissionen untersuchtes Portfolio: 279.263,6 Absolute CO2-Emission Gesamtportfolio: 351.487,0 t 198.926,9 200.000,0 180.000,0 160.000,0 158.645,4 180.000,0 160.000,0 23,6% 140.000,0 23,6% 140.000,0 120.000,0 120.000,0 100.000,0 80.000,0 60.000,0 40.000,0 20.000,0 0,0 74,4% Bürogebäude 125 Objekte 60.857,0 20,0% 80,0% 140.000,0 Einkaufszentrum 120.000,0 31 objekte 34.568,5 74,6% 89,5% Hotelgebäude 19 Objekte 25.192,7 3.Ia GRI EN16 Absolute CO2-Emissionen des untersuchten Portfolios (187 Obj) nach Verbrauchs- und Nutzungsarten 200.000,0 180.000,0 160.000,0 100.000,0 80.000,0 60.000,0 40.000,0 20.000,0 0,0 Bürogebäude 125 Objekte Einkaufszentrum 31 objekte Hotelgebäude 19 Objekte 10,5% Logistikgebäude 12 Objekte Logistikgebäude 12 Objekte CO2-Emissionen Wärme CO2-Emissionen Strom CO2-Emissionen Wärme CO2-Emissionen Strom 100.000,0 80.000,0 60.000,0 40.000,0 20.000,0 0,0 74,4% Bürogebäude 189 Objekte (hochgerechnet) 80.284,4 3.Ib GRI EN16 Absolute CO2-Emissionen des Gesamtportfolios (282 Obj) nach Verbrauchs- und Nutzungsarten (hochgerechnet) Absolute CO2-Emissionen untersuchtes Portfolio: 279.263,6 Absolute CO2-Emission Gesamtportfolio: 351.487,0 198.926,9 25,4% 200.000,0 158.645,4 23,6% 74,4% 60.857,0 20,0% 80,0% 34.568,5 25,4% 25.192,7 10,5% 74,6% 89,5% 180.000,0 160.000,0 140.000,0 120.000,0 100.000,0 80.000,0 60.000,0 40.000,0 20.000,0 0,0 23,6% 74,4% Bürogebäude 189 Objekte (hochgerechnet) 80.284,4 20,0% 80,0% Einkaufszentrum 53 Objekte (hochgerechnet) 37.082,1 25,4% Hotelgebäude 22 Objekte (hochgerechnet) 35.193,6 10,5% 74,6% 89,5% Logistikgebäude 18 Objekte (hochgerechnet) 20,0% 80,0% Einkaufszentrum 53 Objekte (hochgerechnet) CO2-Emissionen Wärme (hochgerechnet) CO2-Emissionen Strom (hochgerechnet) 37.082,1 25,4% 74,6% Hotelgebäude 22 Objekte (hochgerechnet) Log 1 (ho E H - calculated - extrapolated 8
Instruments Portfolio Sustainability Management Findings: total values for all key performance indicators GRI indicator KPI Units Portfolio examined (187 properties) Overall portfolio (282 properties) - Building Energy Intensity [GWh/a] 686.1 862.2 EN3+EN4 Direct and indirect energy consumption by primary energy source [GWh/a] 1,583.3 1,985.1 EN 16 Greenhouse gas emissions [t CO2/a] 279,263.6 351,487.0 EN 8 Building water intensity [m³/a] 1,873,556.9 2,356,006.7 EN 22 Amount of waste [t/a] 28,075.6 35,097.5 CO2 footprint of UI real estate portfolio: 351,487 tco2/a Water footprint of UI real estate portfolio: 2,356,006 m³/a 9
Instruments Portfolio Sustainability Management Findings: specific values for all key performance indicators GRI indicator KPI Units Portfolio examined (187 properties) CRESS 1 Building Energy Intensity [kwh/(m²/a)] 242.3 Energy consumption heat [kwh/(m²/a)] 96.9 Energy consumption electricity [kwh/(m²/a)] 145.4 - specific direct and indirect energy consumption by primary energy source, over-all Specific direct and indirect energy consumption by primary energy source- electricity Specific direct and indirect energy consumption by primary energy source-heat [kwh/(m²/a)] 570.1 [kwh/(m²/a)] 411.2 [kwh/(m²/a)] 158.9 CRESS 3 Greenhouse gas emissions intensity [kg CO2/(m²/a)] 62.9 Specific Greenhouse gas emissions intensity-electricity [kg CO2/(m²/a)] 49.1 Specific Greenhouse gas emissions intensity-heat [kg CO2/(m²/a)] 13.8 CRESS 2 Building water intensity [m³/(m²/a)] 0.538 - Amount of waste [kg/(m²/a)] 6.46 10
Instruments Portfolio Sustainability Management Analysis methods and quality assurance Adjustment for country-specific factors, e.g. climate property-specific factors, e.g. occupancy levels, vacancies usage-specific factors, e.g. hours of use, exceptional consumption Quality assurance and completeness of data 11
Instruments Portfolio Sustainability Management Findings 700,00 Specific Building Energy Intensity, office space, for heating and cooling (EnEV) - kwh/m2 600,00 500,00 400,00 300,00 634 525 200,00 100,00 0,00 222 288 267 149 193 54 111 144 183 249 103 166 77 134 171 376 200 156 82 226 146 127 322 202 159 Building Energy Intensity [kwh/m²] comparison value EnEV 2009 *) Figures are calculated based on ARGE benchmark and represent average consumption figures for existing properties in Germany 12
Instruments Portfolio Sustainability Management Sample property 13
Instruments Portfolio Sustainability Management Tracking implementation of measures 14
Instruments Sustainable Investment Check V2.0 Content Qualitative rating system differentiating between new builds and existing properties For all uses office, retail, hotel and logistics Categories Energy Type of measurement of electricity Resources Water-saving measures, waste flows Economy Space efficiency, ease of cleaning User comfort Visual and acoustic factors Existing properties only: Operation Waste/energy/water management Separate assessment: Location Proximity to local transport 15
Instruments / stakeholders Green Leases Recommendations of the Green Lease project group March 2012 Certification General use and management of rental properties Cleaning and waste Fit-out and building work by tenant Building work by landlord Cosmetic repairs Electricity, lighting and electrical equipment Consumption and emissions Operating and service costs Sustainability handbook Sustainability committee Compensation for damages and sanctions alstria office REIT-AG Bilfinger Berger Facility Services EPM Assetis GmbH Daimler Real Estate GmbH Deutsche Bank AG Ernst & Young Real Estate GmbH City of Hamburg Freshfields Bruckhaus Deringer LLP HOCHTIEF Projektentwicklung GmbH Jones Lang LaSalle GmbH Union Investment Real Estate GmbH 16
ISO 14001 environmental management Certificate May 2011 17
Stakeholders private investors Demand for attractive, sustainable investment products 100% 1. Quartal 10 1. Quartal 11 2. Quartal 11 1. Quartal 12 80% 60% 40% 20% 0% sehr attraktiv (1) (2) (3) (4) unattraktiv (5) Union Investment; investment barometer Q1 2012 Telephone interviews conducted by forsa with a random group of 500 persons 18
Stakeholders institutional investors Demand for attractive, sustainable investment products Extract from 2012 survey of institutional investors by Union Investment 19
Stakeholders tenants Cooperation: information and motivation 20
Stakeholders service providers Cooperation: environmental management 21
Stakeholders the public Cooperation: communication 22
Union Investment Group sustainability report 2012 GRI / ZIA reporting objectives, key figures, KPIs, facts relating to real estate segment 23