Sustainability Statement and Framework
Introduction
Climate Change, Carbon Reduction and Environmental Impact are all terms that are becoming increasingly important on the international, national and local agenda of governments and commercial organisations. All three issues can be addressed through the development and implementation of a Sustainable Agenda.
Real Estate's consumption of natural resources and generation of waste means it has the greatest cumulative impact on the environment and is therefore at the centre of endeavour for promoting environmental sustainability and the Sustainable Agenda.
This document sets out Eskmuir's Sustainable Agenda through a Sustainability Statement and Sustainability Framework. Both the statement and framework will be subject to regular review to ensure their continued relevance as management tools in the delivery of the Group's investment strategy.
Sustainability Statement
Through its acquisition and management of commercial properties and in its own governance and dealings with tenants, advisers and suppliers, Eskmuir will:
Engage
- with occupiers and advisers to ensure opportunities to drive value through sustainability are identified, appraised and delivered;
- with stakeholders to ensure sustainability risk and opportunities are incorporated into each stage of the property life cycle;
- with industry bodies to assess emerging trends and their impact on real estate assets.
Manage
- properties in line with Eskmuir's sustainability Framework to ensure sustainability is incorporated into the day to day working of the Group;
- the environmental impact of each property by grading their sustainability credentials at purchase and then endeavouring to improve them year on year;
- waste, consumption, cost, obsolescence and depreciation, encouraging practices that are sustainable and deliver a product that matches occupier and investor demands.
Audit
- the Group's performance, on a quarterly basis, in delivering the ambitions of the sustainability statement.
Sustainability Framework
1. Objective
This framework is intended to provide Eskmuir's management team with clearly defined objectives for identifying and improving the sustainability of every aspect of the Group from the properties in which the Group invests, the way in which it deals with its tenants, suppliers and advisers, to the way in which the Group conducts its own business.
The framework will also provide those working with the Group with a clear policy which can be reconciled to their own sustainability agendas, used to support their investment rationale and demonstrate the exercise of their social responsibility.
2. Delivery
The management team will:
Self Governance
Actively look to incorporate sustainable principles into the way in which they operate their businesses, engage with their staff and work with each other in the management of the Group.
Property Investment
Embed its sustainability agenda within the Group's investment appraisal process so that a property's sustainability is measured and appraised at the time of purchase and its opportunities and threats identified and carried through to subsequent asset management plans and hold / sell reviews to deliver added value to the Group.
Monitor the impairment of value for those properties which fail to meet the market's sustainability criteria and consider the disposal of those assets as and when appropriate.
Where possible and appropriate, show a preference for sustainable practices, designs and materials when investing in the refurbishment of properties.
Property Management
Maintain and review sustainability action plans for each asset and for the Group as a whole to identify and appraise opportunities to improve sustainability across the portfolio and to provide clear targets for the management team to pursue.
Ensure the Group's managing agents include sustainability as part of their reporting agenda so that daily management policies are in accordance with the Group's sustainability agenda and to engender initiative in identifying and implementing new policies or procedures to enhance each properties sustainable credentials.
Adopt low carbon technologies, where in keeping with occupier requirements, to reduce carbon emissions and generate savings for both the Group and its tenants.
Monitor potential risks associated with environmental policies and the climate change agenda and ensure mitigation strategies are fully embedded into the property management strategy and that the requirements of all relevant environmental laws and statutes are fully complied with.
Liaison with Tenants
Engage with and educate occupiers through newsletters and tenant meetings to identify ways of improving levels of sustainability in the way in which tenants occupy their premises, giving guidance on best practice and influencing fit-outs, refurbishments and procurement of services.
Procurement
Manage waste disposal, recycling and the consumption of energy, water and other consumables so that, where possible, they are sourced from sustainable providers whilst engendering a partnership with managing agents and tenants so that energy efficiency and waste minimisation strategies are agreed, implemented and delivered.
Challenge the Group's suppliers to improve their own performance in delivering and managing sustainability throughout the supply chain.
Professional Advisers
Influence advisers to adopt sustainable practices and in turn will endeavour to learn from those whose policies and actions have proven to be successful.
Ensure that advisers have the necessary skills to incorporate the sustainability agenda in the advice that they provide and identify risks and opportunities.
