Real estate companies and funds in Asia lead the world in reducing energy consumption in 2018

  • Real estate sector in Asia reduces average year-on-year energy consumption by 6% in 2018– ahead of other regions.
  • Levels of public ESG disclosure rise sharply among listed property companies and REITs .
  • 11 Sector Leaders named for their sustainability leadership in 2018.

Amsterdam, September 20 – In 2018, GRESB scored and benchmarked the environmental, social and governance (ESG) performance of 137 Asian real estate funds, companies and developers on behalf of more than 75 institutional investors.
The regional average GRESB Score increased from 63 in 2017 to 66 in 2018, demonstrating a sector making improvements in overall sustainability performance. The improvements are most notable in the listed sector, with the average score for listed entities in Asia (71) coming in higher than the global average (69). The non-listed sector, scoring 62, was slightly lagging the global average (67), indicating that private entities in Asia will have to work harder to keep up with global improvements on ESG performance.
The increasing attention being placed on sustainability by the listed sector in Asia is also apparent in the rapidly growing levels of public ESG disclosures. Entities in Japan and Hong Kong in particular responded decisively to the growing regulatory and market demands for increased ESG transparency, with a marked uptick in public ESG disclosure levels compared to 2017.
Average year-on-year energy consumption for the Asia real estate sector fell by 6.0% – more than in other regions and significantly exceeding the 2.5% worldwide average reduction. Like-for-like GHG emissions were down 3.8%, with water consumption falling 0.8% in the region.

2018 has seen the commitment to improving environmental and social outcomes grow strongly in Asia in response to increasing investor and regulatory demands for better ESG risk management and higher levels of transparency,” says Ruben Langbroek, Head of Asia Pacific at GRESB. “On the environmental front, the reductions in energy consumption stand out, sending a positive message to investors in a sector where efficiency and financial performance go hand in hand. This is supported by initiatives such as the Super Low Energy Program that was recently announced by Singapore’s Building and Construction Authority. The Program promotes the importance of environmental sustainability.”
“Social sustainability is also getting more recognition, as industry stakeholders acknowledge the positive impact of the built environment for individuals and communities. The new Green Mark for Healthier Workplaces standard, also launched in Singapore, focuses the attention on creating healthier buildings, which leads to our shared vision of sustainable real assets” Langbroek concludes.
“Participation in GRESB has grown again in 2018 as investors seek standardized and validated ESG data to assess the sustainability of their real estate assets,” says Sander Paul van Tongeren, Co-Founder and Managing Director at GRESB. “This investor interest, backed up with accurate performance benchmarking, is empowering the spread of sustainable best practices across the world. We congratulate all participants in the 2018 GRESB Assessments. Their efforts are shaping the future of sustainability leadership for the sector.”

2018 GRESB Sector Leaders from Asia

This list of Sector Leaders recognizes the real estate companies and funds taking measurable steps to incorporate sustainability into their operations and communicating their performance to investors and other stakeholders.

Global

  • Developer, Listed – China Resources Land
  • Other, Listed – Swire Properties Limited

Global and Regional Sector Leaders

  • Diversified, Listed – Nomura Real Estate Master Fund, Inc.

Regional Sector Leaders

  • Diversified, Office/Retail, Listed – Activia Properties Inc.
  • Residential, Listed – Advance Residence Investment Corporation
  • Office, Listed – City Developments Limited
  • Industrial, Non-listed – Goodman Japan Core Partnership, Goodman Group
  • Office, Non-listed – IGIS Private Real Estate Investment Trust No. 35, IGIS Asset Management
  • Retail, Listed – Japan Retail Fund Investment Corporation
  • Retail, Non-listed – Lendlease Asian Retail Investment Fund 1 Lendlease
  • Diversified, Non-listed – Nomura Real Estate Private REIT, Inc., Nomura Real Estate Asset Management Co., Ltd.

View More Real Estate ResultsView 2018 GRESB Real Estate results snapshot PDF.
View 2018 GRESB Real Estate results page.

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About GRESB

GRESB is the global environmental, social and governance (ESG) benchmark for real assets. Working in collaboration with the industry, GRESB defines the standard for sustainability performance in real assets, providing standardized and validated ESG data to more than 75 institutional investors, representing over USD 18 trillion in institutional capital. In 2018, a record 903 property companies, funds participated in the GRESB Real Estate Assessment. The Infrastructure Assessment covered 75 funds and 280 assets, and 25 portfolios completed the Debt Assessment.  Learn more at gresb.com
For more information, please contact:
Claudia Gonella, Marketing & Communications Director at GRESB
c.gonella@gresb.com
Tel. +31 (0)207740220

About ARE

As a strategic partner, Asia Research & Engagement (ARE), represents GRESB in Asia, ex-Japan.  ARE promotes investor-company dialogue on sustainability and governance issues. It works with leading investors, banks, companies, and not-for-profits to improve corporate governance and transition to more sustainable economies across the Asian region.  Learn more at asiareengage.com.
For more information, please contact:
Ben McCarron, Managing Director, Asia Research and Engagement
ben.mccaron@asiareengage.com
+65 8299 6852

About CSR Design

CSR Design Green Investment Advisory, Co., Ltd. (“CSR Design”) is a specialist consulting firm based in Japan, focusing on sustainability aspects in the property and infrastructure sectors. CSR Design has been collaborating with GRESB since 2011 as the first GRESB Partner in Japan.  CSR Design has extensive experience to support property companies, including developers, J-REIT asset managers and property funds, to operate in a more sustainable manner, both on the asset level and the company/portfolio level.  Learn more at www.csr-design-gia.com
For more information, please contact:
Tomoko Takagi, Executive Officer
gia@csr-design.com
+81 3 5213 4830