INTERVIEW
Q1
MUST is an ESG leader among REITs , having achieved 5 stars in the GRESB Real Estate Assessment and inclusion in numerous ESG indices . What is the philosophy you adopt in approaching ESG ?
Building on this momentum , we aim to
We build our belief in responsible investing based on the principle that , “ A life is worth living through giving ”. As such , we strive to integrate the best ESG practices into our operations , and we work closely with our Sustainability Steering Committee ( SSC ) to drive internal and external sustainability efforts . achieve green certification for 100 % of our portfolio by 2030 .
We are committed to sustainable investing through four key tenets : sustainable properties , external relations , human capital , and ethical corporate behaviour .
Q2
How do you approach each of environment , social and governance ?
Overall , our sustainability strategy and programmes are aligned to our Sponsor ’ s . We also work closely with our Property Manager , John Hancock Life Insurance Company , to improve the sustainability performance of our properties . In 2017 , our Property Manager launched an internal Sustainable Building Standards outlining 13 sustainability focus areas to enable benchmarking and target setting for all of MUST ’ s nine properties . At the same time , MUST ’ s SSC drives sustainability strategies , sets targets , oversees monitoring processes , and reviews sustainability performance for the REIT .
Building on this momentum , we aim to achieve green certification for 100 % of our portfolio by 2030 . Our properties are also included in our Sponsor ’ s GHG reduction target of 80 % by 2050 . This year , we are working with our Asset Manager to develop a model to identify GHG reduction opportunities specifically for MUST ’ s buildings and we will initiate GHG reduction targets for the portfolio from 2022 .
We also execute our social governance through two strategic areas : external relations and human capital . For external relations , we aim to understand and help meet the needs of the communities we engage with , namely the tenant , investment , and local communities .
On the environmental front , our efforts are focused on sustainable properties . We aim to create value for tenants and unitholders by reducing the environmental impact of our properties . This includes launching initiatives to maximise resource efficiency at our properties and working with our tenants to minimise their environmental footprint wherever possible . Beyond the existing portfolio , environmental due diligence is also a fundamental component of Manulife Real Estate ’ s acquisition due diligence when it seeks to buy new properties .
We have made significant progress in reducing the environmental impact of our properties over the years . Eight of our nine properties have met rigorous standards established by the U . S . Environmental Protection Agency and were ranked among the top 25th percentile of similar properties for energy efficiency . Currently , 86.5 % of MUST ’ s portfolio by Gross Floor Area ( GFA ) is green building certified by either Leadership in Energy and Environmental Design ( LEEDTM ), ENERGY STAR ® or both . In 2020 , MUST recorded energy , water and GHG intensity reductions of 23.2 %, 36.6 %, and 30.7 % respectively .
Photo : Michaelson , Irvine , California Source : Manulife US REIT
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