Corporate Responsibility

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Environmentally Responsible Investing

AEW is committed to a vision of prudent property stewardship with the goal to develop or enhance the sustainability measures of its commercial property investments. AEW has instituted a systematic approach to improve the operating metrics of its investments by incorporating ESG elements – environmental, social and governance – into its asset analyses, inclusive of underwriting, due diligence and asset management. This commitment is embodied in both our short and long-term ESG Objectives. Generally AEW identifies and presents sustainability issues and goals to its Investment Committees as part of each investment’s underwriting, and we include ESG goals in each asset’s annual business plan. Further, we report overall progress on ESG matters annually to AEW’s Risk Management Committee. Our long-term ESG objectives are stated below.

  • Environmental
  • Reduce Consumption
  • Lowe Operating Expenses
  • Decrease Risk
  • Social
  • Stakeholder Engagement
  • Awareness and Communications of our ESG Practices
  • Governance
  • Transparency and Accountability of our ESG Program

Reduce Consumption, Lower Operating Expenses, and Decrease Risk

  • AEW Capital Management is committed to reducing the amount of energy, emissions, water and waste by 15% over the next ten years (or 1.5% annual reduction)
  • Implement conscientious management practices to measure and monitor all energy, emissions, water and waste within our control
  • Evaluate our portfolios regularly to identify sustainability measures, as well as pilot innovative practices to lower operating expenses and increase the efficiency and long-term value of our properties
  • Seek opportunities to utilize low carbon and renewable energy sources in an effort to reduce our carbon footprint
  • Enhance the position of assets in their markets, reduce obsolescence and promote resiliency
  • Pursue ENERGY STAR certification for all eligible buildings annually
  • Explore third-party green building certifications such as LEED, BREEAM, IREM CSP, as well as health and wellness certifications such as WELL and Fitwel

Transparency and Accountability of Our ESG Program

  • Identify specific sustainability issues and establish goals for our assets under management and firm
  • Conduct annual portfolio-level assessment of environmental and energy issues to present to AEW’s Risk Management Committee
  • Monitor and manage compliance with government benchmarking requirements and any additional policy or regulatory changes
  • Continue to provide and improve training to our employees on governance topics including our Compliance Program and Code of Ethics
  • Demonstrate transparency and accountability to our investors through regular disclosure of our ESG practices and performance in quarterly investor reports and reporting frameworks such as GRESB, UN PRI and INREV

Stakeholder Engagement, Awareness, and Communication of Our ESG Practices

  • Create healthy work environments for employees and tenants, where possible, to stimulate productivity and promote sustainable communities
  • Communicate the importance of ESG to our property managers, leasing agents, and joint venture partners through property management and joint venture agreements and green leases
  • Provide training, resources and support to our third-party property managers on ESG best practices
  • Encourage engagement with local communities through building and tenant outreach, as well as volunteerism amongst our managers, tenants and employees
  • Enhance disaster response and recovery plans to address potential storm impacts and effectively communicate to tenants
  • Monitor and improve employee engagement through the deployment of regular employee surveys
  • Support and encourage supplier responsibilities and sustainable best practices