Frasers Property marks significant progress on ESG efforts with strong overall scores at GRESB 2023 assessment18 October 2023
Frasers Property Limited (“Frasers Property”, and together with its subsidiaries, the “Group”), today announced its GRESB 2023 performance in conjunction with GRESB’s 2023 Global Results Event, which saw significant improvement in its overall scores. Frasers Property Industrial was recognised as Regional Sector Leader, Oceania in the Industrial category for its Australian portfolio while Frasers Property Singapore was awarded Regional Sector Leader recognition in the Asia’s Diversified – Office/Retail (non-listed) category. The Group’s improved performance was the result of various sustainability efforts including greater data coverage, better sustainability reporting and disclosure practices, and stronger stakeholder engagement.
Fourteen Frasers Property entities took part in the Standing Investments category, of which 10 maintained their ratings and another four recorded rating improvements. Relevant entities also participated in the Development category with four entities recording higher ratings, and three maintaining ratings.
Paolo Bevilacqua, Group Head of Sustainability, Frasers Property Limited, said: “Our marked improvement at GRESB this year reflects Frasers Property’s commitment to raising sustainability standards across our business. We continue to learn from our experiences and the wider industry as ESG standards evolve. When we align ESG priorities with business considerations, we can drive long-term value creation for our stakeholders.”
“Reviewing the benchmarks for this year, it’s evident that the industry’s dedication to ESG principles is stronger than ever, as showcased by the continued increase in participation and broader data coverage. We applaud leading multinational real estate organisations like Frasers Property for its relentless pursuit and efforts to improve its portfolio’s sustainability performance and strive towards greater ESG disclosures,” shared Sebastien Roussotte, CEO of GRESB.
Highlights from the Group’s GRESB 2023 assessment include:
- Frasers Property Industrial was recognised as Regional Sector Leader for its existing assets in Australia in the Standing Investments assessment.
- Frasers Property Singapore saw the highest increase in scores among 5-star rated entities, improving from its 4-star rating in 2022. It was named Regional Sector Leader in the Asia’s Diversified – Office/Retail (non-listed) category in the Standing Investments assessment.
- Frasers Property’s business entities and listed trusts retained highest 5-star ratings – ranked amongst the top 20 percent globally, while others recorded strong improvements in both the Standing Investments and Development categories.
For the third consecutive year, all listed and non-listed business units of Frasers Property including its five REITs, participated in GRESB for targeted sector benchmarking.
Seeking third party assessment from bodies such as GRESB, a globally recognised industry benchmark, is key to the Group’s overall approach in affirming its Environmental, Social and Governance (ESG) standards and performance and encourage greater accountability with its stakeholders.
Making progress on sustainability goals
Frasers Property is committed to becoming a net-zero carbon corporation by 2050. As part of efforts to reduce its carbon footprint, partnerships with like-minded stakeholders across the value chain allow the Group to identify, explore and scale up innovative sustainable solutions. Eight out of nine business entities and all five real estate investment trust (REITs) have developed their net-zero carbon roadmaps.
The Group takes a risk-based approach to ensure its portfolio remains resilient and sustainable in the long-term. All business entities including its five REITs have completed their climate risk assessment, enabling better sensitivity and understanding of ESG risks and the development of solutions to enhance properties’ resilience against climate change. Frasers Property’s business entities have received approval for its science-based targets from the Science Based Targets initiative (SBTi), reaffirming its ability to deliver tangible impact on climate change.
Across its portfolio, the Group has obtained numerous accolades and recognition for its sustainability efforts. This includes being the first company globally to achieve a three-star Fitwel rating for a business park for Farnborough Business Park in the United Kingdom and having the highest rated Green Star performance for an industrial portfolio in Australia.
On the green and sustainable financing front, the Group has secured more than S$10 billion of green or sustainability-linked loans and bonds. The Group marked a major milestone this year, achieving full sustainability-linked funding for its Australian business.
Pursuing partnerships for a more sustainable future
Achieving net-zero carbon requires the collective efforts of stakeholders across the value chain including tenants and customers as well as contractors and suppliers. At Frasers Property, all employees have received specialised training on sustainability. The Group aims to provide its employees and stakeholders with the necessary information and resources in the application of sustainable operating practices, as the sustainability landscape evolves.
On the Standing Investments benchmark, Frasers Property Australia, Frasers Property Industrial (Australia), Frasers Centrepoint Trust and Frasers Logistics & Commercial Trust maintained their 5-star ratings for the third consecutive year. Frasers Property UK retained its 4-star rating for the third successive year. On the Development benchmark, Frasers Property Australia and Frasers Property Industrial (Australia) maintained their leadership positions and retained their 5-star ratings, a feat achieved since 2018.
On the Standing Investments benchmark, Frasers Hospitality Trust improved to a 4-star rating in 2023.Frasers Property Industrial (Europe) and Frasers Property China recorded strong improvement, receiving a 3-star rating and 2-star rating respectively, up from their 1-star ratings in 2022. On the Development benchmark, Frasers Property Vietnam and Frasers Property Industrial (Europe)’s 5-star ratings were a significant improvement from a 2-star rating and a 1-star rating respectively in 2022.
Frasers Logistics and Commercial Trust, Frasers Property Australia, Frasers Property Industrial, Frasers Property Vietnam and Frasers Property UK.