We have developed a Responsible Business Strategy based around our core activities of Investment, Asset Management and Short-cycle Development. It is supported by the foundations of good risk management and a focus on creating and maintaining excellent stakeholder relationships at all levels.
The formation of LondonMetric brought together a range of challenges and opportunities from a sustainability perspective. Most importantly, we identified that our business model presents great opportunities to adapt quickly and commercialise sustainability, whilst managing risks and related costs.
In the context of increased legislative pressure on environmental issues; growing demand from investors for sustainability disclosure and potential long-term risk to asset value associated with less resource-efficient assets, our Responsible Business Strategy is designed to manage key sustainability risks, deliver short-term profitability and cost savings, strengthen relationships with our key stakeholders – in particular staff, investors, JV partners, occupiers, communities and local authorities; and enhance our brand value and long-term profitability.
With support from our external real estate sustainability advisors, our approach to developing this strategy involved a baseline business review; an assessment of legislative risks; a review of investor expectations; an assessment of our peers’ sustainability practices and an analysis of portfolio EPC risk. Together, these analyses enabled us to identify and prioritise a series of material issues for each of our core activities. They also highlighted some peculiarities for our business in terms of our sustainability approach; in particular, the fact that over 90% of our GHG emissions are generated by our office portfolio, which is non-core, and the fact that we are only responsible for water and waste management at a minimal number of properties. These aspects are therefore less material to our business than they are for other property companies.
We have proceeded by creating a strategic framework that enables us to concentrate our efforts and investment on a small number of material issues and is designed to deliver added value to each of our core activities. Within the scope of this framework, we have developed and approved a Responsible Business Policy supported by our Responsible Business Roadmap, which encompasses both short- and medium-term targets. These can be found under 'Our Targets'.
The governance and implementation of our Responsible Business Strategy is overseen by our Executive Committee. The Head of Responsible Business is responsible for day-to-day management and reports directly to the Executive Committee who will take high-level oversight of the establishment and delivery of our Responsible Business targets. We will report publicly on progress made against these targets and performance in relation to our KPIs on an annual basis.
For further detail on our approach and performance to date, please see our Responsible Business Report.
For latest information on our Environmental Performance, please see the latest Environmental Performance Reporting.
For our UK Modern Slavery Act statement please see our Modern Slavery Act Statement.