Onboarding properties to Manulife ESG programme Investment ESG Summary ESG in due diligence Integrate ESG in budgets and financial models ESG in initial analysis Ensure material ESG due diligence items are addressed Include additional information in models and onboarding Summarise property ESG risks and strengths Ensure consistent and thorough process Share key information collected during investment process Ensure effective transition into ESG programme Budget for ESG costs and savings in financial models Capture efficiency opportunities Understand highlevel ESG risks and performance Communicate ESG data to Investment Committee 1 Based on GRESB results released in October 2024 that cover 2023 calendar year. Our GRESB results were assessed based on GRESB’s Office: Corporate: High-Rise Office category, which represents 88% of our total Gross Asset Value in 2023. The GRESB Rating is an overall measure of how well ESG issues are integrated into the management and practices of companies and funds. More information about the GRESB Real Estate Assessment is available at gresb.com/nl-en/real-estate-assessment. GRESB 20241 Results The Global Real Estate Sustainability Benchmark (GRESB) Real Estate Assessment is the global standard for ESG benchmarking based on sustainability performance and best practices in the real estate sector, used by listed property companies, private property funds, developers and investors that invest directly in real estate. The GRESB Public Disclosure Assessment focuses on the transparency of listed real estate companies and REITs regarding their ESG commitments. Together, they promote accountability and ESG commitment in the real estate sector. Annually, GRESB conducts assessments to better reflect the needs and priorities of the real assets investment community. For the seventh consecutive year, MUST achieved the top 5 Star rating with a score of 90 for GRESB Real Estate Assessment. This is higher than the average score of 76 and an improvement from last year's score of 89. Additionally, MUST received the highest 'A' rating and ranked second out of 10 U.S office peers for the GRESB Public Disclosure Assessment. Moving forward, MUST will continue to identify opportunities to achieve a green and sustainable portfolio such as reducing energy consumption, increasing the adoption of renewable energy sources, and conducting technical building assessments across the portfolio to identify areas of improvements. We continue to be dedicated to ensuring the best building standards for every property in our portfolio and place a strong emphasis on the sustainability performance of our properties. ESG Integration in Investment Process At MUST, our Chief Investment Officer and Asset Manager source for potential acquisitions, which the Manager then evaluates before presenting to the Board for approval. With ESG considerations integrated into our investment process, we evaluate criteria such as climate-related exposure, energy performance, and tenant engagement programmes for potential acquisitions. By incorporating ESG factors at various stages of our acquisition process, we ensure the continuity of MUST's sustainable operations. Following acquisition approval, our due diligence process identifies environmental and social risks and opportunities. We review metrics including energy performance and tenant engagement programmes. In the final stages of acquisition, we record a summary of ESG risks and strengths to maintain MUST's consistent sustainability performance. After acquisition, we incorporate new properties into our existing ESG programme for ongoing performance monitoring. Initial Analysis/ Underwriting Due Diligence Finalise Deal Onboard Property Initial Screening Approval Decision ANNUAL REPORT 2024 | 83
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