CSR Policy ASR Dutch Core Residential Fund. a.s.r. real estate

Transcription

1 ASR Dutch Core Residential Fund a.s.r. real estate

2 2 Our vision on CSR The ASR Dutch Core Residential Fund s vision on Corporate Social Responsibility To optimally facilitate the interests of tenants and investors by creating homes that have long-term value from both a financial and a societal perspective, in a responsible manner with engaged and aware partners and employees. The aim of the ASR Dutch Core Residential Fund (ASR DCRF) is to provide investors the opportunity to invest in a residential portfolio with long-term value. Long-term value requires future-proof homes in attractive locations. These homes must be comfortable, meet the current and future wishes of housing market consumers and are sustainable. And they should be located in a residential environment that is and remains highly valued. In short, properties where the occupants are and feel at home. Sustainable homes are attractive for tenants for a variety of reasons, such as lower energy costs and a healthy indoor climate. They are also attractive for investors, since a sustainable portfolio creates value (in due course) and helps to mitigate risks. Sustainability ensures continuity and stability. Indeed, sustainable homes reduce the environmental impact due to the low use of energy and water as well as the reduced generation of waste, and therefore help to reduce emissions of greenhouse gases. To create a portfolio with long-term value, close cooperation is required with stakeholders whereby parties make clear agreements and assist and inform each other as thoroughly as possible. The Fund also aims to ensure that its tenants are engaged and aware. ASR DCRF believes that it goes without saying that Corporate Social Responsibility can be achieved only by means of sound, transparent business practices and engaged employees. This policy document connects with the current policies of a.s.r. real estate and a.s.r. Nederland concerning Corporate Social Responsibility. For more information about the CSR policies of ASR DCRF and a.s.r. real estate, please visit asrreim.com/about-us/csr-policy. For more insight into the CSR policy of a.s.r. Nederland, please visit asrnl.com/sustainable-business.

3 3 Strategic objectives ASR DCRF s CSR policy is based on four Ps, which cover the entire CSR spectrum. Each P highlights the CSR policy from a different perspective, but together they are necessary for the Fund to achieve its vision. The four Ps are: Property, Partners, Planet and People. Each P comes with its own strategic objectives. These are listed below for each P. The strategic objectives have in turn been translated into annual objectives. There is in fact also a fifth P: Profit. The Fund regards this as a self-evident parameter for the other four Ps. After all, a good and stable return is the core business of an investment manager. The Fund wishes to achieve the objectives set out below by 2020 at the latest, but in many cases much earlier. Moreover, most of the strategic objectives are of a structural nature. Property Partners Planet People Sustainable portfolio Engaged partners Contribution to society and the environment Committed organization Reduce average Energy Index to at least 1.30 Reduce ownership of properties with Energy Index of > 2.4 to less than 3% of portfolio Implement energy-saving measures in 50% of the portfolio Obtain Green Building Certificates for 15% of the portfolio Optimal engagement of partners in chain Continuous check for compliance with CSR requirements and objectives Tenant satisfaction rating of at least 7.5 (out of 10) Active tenant participation programme Reduce energy consumption and greenhouse gases by 10% compared to 2015 Optimal monitoring of environmental performance Investing in neighbourhoods Contribution to the opportunities and development of pupils and students Informed and engaged employeess Optimal organizational anchoring of CSR Employee satisfaction > 80% Personal development of employees

4 4 Property Strategic objectives Reduce average Energy Index to at least 1.30 Reduce ownership of properties with an Energy Index > 2.4 to under 3% of portfolio Implement energy-saving measures in 50% of the portfolio Obtain Green Building Certificates for 15% of the portfolio Property naturally occupies a central role in the ASR DCRF. The main aim of the Fund is to increase the sustainability of its portfolio much further in various ways. Reduce average Energy Index to at least 1.30 All properties owned by the Fund have been EPA-certified. Many ASR DCRF properties have been in ownership for many decades and have a comparatively high average Energy Index (November 2017: 1.40). Significant steps are being taken to improve this. The addition to the portfolio in 2017 of 23 existing properties as well as 171 new properties with an Energy Index < 1.20 (Energy Label A) has had a positive effect on the average Energy Index of the Fund. Major steps have also been taken to renovate the Fund s current portfolio. In 2016, 101 single-family properties were made highly sustainable, reaching Energy Index 0,70. And in 2017, the sustainability of 49 single-family properties and 412 multi-family properties was increased to Energy Index < Distribution EPA labels in ASR DCRF portfolio PERCENTAGE % A+ 12% 33% A+ A 8% 33% 26% 24% Mid 2015 Q Q (prognosis) A % 15% 20% 19% 17% 16% 14% 14% 10% 12% 5% 5% 9% 7% 5% % 1% 1% Energy index A+/A B C D E F G EPA Label In 2018, at least 234 multi-family properties will improve from Energy Label E/F/G to A/A+, with the ultimate goal of increasing the sustainability of another several hundred properties in the coming years.

5 5 The future pipeline of new, energy-efficient complexes and the proposed comprehensive renovations of the existing portfolio will further improve the Energy Index. In addition, building transformations will be carried out, where possible, to further enhance the sustainability performance. Under the Dutch Building Decree, newly developed properties must have a maximum EPC of 0.4 by completion so any new ASR-dwelling has an EPC of 0.4 or lower. Next, the acquisition of any existing real estate acquired must conform to a maximum Energy Index of 1.30 or have clear potential to reach this level through enhancements. The Fund s Programme of Requirements will be continually directed towards the demands of sustainability. This includes elements such as only allowing the use of FSCcertified wood, LED lighting and recycled materials. To ensure the proper implementation of this policy, ASR DCRF has included a sustainability assessment in acquisition and investment proposals. The Fund is constantly working on investigating and implementing new developments and applications, such as offering electric bike and car services, charging points for electric cars, energy neutral dwellings, greenery and biodiversity. For newly developed properties, zero-energy homes can be a serious option. In 2018, a newly developed project in Zeewolde will include three zero-energy homes. Meanwhile, in both newly developed and renovation projects, the opportunities for gas-free dwellings, will be investigated. At the end of 2018, the Fund expects to approach an average Energy Index of at least Dotterbloemstraat, Nieuwegein

6 6 Case study Green kitchens For over 25 years, all new kitchens fitted in the Fund s dwellings are delivered by its partner Keller Kitchens. CSR is one of their distinctive qualities and they produce carbon-neutral kitchens, an excellent achievement. In April 2017, Keller Kitchens introduced a carbon-neutral manufacturing process. By generating energy with the help of solar panels, converting waste products such as sawdust into energy, and using eco-friendly transportation methods, they have reduced the amount of carbon dioxide dramatically. By investing in sustainable projects, Keller compensates the resulting CO2 emissions. Keller actively takes part in several social initiatives or indeed initiates them, e.g. they sponsor skate team Healthy Team and their greenery is taken care of by a Dutch sheltered employment party. Reduce ownership of properties with an Energy Index > 2.4 to under 3% of portfolio ASR DCRF wants to minimize the number of residential properties with low levels of sustainability so that the number of dwellings with an Energy Index above 2.4 (EPA labels F/G) can be reduced to less than 3% of the portfolio in The Fund formulates a sustainability target for all standing investments at asset level, introducing measures to improve sustainability for residential properties, especially for those with an Energy Index > 2.4. At the end of 2017, 8% of the dwellings had an EI higher than 2.4. Thanks, among other things, to the large sustainability projects that have been and will be carried out in the period , and thanks to individual sales of less sustainable dwellings, the portion of the Fund at > 2.4 will drop to 6% at the end of The aim in the coming years is to significantly increase the sustainability of (at least) another few hundred properties. Implement energy-saving measures in 50% of the portfolio Standing investments can be made more sustainable in other ways than through renovation. The Fund is assessing the portfolio to identify green solutions (such as LED lighting, high-efficiency boilers, solar panels, water-saving plumbing and sedum roofs) and has mapped out how sustainable improvements could be made to day-to-day management. The resulting actions have been documented and are being monitored at asset level. Where possible, sustainability improvements are linked to maintenance in the multi-year maintenance programme (MYMP). The Fund s aim is to improve the sustainability of at least 50% of its standing investments from Since that year, the Fund has implemented energy-saving measures in 21% of the portfolio, which means that it is on track for achieving the objective of 50% in 2020.

7 7 Obtain Green Building Certificates for 15% of the portfolio In addition to the portfolio s EPA certification, the Fund aims to improve the sustainability of its portfolio even more by focusing on achieving Green Building Certificates (including BREEAM) for its complexes. This certification means that the property, the surroundings and the development process are all tested on a broad number of sustainability criteria. The aim for the period until 2020 is to obtain such certification for at least for 15% of the portfolio. The focus lies both on newly developed complexes and on standing investments. Together with the Dutch Green Building Council, the Fund is developing and implementing a new Green Building Certificate for residential complexes called Woonkwaliteitslabel. The pilot phase for the Fund s complexes in Terwijde Utrecht (199 dwellings) and Bonifaciuslaan Hilversum (250 dwellings) will be completed by the end of At the end of 2018, the Fund expects that at least 11% of the portfolio will have a Green Building Certificate. Its goal is to have at least 15% of the portfolio certified in Spotlight: Sustainability conversion Bonifaciuslaan, Hilversum In Hilversum, 250 apartments on the Bonifaciuslaan were made sustainable. The apartments, situated in five towers and built around 1985, were outdated and had a low Energy Label (E). The renovation was started and completed in The sustainable upgrades include insulation, HR++- glazing and LED lighting in common areas. In addition, a sophisticated central heating system was installed. This system integrates a central heat pump and high-efficiency boilers. Meanwhile, 880 solar panels were installed on the roofs of the five towers. The result is that the dwellings have a much better indoor climate and significantly lower energy costs. In addition, the appearance of the building has greatly improved through modernization and upgrades of the common areas. The investment is appreciated through the WWS systems, which allow a rent increase for all apartments. The number of regulated dwellings will decline considerably. After the renovation, the Energy Label improved to label A.

8 8 Partners Strategic objectives Optimal engagement of partners in the chain Continuous check for compliance with CSR requirements and objectives Tenant satisfaction rate of at least 7.5 (out of 10) Active tenant participation programme The role of the Fund s partners is essential to the achievement of ASR DCRF s CSR targets. ASR DCRF requires its partners to actively pursue CSR. Together, the partners form a chain whereby each link is important in attaining the best possible teamwork and CSR results. Optimal engagement of partners in supply chain The Fund works together with several long-term partners, such as its investors. Risk management, returns, good governance, stability and transparency are not the only factors considered essential by the Fund s investors. To an increasing extent, another key factor is the portfolio s sustainability performance. There are various ways the investors can provide the Fund with input for its CSR policy. And the Fund actively shares its CSR activities with investors, such as a property tour of sustainable renovated dwellings in Meanwhile, the Fund aims to ensure that its tenants are engaged, aware of and satisfied with its sustainability efforts. ASR DCRF tries to keep them well-informed, not only of energy savings and sustainable operations, but also user behaviour and its positive impact on energy use. The Fund firmly believes that sustainable behaviour is as important as an energy-sustainable home. CSR is a standing item on the agenda of routine meetings with its external property managers and most direct maintenance partners (contractors and consultants). In addition, there are guidelines for the Fund s partners to follow or concrete measurable arrangements on sustainability set down in agreements between parties. An independent party assesses maintenance parties on sustainability in implementation. And the Fund seeks cooperation with governing bodies when it comes to sustainability initiatives. The Fund s CSR performance is measured annually and made transparent in the form of the Global Real Estate Sustainability Benchmark (GRESB). GRESB is an independent, scientific benchmark that assesses the sustainability policies of real estate funds worldwide as well as the implementation of those policies. The Fund s efforts have been rewarded in the past years with the high distinction of Green Star. For 2017, ASR DCRF increased its GRESB score to 72, which is an increase of 29% compared to The Fund was awarded four out of the maximum five stars and scored above average in its peer group. This improvement is mainly the result of the Fund s increased insight into tenants energy use, improved tenant engagement, a reduction in energy consumption and optimization of CSR reporting.

9 9 Increasing knowledge and network For a.s.r. real estate, increasing and sharing its knowledge and network in the area of CSR is an important objective. In the Company, involvement, participation and support of promoting CSR initiatives throughout the industry and society as a whole is top of mind. For this reason, a.s.r. real estate is affiliated with several organizations (including IVBN, INREV, NRW, GRESB, DGBC, NEPROM, VOGON and RICS) and participates actively in the sustainability working groups of a.s.r. Nederland, IVBN, NEPROM and DGBC. a.s.r. real estate regularly talks about its CSR vision and activities at congresses and other events such as Provada, the Dutch Green Building Week, a NeVaP sustainability event and the Rooftop Symposium. Continuous check for compliance with CSR requirements and objectives The Fund closely monitors the implementation of its CSR policy during the maintenance process. Technical maintenance can only be carried out by CSR-certified businesses. The technical materials and systems used must comply with the current CSR requirements. For example, only the use of FSC-produced timber is permitted. The quality of ASR DCRF s portfolio and the related technical CSR requirements are measured annually by an external consultant and accredited in accordance with the NEN 2767 building condition and quality measurement standard. Strict sustainability requirements apply in tendering procedures. For the sake of proper compliance with the Fund s CSR objectives, agreements with all maintenance and management partners are being drafted or redrafted and tightened, recorded and tested. Where possible, ASR DCRF includes CSR provisions in lease agreements with its tenants. The Fund does its best to thoroughly brief other partners (such as developers, utility companies and government bodies) about its objectives and to ensure that the agreements the Fund concludes with them are in keeping with the CSR policy. CSR Principles The Strategic CSR Policy is based on the UN Principles for Responsible Investment, the UN Global Compact, INREV (European Association for Investors in Non-Listed Real Estate Vehicles) Guidelines and the IVBN (Foundation for Dutch Institutional Investors in the Netherlands) principles regarding human rights, labour, environment and corruption. The Fund has implemented a Code of ethics and a risk policy. These Governance Principles (Dutch Insurance Code) have been in effect from 1 January 2011.

10 10 Tenant satisfaction rate of at least 7.5 (out of 10) Each year, ASR DCRF conducts a tenant satisfaction survey. In this survey, questions are asked about the services provided by the Fund and the external property manager. Meanwhile, the tenant also assesses the property, the environment and the handling of repair requests and complaints. The findings of the survey are discussed both internally and with the external property managers, and then translated into measures. The progress of these measures is monitored each quarter. ASR DCRF s aim is to achieve an annual satisfaction rating of at least 7.5 out of 10 in The Fund records any complaints filed by tenants and monitors them in its Complaint Management System. Actions resulting from the survey are taken up immediately by external property managers. The tenant satisfaction rate in 2016 was 7.1. Active tenant participation programme The Fund welcomes input from tenants so that it can make use of their knowledge and experience, and meet their wishes more effectively. That is why the Fund is developing a participation programme that entails various forms of tenant participation. This participation can consist of brainstorming with residents about further developing renovation projects, submitting ideas to the Fund for possible ways of improving sustainability and focussing on the improvement of sustainable tenant behaviour. The standard form of participation of resident associations is another important element. See the text box Involved tenants for some practical examples.

11 11 Involved tenants ASR DCRF believes it is important to involve tenants in Corporate Social Responsibility as much as possible. Below are three examples of how this is done: CSR bag All new tenants and tenants facing a renovation project will receive a CSR bag containing several sustainable products, such as an LED lamp, detergents and a shower hourglass. In the bag, tenants can also find a list with tips-and-tricks to live more sustainably. The Fund hopes the bag will contribute to improving sustainable tenant behaviour. A sustainable lifestyle not only benefits the environment, but can save the tenant hundreds of euros every year. The Fund will measure the use and the tenant s review of the bag. Sustainable tenant behaviour In order to significantly reduce energy use, it is important to provide homes designed for low energy use. However, the behaviour of the residents is of equal importance. The Fund aims to continue launching initiatives to improve sustainable tenant behaviour, such as a project in Utrecht in 2016 and 2017 in which tenants were informed about a sustainable lifestyle. CSR newsletter Once a year, all tenants receive a CSR newsletter, which states the values ASR DCRF stands for and its efforts in the area of Corporate Social Responsibility. In addition, tenants receive tips on how they can live more sustainably. Participation in sustainability projects At complexes where the Fund wants to improve sustainability, it tries to involve tenants as much as possible in the final plans. At the start of the planning process, a survey is conducted to determine the needs of the tenants. A tenant s focus group is also formed at the start. This group is involved in discussions about the project s progress and is asked for input. Where possible, tenants are also given choices about such things as the colour of the paintwork and the type of heating.

12 12 In control a.s.r. real estate s risk management function has a number of key principles. First, the Manager conducts risk management in accordance with the AIFMD licence it was awarded by the AFM at the beginning of In addition, IT risks are managed in accordance with the Cobit standards of the Dutch Central Bank (DNB) and integrity risks are managed on the basis of DNB s SIRA (Systematic Integrity Risk Assessment). Finally, the risk management model (ERM COSO) is based on the central risk management } of a.s.r. Nederland, supplemented by local real estate risk management tools. Each year, a risk self-assessment is conducted with the Executive Board based on the company s objectives. Key policies are reviewed every year, addressing such aspects as conflict of interest, incidents and outsourcing. If necessary, the existing controls are supplemented or changed. Dutch Insurance Code Governance principles are enshrined in the Dutch Insurance Code, which was implemented in January The Dutch Insurance Code is mandatory for all supervised insurance companies. As a result, it also applies to the managing directors of a.s.r. and its management team members. This code states the terms and conditions that risk management must comply with, including the monitoring by Audit (third line of defence) based on the Three Lines of Defence model. Evaluation of processes and reports a.s.r. real estate s large purchase, sale and investment proposals are also reviewed by the Compliance Officer and the Business Risk Manager. They form the second line of defence and ensure that all procedures and fund restrictions are applied in the correct manner. All key processes are identified and described in an AO/ IC and ISAE framework. Every month, the Internal Control team tests the ISAE 3402 controls. As of 2018, the ISAE 3402 controls are tested annually by the external auditor. Every quarter, the Business Risk Manager reports the ISAE test results, his or her own periodic observations of real estate risks and any findings from the processes to the Business Risk Committee. This enables the Fund Management Team to monitor the speed at which a.s.r. real estate resolves incidents (NFR dashboard report, ISAE). Code of ethics a.s.r. real estate has introduced a code of ethics, which consists of a diverse range of integrity policy documents on the issue of combating bribery and corruption. These documents contain various rules of conduct for the proper implementation of this Code of ethics. Bonifaciuslaan, Hilversum

13 13 Planet Strategic objectives Reduce energy consumption and greenhouse gases by 10% compared to 2015 Optimal monitoring of environmental performance Investing in neighbourhoods Contributing to the opportunities and development of pupils and students Planet stands for the contribution ASR DCRF makes to nature, society and the environment. Reduce energy consumption and greenhouse gases by 10% compared to 2015 To minimize carbon emissions, ASR DCRF wishes to further scale back its portfolio s energy consumption, water consumption and waste production. Furthermore, the Fund aims to scale up the on-site generation of renewable energy The Fund is already making 100% use of green power for the common areas but wishes to continue reducing its energy consumption and GHG emissions to achieve a 10% reduction between 2015 and This will be measured by the GHG emissions intensity per sq.m. of the total portfolio, both common areas and tenant space. Throughout the years, the extensive renovation of the Fund s current portfolio will have a major impact on energy consumption and GHG emission. Optimal monitoring of environmental performance An important aim is to expand the monitoring of use as much as possible including the Fund s data management system with respect to energy use, water consumption and waste management. This is necessary in order to manage use and thus achieve a controlled reduction in carbon emissions. The Fund s basic monitoring and management of energy consumption is limited to collective heating systems and the energy used in communal areas in apartment buildings. The remaining energy use (electricity, heating, water and waste) is for the account of the tenants. However, since 2017 the Fund has insight in the clustered tenant use of electricity and gas. This provides insight into the energy use of tenants and the ability to analyse the real impact of renovation projects. An important goal for 2018 is to further optimize the monitoring system and, in addition, to analyse the data more actively.

14 14 Climate change The built environment has an impact on the global climate change, by developing real estate, the operational management of properties and the demolition of assets. However, climate change can also have an effect on the management of the built environment, for instance through natural disasters, rising sea levels and air or soil pollution. Insight into the adverse effects of climate change is vital in order to respond to the impact which climate change has and will have, while at the same time preparing for future effects. This is why the Fund has investigated which effects, and corresponding urgencies, are applicable to the portfolio. Currently, there are no effects which are of the highest urgency applicable to the Fund. From 2018 onwards, the Fund will monitor these effects and urgencies closely, as part of its commitment to managing a future proof portfolio. The Fund will report in the quarterly report if there are changes in the identified effects and urgencies, to ensure the perpetual value of ASR DCRF s portfolio in the mid- to long term future. Investing in neighbourhoods ASR DCRF considers it important that areas in which it manages property continue to thrive. That is why a.s.r. real estate is actively involved in these neighbourhoods and communities. ASR DCRF sets aside a budget to invest in neighbourhood facilities and greenery, such as playgrounds, benches, Tiny Forests or other enhancements. The neighbourhood (and, first and foremost, the tenants) are actively involved in the allocation of this budget.for the Fund, an optimal moment to invest in the residential environment is upon completion of newly developed buildings and renovation projects. Therefore, the Fund adopted a budget for new buildings and renovation projects. In addition, the Fund is constantly working on investigating and implementing new developments and applications regarding sustainable mobility, like charging points for electric cars and offering electric bike and car services. Contributing to the opportunities and development of pupils and students The future belongs to young people. That is why a.s.r. real estate provides traineeships to a number of students at higher professional and university level each year. This greatly improves their prospects in the labour market, particularly in poor economic times. In addition, a.s.r. real estate can learn and gain inspiration from students. The objective is to offer at least four work placements and a traineeship each year. In addition, various employees of a.s.r. real estate give one or more guest lectures each year at universities and colleges of higher professional education, and a.s.r. real estate has a partnership agreement with the interfaculty student association known as FRESH Students. On periodic basis, a.s.r. real estate joins hands to organize activities such as an In-House Day, a property tour or a symposium.

15 15 Case study Floor s green rooftop Floor is the name a newly developed ASR DRCF property, situated at the Wibautstraat close to the city centre of Amsterdam. This former office building was transformed into 162 sustainable apartments (with at least EPA label A). In terms of sustainability, the transformation from an office building to 162 dwellings is in itself already a major step. On top of that, the building has a green roof, which enhances the view and helps rainwater storage. Until recently, the Wibautstraat was considered a rather dull street with desolate buildings and a high level of air pollution due to heavy traffic. The Green Knowledge Mile initiative aims to change this image through the realization of green roofs, among other changes. ASR embraces this initiative and decided to make room for a green roof on the top of the Floor building. The project involved placing plastic crates on the roof for water storage. As a result, the water remains on the roof for a longer period and drains more slowly. This prevents peak loads in the storage system in case of heavy rains. The municipality of Amsterdam is very pleased with green roofs given that water storage is becoming increasingly difficult as a consequence of climate change. The plastic crates were created around the roof terraces and were adorned with plants such as sedum, carnations and irises. The green roofs contribute to better air quality and, moreover, offers tenants a more attractive and healthy living space. They have an inviting green roof terrace instead of a roof full of grey pebbles. Wibautstraat, Amsterdam

16 16 People Strategic objectives Informed and involved employees Optimal organizational anchoring of CSR Employee satisfaction rating > 80% Personal development of employees People is about the employability, development opportunities, rights and physical and mental health of a.s.r. real estate s employees. a.s.r. real estate aims to maintain the employability and satisfaction of its employees and therefore continuously invests in human capital. Another important aspect is raising awareness among employees about sustainability. The first aspects are well-represented in the policy of a.s.r. real estate and a.s.r. Nederland, ASR DCRF s CSR policy focuses mainly on the engagement of employees and also on sound anchoring in the organization. Informed and involved employees ASR DCRF wants to adequately inform its employees about CSR issues to maximize the incorporation of CSR in their daily operations. This has been achieved by, among others, appointing a sustainability manager and making CSR a standing item on the agenda of various meetings. In addition, a.s.r. real estate keeps everyone informed on the latest CSR initiatives and results through a monthly internal newsletter. Since 2016, CSR has also been included in the annual targets for all employees. Another important focus is the attendance of internal and external CSR-related masterclasses, seminars and/ or congresses. Last April, a.s.r. real estate organized its first Sustainability Day whereby climatologist Reinier van den Berg informed us about the effects of climate change in general and for real estate in particular. Finally, members of the CSR working group act as a contact for other a.s.r. real estate employees, as well as being catalysts and inspirations for CSR-related matters. Optimal organizational anchoring of CSR A sustainability manager has been appointed to ensure that all actions and measures are carried out in line with the CSR policy. The sustainability manager briefs the Fund Director of ASR DCRF and a.s.r. real estate s management team on a regular basis. The sustainability manager is also a member of the CSR working groups of a.s.r. Nederland, DGBC, IVBN and NEPROM, to discuss and bring alignment into sustainability issues, regarding ASR DCRF s interests as well. Together with an asset manager and the technical asset manager, the sustainability manager forms the core team of ASR DCRF in matters relating to CSR. These three officers, together with the Fund Director, also form part of the CSR working group of a.s.r. real estate, which meets on a regular basis. To guarantee the correct implementation of its policy, ASR DCRF focuses on optimizing the use of a sustainability assessment during internal decision-making processes. Since 2016, a sustainability assessment was included in all purchase and investment proposals and sustainability variables were included in the research department s analyses. Next to this, sustainability issues were added to the Programme of Requirements for acquisitions and renovations, portfolios were assessed in the light of sustainability opportunities and risks, and a.s.r. real estate has worked consistently to optimize the administrative and ICT systems. The further organizational anchoring of CSR will continue to be an important focus of a.s.r. real estate in 2018.

17 17 Employee satisfaction rating > 80% Periodically, a.s.r. real estate commissions what is known as the Great Place To Work survey. This global survey measures employee satisfaction on factors such as credibility, respect, honesty, pride and fellowship. The survey results are analyzed and then intensively discussed in the GPTW workforce and in all departments and business lines. Action is taken, where necessary, to improve a.s.r. real estate s standing as an excellent employer. In 2016, the goal was to achieve at least a 75% satisfaction rating. a.s.r. real estate obtained a score of 80% that year and was therefore named as one of the best workplaces in the Netherlands by Great Place To Work. In 2017, a.s.r. real estate exceeded the goal of an employee satisfaction rating of at least 80% by 1% and is now waiting to be named one of the best workplaces in the Netherlands again. From 2018 onwards, the goal is to maintain, at the very least, this satisfaction rating of 80%. Personal development of employees The main focus of the human resources management policy of a.s.r. Nederland is the personal development of its employees in terms of professional expertise, competences and skills. Each employee is entitled to a training budget of 2% of his or her annual salary. In addition, certain employees are given the opportunity of taking additional courses at higher professional or university level in order to broaden their knowledge and remain employable on a sustainable basis. A dedicated HR team provides guidance to employees who wish to develop their talents and seize control of their own future, for instance by talent development, moving to another position (sustainable employability) or leaving a.s.r. Nederland altogether. Lamérislaan, Utrecht

18 18 Contact a.s.r. real estate Archimedeslaan BA Utrecht The Netherlands Robbert van Dijk Fund Director ASR Dutch Core Residential Fund Joost Compaan Asset Manager ASR Dutch Core Residential Fund Lizzy Butink Sustainability manager a.s.r. real estate Colophon 2017 a.s.r. real estate Text a.s.r. real estate Photography Corné Bastiaansen, John Gundlach John Verbruggen Design Cascade visuele communicatie, Amsterdam