Green Thinkers by Witvorm

Special edition of PropertyEU Magazine â?Ś October 2008

GreenThinkers

Who has the most sustainable strategy in the European real estate industry?

All 14 nominees (sorry, no women yet)

‘Weight of Thoughts’ by David Veldhoen

Green Thinkers

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Contents

Introductions Research Findings The 2008 Jury Green Thinker Award Sponsors

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4 6 9 12 82

country watch

United Kingdom Germany France & Belgium Southern Europe Central and Eastern Europe Scandinavia

22 32 42 52 62 72

The nominees

Bouygues Immobilier Eric Mazoyer ECE Projektmanagement Alexander Otto Hines UK Simon Jenner Hochtief Development Rainer Eichholz ING Real Estate Development Menno Maas Land Securities Francis Salway METRO Group Asset Management Prof. Michael Cesarz Multi Corporation Glenn Aaronson OVG ProjectOntwikkeling Coen van Oostrom Pirelli Real Estate Carlo Puri Negri Prologis Europe Gary Anderson Redevco Jaap Blokhuis Sonae Sierra Alvaro Portela Unibail-Rodamco Joost Bomhoff

14 18 24 28 34 38 44 48 54 58 64 68 74 78

‘Weight of Thoughts’ by David Veldhoen

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Contents

Introductions Research Findings The 2008 Jury Green Thinker Award Sponsors

Green Thinkers page 3

4 6 9 12 82

country watch

United Kingdom Germany France & Belgium Southern Europe Central and Eastern Europe Scandinavia

22 32 42 52 62 72

The nominees

14 18 24 28 34 38 44 48 54 58 64 68 74 78

Introduction by Claudia Boymanns

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Introduction by Judi Seebus

Rolling out the green carpet

Confessions of a frequent flyer

In association with PropertyEU, EXPO REAL 2008 is rolling out the Green Carpet in Munich – literally. The Green Carpet runs from one of the exhibition halls of the Messe Muenchen to a centre for sustainable ideas which we have dubbed the Green Thinker Lounge. This hothouse for green thinking is the venue for the presentation of the Green Thinker Award which EXPO REAL and PropertyEU are launching this year to honour the real estate developer with the greenest strategy in Europe. The Green Thinker is a direct response to the recent proliferation of debates, seminars and conferences focusing on sustainability issues within the European real estate industry. Over the past 18 months or so, there has not been a single real estate event which has not touched on the subject. While this is in itself commendable, it is not always easy to separate the serious ideas from the greenwash. The Green Thinker Award endeavours to do just that. Who are the Green Thinkers in the European property industry? Which green thoughts work well for a company and what can others learn from their pioneering efforts? EXPO REAL and PropertyEU have developed a unique research project that looks at the environmental strategies of the leading real estate developers in Europe. The aim: to pool existing thoughts and ideas on this very vital issue and steer the discussion in a clear direction. We have invited a jury of acclaimed experts in the field of sustainability to look at the environmental and corporate social responsibility strategies of Europe’s leading development companies. The jury includes Anna Braune, director of the German Green Building Council, and Jack de Leeuw, director of the Dutch Green Building Council. They were supported by Professor Graeme Newell of the College of Business of the University

I love flying. I know, it’s not a very green thing to say, especially not in a publication featuring some of the greenest thinkers in the European real estate industry. But I can’t deny it. Ever since my first flight in 1972 from my childhood town Melbourne to my current home Amsterdam, I have been an addict. I love the sensation of being up in the clouds, the spectacular views of big old rocks in the middle of a flat desert and sunlit sparkling islands in the Pacific ocean or Mediterranean sea. Over the decades, I have come to relish those moments in the air. In the clouds, I am accountable to no-one except a serene flight attendant who seems intent on helping me reach the same level of equanimity. In the air, I am allowed to let my thoughts come as randomly as the passing clouds. In the early days, I often flew half-way across the world with a row of seats all to myself. Those days are gone. Of course, it would be selfish of me to deny others the joys of flying to remote communities in tropical rainforests or the man-made palm islands still sprouting up in the Persian Gulf. But there is a major downside to the democratisation of air travel. The airline industry is one of the biggest polluters of our planet. There is, of course, another big polluter about which we are aware: the real estate industry. Buildings account for over 40% of all CO2 emissions. What an embarrassing combination! For most real estate professionals are like myself: they fly a lot. In my case, my annual trip back to Australia alone would be three times my personal annual quota of CO2 – should a quota system ever be put in place. Needless to say, I make many more business and personal flights in between. Should I stop flying and disappoint my parents at Christmas? If only I had an energy-guzzling Porsche like Peter Bakker, the CEO of logistics group TNT, who traded his in for a more eco-friendly

of Western Sydney, Australia, and Louise Ellison, research director at the Investment Property Forum in London. The jury selected 53 contenders from a list of the leading property developers in Europe compiled by PropertyEU at the beginning of 2008. This was subsequently whittled down to a shortlist of 14 nominees. The publication that lies before you features profiles of these 14 contenders including photos of their CEOs or sustainability directors and their Green Statements. The photos, which were taken by one of the Netherlands’ leading photographers, Maarten Corbijn, will be featured prominently at the Green Thinker Lounge at EXPO REAL. The Green Thinker Lounge also features the Green Thinker Award: a green sculpture by Dutch artist David Veldhoen. Aptly entitled ‘Weight of Thoughts’, the prize captures the mood of the current debate on sustainability in the real estate industry. We hope you will find this work – and the thoughts of Europe’s Greenest Thinkers – as inspiring as we have. ❧

Claudia Boymanns 3 Director EXPO REAL

EXPO REAL is a leading international commercial real estate trade fair held every year in Munich. It is a networking exhibition for interdisciplinary and international projects, investments and financing and covers the markets of Europe, Russia, the Middle East and the US. The extensive programme of conference events with some 400 speakers gives participants a thorough overview of the latest trends and innovations in the real estate, investment and financing market. In 2007, EXPO REAL attracted 1,823 exhibitors from 43 countries and 23,800 visitors from 77 countries.

Toyota Hybrid and subsequently for an even more energy-efficient Mini Cooper. Now that is what I call a green gesture. Of course, I can boast that I cycle to work every day, but the truth of the matter is that this is simply the most efficient way of getting around Amsterdam. So what does it mean to be green in the 21st century? There are no easy answers. Some of us prefer to look the other way and hope that a genius somewhere in the world will invent a cost-efficient production method for renewable energy sources. Then frequent flyers like myself could cast their feelings of shame and guilt overboard as they continue thinking their random thoughts. Fortunately, a number of bright sparks in the European real estate sector are taking steps to organise their thoughts on one of the most serious threats that the world currently faces. The 14 contenders for the Green Thinker Award may not have the solution to all the world’s eco-woes, but we believe the ‘Weight of Thoughts’ we have collected in this edition on the topic of sustainable development contain some substantive steps towards reducing the industry’s eco-footprint. We hope this initiative will inspire others to help shape a greener world. ❧

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Judi Seebus 3 Editor in chief PropertyEU PropertyEU is a multi-format, cross-media information source on the European commercial real estate industry. It consists of a magazine, website and electronic newsletter. PropertyEU has a network of expert correspondents across Europe, each with their fingers on the pulse of all areas of the commercial property sector. PropertyEU is media partner for major real estate events such as EXPO REAL, MIPIM, Quo Vadis and Barcelona Meeting Point and organisations including the Urban Land Institute and the British Council of Offices. The company is based in Amsterdam.

Introduction by Claudia Boymanns

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Introduction by Judi Seebus

Rolling out the green carpet

Confessions of a frequent flyer

Claudia Boymanns 3 Director EXPO REAL

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Research Findings

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Research Findings

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Roadmaps for a sustainable future by judi seebus

Corporate social responsibility (CSR) reporting is still in its infancy compared to financial reporting standards, even for some of Europe’s leading real estate developers. But the level of transparency is increasing.

ustainability may still be perceived as a ‘soft’

issue in some quarters, but there is a burgeoning body of hard evidence supporting a financial case for green buildings. A global survey by real estate adviser Jones Lang LaSalle and Corenet, the organisation for occupiers, shows that many tenants will be willing to pay higher rents to occupy a ‘green’ building with a higher level of efficiency. Research by Maastricht University also shows a positive correlation between green offices and rental incomes. According to this study, green offices command rental rates per square metre that are 2% higher than otherwise identical buildings. The study also found market valuations of green properties to be up to 16% higher than those of comparable conventional properties, allowing for higher resale prices. This suggests that a two-tier investment market could emerge over the coming years whereby well-located and well-designed green buildings will offer superior returns in the medium to long term while older buildings will experience faster obsolescence and reduced returns.

Sustainability outperforms

In short, sustainability outperforms. That is also the conclusion of a report published in September 2008 by the European Equity Research team of JP Morgan. In contrast to the Green Thinker Award, which analysed a group of both listed and unlisted real estate developers, JP Morgan focused exclusively on listed companies in Europe. In total, it looked at 32 listed concerns. ‘Sustainability will be a key differentiator for European listed real estate companies as they face increasingly stringent regulatory standards,’ Harm Meijer, the report’s co-author, noted at the presentation of the report at the annual conference of the European Public Real Estate Association (EPRA) in Stockholm. ‘On a broader basis,

Environmental Social and Governance (ESG) concerns are also gaining momentum with tenants and investors, for example as they look to reduce energy costs. The European real estate companies that are best able to enhance shareholder value from a firm and demonstrable commitment to sustainability initiatives will increasingly outperform the market.’ The report identified a number of key drivers that are forcing commercial property companies to integrate ESG standards. A growing number of tenants have adopted sustainability strategies that encompass efficient building management. In order to support their strategies and communicate their commitment to existing and prospective employees, they are more likely to want to occupy more environmentally friendly buildings. For international corporations, CSR credentials are important for employee retention and recruitment, and occupying sustainable buildings can be an effective way for corporates to differentiate themselves from competitors. Tenants also have a financial imperative: energy typically accounts for roughly 30% of operating expenses of commercial property, and is therefore the single largest expense. There are other drivers. In Europe, the European Commission in Brussels has developed a body of environmental regulation with direct ramifications for the property sector, most notably the 2003 Energy Performance of Buildings Directive (EPBD). It aims to reduce European building energy consumption by 10% by 2010 and by 20% by 2020. Pressure is also growing from national governments which are developing increasingly stringent regulatory standards regarding the environmental performance of buildings and other aspects of sustainability such as accessibility. As governments focus on creating mobility concepts that are less dependent on individual travel to reduce CO2 emissions and air pollution, they will likely look favourably on companies that

demonstrate pro-active sustainability management when considering planning permissions. Real estate companies are also increasingly coming under pressure from investors to demonstrate that they actively manage ESG aspects of their performance. Global investors with assets under management of $15 tln have signed up to the United Nations Principles for Responsible Investment, and are committed to integrating ESG considerations into their investment processes.

An impetus for new initiatives

The Green Thinker competition aims to provide an overview of the CSR efforts of Europe’s leading real estate developers with the goal of improving transparency and providing an impetus for new initiatives. The contenders for the Green Thinker Award were drawn from PropertyEU’s ranking of top 100 real estate developers published in February 2008. A selection of 53 listed and privately-owned companies was made based on turnover

and whether or not the company had European activities outside its home market. The research team subsequently studied the websites and annual reports of the selected companies, which were sent a survey with questions on their communications strategy, internal strategy, projects and pipeline. The CEOs of the shortlisted companies were also asked to submit a 1,000-word essay outlining their vision for a sustainable future. The profiles of the nominees in this special Green Thinker edition are based on the findings of the research team and answers to the questionnaires. A separate jury report will appear later this year. The members of the jury include Jack de Leeuw, board member of the Dutch Green Building Council, Louise Ellison, research director at the Investment Property Forum, and Graeme Newell, professor of real estate at the University of Western Sydney. The jury is headed by Anna Braune, director of the Green Building Council in Germany. The 14 companies nominated for the Green Thinker Award are: Bouygues Immo-

Research Findings

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Research Findings

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Roadmaps for a sustainable future by judi seebus

ustainability may still be perceived as a ‘soft’

Sustainability outperforms

An impetus for new initiatives

Research Findings

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The Green Thinker Jury report will be published at end 2008. The Jury made the following points allocation for the five components of the competition:

Points Clarification 1 CSR/Website 15 How willing is a company to communicate on the sustainability of its activities? 2 Internal strategy 25 How ambitious are the long-term goals and how are these being implemented in the company? 3 Green Projects 25 What is the company actually doing? 4 Pipeline 15 How is the company’s strategy being implemented in pipeline projects? 5 Essay 20 How credible is a company with respect to its claim to being green? Total 100

bilier, ECE Projektmanagement, Hines Europe, Hochtief Development, ING Real Estate Development, Land Securities, Metro Group Asset Management, Multi Corporation, OVG, Pirelli Real Estate, Prologis Europe, Redevco, Sonae Sierra and UnibailRodamco. Each of these companies is active in more than one European country outside its home market albeit that Land Securities is only active as an investor outside the UK. They represent the broad spectrum of real estate development from retail to offices and logistics. Two of the contenders – Bouygues Immobilier and Hochtief Development – are subsidiaries of leading European construction concerns. Without exception, the 14 contenders for the Green Thinker Award originate from Western Europe. Two – notably Hines Europe and Prologis Europe – have American parents. Unfortunately, Scandinavia – which leads in Europe in terms of environmental legislation and implementation – is not represented in the shortlist as the only candidate from this region, Skanska, declined to take part. Central and Eastern Europe was represented in the first selection round with submissions received from Budapestbased Trigranit, which ranks third in the PropertyEU ranking of top European developers, and Kiev-based XXI Century. While CEE is less advanced than the rest of Europe in terms of CSR, it is catching up fast and it is clear that sustainability is becoming an increasingly important issue in the region. Neither of the CEE contenders, however, made it to the final shortlist.

The UK leads

All in all, the Green Thinker shortlist contains a good representation of European countries with submissions from the UK, Germany, France, Italy, Portugal and the Netherlands. No less than four of the 14 contenders originate from the Nether-

The 2008 Jury

lands. Despite its small size, the Netherlands is a giant when it comes to real estate development. The country is home to ING Real Estate, the world’s biggest property company, and Multi Corporation, which tops the PropertyEU ranking of leading developers. Redevco, the real estate vehicle of the Brennickmeijer family which owns C&A, is also a major player. The fourth Dutch contender, OVG, is the Netherlands’ fastest-growing developer and is now branching out into Germany. The list of ‘pure’ British participants is limited to Land Securities. Other UK companies that were in the running – British Land, Hammerson and Segro – declined to take part. The preliminary findings of the Green Thinker research team indicate that this is an unfortunate hiatus. The team confined its investigation to the corporate websites, annual reports and CSR reports of the candidates, but the initial findings suggest that the Brits are leaders in this field.

Sustainability leaders

That conclusion is also borne out by JP Morgan’s research. It found that five British companies are the sustainability leaders among the 32 pan-European listed property companies. According to this analysis, British Land, Land Securities, Derwent London, Hammerson, Liberty and Great Portland emerge as clear sustainability leaders. The report also identifies a number of continental European sustainability leaders: Unibail-Rodamco and Metrovacesa outperformed the laggards which included Beni Stabili, IGD, IVG and PSP Swiss. The high ranking of UK companies was related to the strong involvement of the UK government in environmental regulation and targets, Meijer said. ‘Continental companies are less prepared for what is happening on this front. Some companies really need to step up their activities.’ The Green Thinker contender that booked the highest score in the preliminary research is Sonae Sierra. The company has an excellent CSR report with a detailed environmental section covering energy use, water use, waste systems, land use, recycling and standards applied to suppliers and tenants. The report also includes targets set, met and not met according to the company’s own Environmental Management System. It is possibly no coincidence that the company’s co-shareholder, Grosvenor, is UKbased and is itself a leader in the field of sustainability. ❧

nna Braune was already

immersed in the study of sustainable development when she and a number of colleagues formulated the idea of creating Germany’s own sustainable building council, of which she is now director. Braune can look at sustainability from an international perspective too. Having completed her studies in environmental engineering at the technical university in Berlin, she moved to Toronto to work for a sustainability consultancy. After a stint at the Ecole Polytechnique Fédérale de Lausanne, Switzerland, where she wrote her MA thesis on environmental life cycle assessment, Braune, 34, took up a position as a research assistant in the Life Cycle Engineering department at the University of Stuttgart. Here she researched the integration of environmental and economic life cycle considerations of buildings. During this period Braune and likeminded people in her network hit on the idea of launching a sustainable building council in Germany. ‘We’d just come back from the Chicago Greenbuild conference in the autumn of 2006 and realised that Germany could really benefit from having a sustainable building council similar to the US Green Building Council.’ After talking to various companies about the idea, the Deutsche Gesellschaft für nachhaltiges Bauen (DGNB), otherwise known as the German Sustainable Building Council, was established in June 2007. She says there is strong demand for this sort of certification in Germany: ‘It’s long overdue. I think that it is increasingly recognised that sustainability is an important issue,’ she says. The DGNB is a non-profit organisation that is funded via membership fees. Founding members include Hines Immobilien GmbH, German engineer and architect Werner Sobek of WSGreenTechnologies GmbH and Denver-based sustainability consultancy Five Winds International.

President of the Green Thinker Jury

Anna Braune German Green Building Council Members largely comprise firms with a strong international presence, such as chemicals firm BASF and real estate advisory firm Jones Lang LaSalle. The council is currently working on the introduction of a voluntary certificate, known as the Deutsches Gütesiegel Nachhaltiges Bauen, or the German Sustainable Building Certificate, which will look at around 60 different criteria, including the quality of building materials, life cycle energy consumption and the quality of air in buildings. There will be three levels of certification – bronze, silver and gold – although the exact criteria for each level are still being tested, says Braune. The German Sustainable Building Certificate differs from the Energieausweis – or ‘energy passport’ – which was introduced in July (2008), in that it is mandatory and looks primarily at energy consumption rather than ‘quality of life’ factors. Initially, the German Sustainable Building Certificate will be offered for office properties but extended to include other

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property types next year. Engineers, investors, real estate firms and representatives of the Federal Ministry of Building are currently developing the first version of the German Sustainable Building Certificate, which will be tested over the next few months. The council has invited its 275 members to take part in pilot studies later this year, when around 20 buildings are likely to be evaluated. The first certificates can be expected at the beginning of 2009, says Braune. A few buildings in Germany have been certified using other schemes, such as the UK’s BREEAM system or the USA’s LEED. However, feedback from German Sustainable Building Council members indicates that they are keen to have a certification system of their own that will reflect the high quality of German planning and construction. ❧

ack de Leeuw, head of the independent Dutch building research institute SBR, played a key role in establishing The Dutch Green Building Council (DGBC) – part of the World Green Building Council. Members of the real estate industry got together at the end of 2007 to discuss putting sustainability on the agenda and this group presented a plan to establish a national green building council in January 2008, when it was announced that 15 to 20 founding partners were being sought. However, 60 came forward almost immediately and more than 100 companies now participate – founding partners include ABN Amro, Dura Vermeer Group and Redevco. The DGBC has two main objectives, says De Leeuw: ‘We want to set up a certification system for measuring sustainability. And we want to improve the visibility of this very important subject.’ The DGBC did not want to ‘reinvent the wheel’ when introducing certification and opted to go with the UK system, BREEAM. Since its creation in early 2008, the DGBC has taken steps to ensure BREEAM is being

Research Findings

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The Green Thinker Jury report will be published at end 2008. The Jury made the following points allocation for the five components of the competition:

The UK leads

The 2008 Jury

Sustainability leaders

nna Braune was already

President of the Green Thinker Jury

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The 2008 Jury

Member of the Green Thinker Jury

Jack de Leeuw Dutch Green Building Council translated to fit national needs. ‘Our aim is to use BREEAM as a minimum standard to stimulate owners to do better than the norm. We don’t just want a checklist, we want our members to do their utmost,’ says de Leeuw. Initially, the system will be used to rate commercial and residential property and urban developments although the council plans to include public buildings in the future. The DGBC had, again, only been seeking 12 proposals for its pilot project but received more than expected with 30 received. De Leeuw is optimistic that the first BREEAM-based label will be awarded in early 2009. He concedes that this is ambitious but points out that there is substantial support from industry members. ‘They have the financial clout to achieve this. Normally initiatives like a green building council are carried out by government organisations or lobby groups. In our case, we have members from local governments, but also a very large contingent of commercial players as well as a strong research component.

That mix is essential for success.’ A major step in the roll out of BREEAM in the Netherlands is a training programme for assessors in which DGBC is to play a key role – 20 assessors will be trained initially. The Netherlands has a lot of know-how about sustainability, claims De Leeuw, pointing to local engineering firms, TNO (the organisation Knowledge for Business), universities and government agencies. ‘Dutch legislation is also relatively advanced when it comes to sustainability and already includes issues such as energy consumption, use of materials and health.’ An architect by profession, De Leeuw has been involved in sustainability research since his career began in the early 1980s. Indeed, his final thesis at the University of Delft focused on sustainable residential development. He subsequently joined the Ministry of Economic Affairs in The Hague and was responsible for developing energy saving policy. De Leeuw joined PEO in 1985. PEO is a government body involved in energy-saving projects, and he became involved in various eco-friendly initiatives including the first major sustainable construction project in Alphen aan de Rijn. De Leeuw joined independent research institute SBR in 1998. ❧

or the past two decades, Louise Ellison has devoted her career to monitoring major trends in the British real estate sector. In the early 1990s that interest led her to write a master of philosophy thesis entitled ‘Thatcherism and the UK Commercial Property Markets: 1979–1990’, but more recently, her attention has focused on the topic of sustainability. ‘I am interested in how property markets react to different economic and social effects,’ Ellison says. Ellison is currently research director of the London-based Investment Property Forum (IPF), ‘Our research programme covers a huge range of issues, but at the

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Member of the Green Thinker Jury

Louise Ellison Investment Property Forum, UK moment sustainability is quite key.’ Ellison has commissioned four research projects in the area of sustainability. Subjects studied include: the cost of lowcarbon refurbishments to the commercial property sector; a sustainable property index; whether green leases are effective drivers of sustainable development; and occupier demand for sustainable buildings. The focus of these studies is the UK, but the IPF is widening its scope to become more international, notes Ellison. ‘Our membership is almost exclusively UK based. But increasingly investors are becoming active overseas. That means we need to have a more international profile. That is why we are undertaking research on markets outside the UK.’ The IPF does co-operate with a number of key European organisations including: INREV (the association for the non-listed real estate sector); EPRA (European Public Real Estate Association); and the ULI (Urban Land Institute). Within the UK, IPF also works closely

The 2008 Jury

with the British Property Federation (BPF), the British Council of Offices (BCO) and RICS UK in an umbrella organisation called the Property Industry Alliance. Ellison also has a seat within the Green Property Alliance, an offshoot of the Property Industry Alliance which includes the British Council of Shopping Centres (BCSC), the British Retailers Council (BRC) and the UK Green Building Council. ‘One area the Green Property Alliance is focusing on is measuring and reporting issues. It is trying to provide clarity across the industry on what should be measured and how, in order to best deliver sustainability.’ Ellison, who originally trained as a surveyor, joined Investment Property Forum as research director in March 2007. She has extensive experience of property research and has worked on both government and industry funded projects. Over the past five years these have focused on sustainable property issues and have included the Sustainable Property Appraisal Project and the Business Case for Low Carbon Buildings project, funded by the Carbon Trust. ❧

raeme Newell is based

in Australia, but works all around the world. In June 2008 he received an award at the annual European Real Estate Society (ERES) conference in Cracow for his contributions to the development of property research and education at an international level. Earlier in the year he also received an award from the American Real Estate Society. Newell has been involved with helping to establish various real estate societies as a focus for property education and research in specific regions. There is now an international community of property researchers with six regional real estate societies in the US, Europe, Asia, the Pacific Rim, Africa and Latin America. ‘My role has largely been an international mandate to

Member of the Green Thinker Jury

Graeme Newell Professor of Property Investment at the University of Western Sydney, Australia encourage active interaction between these various real estate societies,’ Newell says. These groups have been very successful and, for example, the European Real Estate Society has now held 15 annual conferences with over 400 attendees in large European cities. Newell also has strong links with the international property industry. He is a Fellow of the RICS, a Fellow of the Australian Property Institute, a member of European Public Real Estate Association (EPRA) Academic Circle, and of the London-based Investment Property Forum. Newell also edits the Pacific Rim Property Research Journal and is a member of the editorial boards of a range of international property journals including the Journal of Property Research and the Journal of Property Investment and Finance. A regular speaker at major property industry and academic conferences, Newell’s research agenda is practical,

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focusing particularly on the strategic role and significance of property in a portfolio. In recent years he has written research reports for EPRA on the diversification benefits of European property stocks in a portfolio. Much of his research has been published in journals in the US, UK and Australia. For the past few years Newell has been examining issues concerning the performance of REITs (real estate investment trusts) in Australia. Newell has focused on the sustainability issues of A-REITs, particularly at a strategic level, because a number have won major sustainability awards. ‘Some of the A-REITs are outstanding examples of how sustainability has become a top priority for many property companies. In fact, they are often world leaders in the area,’ he says citing Investa, Mirvac, Stockland and GPT as examples. Newell presented the findings of his research into the A-REITs’ environmental strategies at the EPRA annual conference 2007 in Athens and EPRA asked him to undertake an equivalent project in Europe, the results of which will be released at the end of 2008. Many property companies have embraced sustainability as a key ingredient in their corporate strategy and Newell notes that such role models help to emphasise that sustainability and investment performance are compatible. While legislation will be a key driver he says it will be supplemented by the European property industry’s strong commitment to the sustainability agenda. Newell comments that while sustainability has been more actively embraced as a key issue for property in Europe and Australia, the US is now starting to recognise its importance too. His attention is now turning to Asia. ‘Again, there are some excellent examples in the region, particularly in Japan and Malaysia – I will be showcasing this work at the APREA conference in Hong Kong in April 2009.’ ❧

The 2008 Jury

Member of the Green Thinker Jury

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Member of the Green Thinker Jury

The 2008 Jury

raeme Newell is based

Member of the Green Thinker Jury

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The Green Thinker Award

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The Green Thinker Award

Weight of Thoughts

David Veldhoen (1957) has received numerous art commissions for public spaces in the Netherlands including Amsterdam, The Hague, Delft and Amersfoort. He has also worked as an adviser to the Amsterdam Foundation for the Arts on various projects involving art in public spaces. His works have been purchased by the Municipal Museum of Arnhem and ABN Amro Bank and private collectors. Veldhoen has studied and worked in New York, Tokyo, Sydney, Italy and Samoa.

The sculpture that will be presented to the winner of the first Green Thinker Award bears an uncanny resemblance to the figure of Atlas carrying the world.

an it be a coincidence that the creator of the work that forms the Green Thinker logo lives around the corner from the Royal Palace in Amsterdam where a figure of Atlas is perched atop the roof? ‘I think I must have unconsciously been carrying that image around with me,’ muses David Veldhoen during an interview in his spacious atelier near Dam Square in the Dutch capital. ‘The world that my figure carries looks more like a cloud. But these days the world is very much like a cloud, it’s not round but elusive. Life has become so much more complex.’ Individual responsibility for our world has grown correspondingly, Veldhoen claims. ‘But there are no easy answers. It’s such a dilemma these days to do the right thing. Should you use a plastic bag or not? If you use plastic rather than paper, you save a tree, but plastic bags are not good for the ocean. I was really shocked when I learned that the gulf stream has created places in the middle of the ocean that are clogged up with so much plastic

and man-made waste that there is no marine life there any more.’ The weight of green thinking that has evolved in recent years is creating new dilemmas, continues Veldhoen. ‘So much information seeps into our brains and influences our thoughts, but at the same time we seem to know less and less. How long can this process go on for? How much information can our brain absorb?’ Veldhoen sees his own role in this context as that of commentator: ‘I try to make the invisible visible through my work. I do a lot with vegetation and natural products. I’m currently working, for example, on a commission to make a concept for a new botanic garden at the Free University Campus of Amsterdam. It’s wonderful to walk through a park or a garden, that can be a fantastic experience in itself. But sometimes you need to do something extra to show that a tree is a tree and that moss is moss.’ Moss and angel’s tears – known as bubikopf in German – are the two plants Veldhoen uses in his sculpture Weight of Thoughts. The moss is used to depict the human figure while the amorphous shape he is carrying has been planted with the angel’s tears. The angel’s tears symbolise our changing climate, Veldhoen notes. ‘In the past, you could only find the plant in the Mediterranean countries, but with global warming you now also see it in northern Europe.’

Pompeii Now

Environmental awareness is a recurring theme in Veldhoen’s work. In 1982, the artist produced a television documentary entitled Pompeii Now in response to the escalating nuclear arms race between US president Ronald Reagan and his Russian counterpart Leonid Breshnev. ‘I found it so absurd that these two old men had the power to destroy the world by just pressing on a button. The volcanic eruption of Pompeii offered some powerful images with both parallels and some major differences. A volcanic eruption is a terrible disaster, but in the long term it

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has some positive consequences. Volcanic soil is very fertile and can produce the most wonderful plants and fruits. As we saw with Chernobyl, which occurred just a couple of years after we produced Pompeii Now, the effects of a nuclear explosion or accident are far more destructive. The negative consequences last for centuries and there are no advantages like a more fertile soil in the long term.’ Pompeii Now marked the beginning of Veldhoen’s interest in natural phenomena and social processes. During the same period, he developed an idea to create floating islands driven by alternative energy sources such as solar, wind, hydrogen and hydroelectric power. ‘My vision was to create new areas that would relieve existing regions on our overpopulated earth. Key questions that I was interested in were: how does life evolve on an island and what do you need to exist? One of the advantages of a floating island is that it can move to more benign climates when weather conditions in one area are bad. And there’s no need for a foundation. There are so many deltas in the world that are in constant threat of being flooded. Part of the Netherlands actually needs to be flooded permanently to deal with rising sea water levels. Floating cities could be a solution.’ Aware that he would never be able to realise his Utopian plan on his own, Veldhoen tried

to interest a group of like-minded individuals from different disciplines including architects, engineers and urban developers. ‘I have always been interested in a multidisciplinary approach. In that sense, I think that art itself has become too much of an island in some circles. I am constantly looking to see how various disciplines can interact and deal with new social issues. Cross-fertilisation of ideas can generate a totally new perspective.’ Veldhoen’s Utopian vision for floating islands did not fall on fertile ground in the mid-1980s. But he has not given up hope. ‘The times have changed. The technology is now available and there is a greater sense of urgency than 20 years ago. In the Netherlands, for example, we are definitely seeing the effects of climate change. In the summer, we now get more and more rain. Floating islands are feasible. In fact, they already exist on a modest scale. It would be fantastic if this idea could be developed further.’ Over the years, Veldhoen has worked in various media to express his commitment to the natural environment. His interest in nature stems also from the work of his uncle, a biologist, who made drawings of pond life in the 1950s. Veldhoen says: ‘About half the creatures he drew then aren’t around anymore. There’s so much that we’ve already lost and most of the time we’re not aware of it until it’s gone.’

Lavender covered mounds

One of his most recent projects undertaken within Swamps – a cooperative with a fellow-artist and an architect – is A-Venue, two lavender-covered mounds at either side of a non-functional viaduct, located in the middle of one of the busiest motorway junctions in the Netherlands. Veldhoen: ‘In one or two year’s time, those mounds will be completely covered in lavender during the summer. It will not only look wonderful but it will smell great, attract bees and absorb 400 kilos of particulate matter a year. We can’t live without nature, but a lot of us forget that in our busy world. Take a tree, for example. It provides food, drink, timber, paper, protection and even medicine. But these days, it seems as if everybody is only talking about the capacity of trees to absorb CO2 emissions. That is just one aspect. We must not forget the aesthetics of nature and the pleasure it gives. A flower in bloom is pure poetry. I am not religious but in fact it’s an incredible mystery.’ ❧

The Green Thinker Award

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The Green Thinker Award

Weight of Thoughts

The sculpture that will be presented to the winner of the first Green Thinker Award bears an uncanny resemblance to the figure of Atlas carrying the world.

Pompeii Now

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Lavender covered mounds

The Nominees

Green Thinkers page 15

GreenThinker 3 Eric Mazoyer

A State of Mind

‘F

or Bouygues Immobilier, sustainable development is first and foremost an attitude, a state of mind. An approach that combines responsibility with creativity. Bouygues Immobilier is keen to pursue a strategy of innovation in order to design the standards of the future: buildings that consume little or no energy. Changes to the property development and construction business also demand an ambitious training policy. Our employees, suppliers and contacts must all be aware of the issues underpinning sustainable development and new construction practices. At 31 December 2007, all our construction managers, land developers and sales people had received training in Habitat & Environment certification – a total of more than 600 people. Increasing customer awareness is likewise essential. Cutting energy consumption means changing our behaviour. We must step up efforts to inform customers of best practices as part of Habitat & Environment certification, by handing out a guide on green actions. Sustainable development also requires that we measure the impact of everything we do. We will continue to expand the reporting of non-financial indicators.’

General findings

Bouygues has an extensive section on sustainable development on its website as well as separate websites for its subsidiaries, Bouygues Construction and Bouygues Immobilier, and is clearly committed to the issue. In 2005, the parent group created a sustainable development department headed by deputy CEO Olivier Bouygues. However, Bouygues Immobilier’s presentation as a ‘green’ company is not as sophisticated or systematic as some of its other European, mainly Anglo-Saxon, counterparts. It does not have a separate Corporate Responsibility (CR) report, for example. Nor does it communicate any specific targets for environmental performance, despite the fact that it claims to have 13 non-financial indicators to measure actions over the year and monitor progress on topics such as energy and water. Nevertheless, the company plans to introduce non-financial reporting software in 2008 to monitor the efficiency of what it refers to as its sustainable development ‘roadmaps’ in each business area. A committee has been set up to define relevant non-financial indicators. Most of Bouygues

Eric Mazoyer, 51, is deputy CEO of property developer Bouygues Immobilier. He has spent his entire career with the property arm of the French construction group Bouygues. His responsibilities include commercial and business park developments across Europe as well as large-scale urban projects and commercial real estate in the Ile-de-France region. Mazoyer joined the group in 1979 as site foreman at the construction unit Bouygues Bâtiment. In 1986, he moved to Bouygues Immobilier as Vice-President Residential Development for Paris and subsequently occupied the posts of Vice-President Greater Paris (1990) and Vice-President Commercial Property (1998). In 2003, he was appointed to the position of Vice-President of the Ile-deFrance region. Since 2006 Mazoyer has been Bouygues Immobilier’s deputy CEO and in 2007 he also took responsibility for commercial property and Europe. Mazoyer is a graduate of Paris-based technical school Ecole Spéciale des Travaux Publics (ESTP).

Immobilier’s ‘greenness’ relates to residential developments. It claims to be the first property developer to commit all of its

residential developments to Habitat & Environment certification which is administered by France’s Cerqual, an independent certification body. Bouygues is also seeking High Environmental Quality (HQE) certification for its commercial programme and has some interesting high-profile projects in the pipeline. In 2007, Bouygues Immobilier was included in two European CSR indices for its efforts in sustainable development. In that year, the company was added to Vigeo’s ASPI (Advanced Sustainable Performance Indices) Eurozone index for companies and investors which have included sustainable development in their business strategy. Also in 2007, Bouygues was included in the ECPI Ethical Index Euro for socially responsible investment (SRI). The index contains 150 listed companies in the eurozone, selected for their best practice in social, environmental and ethical matters.

Sustainability strategy

Bouygues Immobilier claims it takes the principles of sustainable development into account in the design and construction

The Nominees

Green Thinkers page 15

GreenThinker 3 Eric Mazoyer

A State of Mind

‘F

General findings

Immobilier’s ‘greenness’ relates to residential developments. It claims to be the first property developer to commit all of its

Sustainability strategy

Bouygues Immobilier claims it takes the principles of sustainable development into account in the design and construction

The Nominees

Green Thinkers page 16

The Nominees

Bouygues Immobilier

1 2 3

France

passive design, optimisation of energy consumption and onsite generation of renewable energy (wind power, solar power, biomass, geothermal power, etc.).

Carré Barrio Toulouse, France Tour Mozart Paris, France Atria Bordeaux, France

of its buildings with a view to reducing energy consumption. A building’s exposure is chosen, for example, in such a way that heating and lighting needs can be minimised; high-quality, sustainable materials are used; and insulation and ventilation systems are optimised. The company is also committed to cleaning up construction sites and limiting environmental impact during construction, by separating waste and liaising with local residents. In the residential property sector, Bouygues Immobilier is committed to ensuring that all residential developments with building permits filed after 1 July 2007 are Habitat & Environment certified. This is the High Environmental Quality (HQE) approach applied to housing. In the commercial property sector, Bouygues Immobilier has adopted HQE certification for its commercial programmes in the greater Paris region and major projects in other parts of France. This proactive approach to managing the environmental quality of new or renovated buildings is based on 14 targets. The main areas covered by the HQE standard are eco-construction, eco-management, comfort and health. Bouygues Immobilier aims to achieve high ratings judged by as many criteria as possible. The aim is to incorporate environmental requirements into every stage of construction projects. Particular emphasis is placed on integrating the building into its environment, insulation quality, choice of building materials, and the comfort and health of occupants.

Bouygues Immobilier is part of the Bouygues construction group and is active in residential, office, retail parks and urban development. The company is primarily active in France but is targeting growth in a select number of European countries. In 2007, it generated 6.4% of its revenue in Spain, Poland, Belgium, Germany and Portugal. In that same year, the company recorded net profit up 16% at €124 mln on revenue 29% higher at €2.07 bn. For 2008, it is forecasting a 40% increase in revenue to €2.9 bn. Bouygues Immobilier aims to offer a full range of property services throughout the Iberian peninsula and wants to become a major player in the Polish residential market. The company has 1,545 employees.

Bouygues Immobilier aims to anticipate regulatory changes and pursue in-depth studies of technical innovations, new products and new construction standards. The company aims to boost awareness of the issues underpinning sustainable development and new construction practices among its suppliers and its own employees.

Practical measures and projects

By 31 December 2007, all construction managers, land developers and sales people had received training in Habitat & Environment certification – a total of more than 600 people. In July, Bouygues produced a new supplier CSR Charter for sub-contractors and suppliers of Bouygues subsidiaries. Bouygues has introduced group-wide coordination for responsible purchasing,

Quality, Safety and the Environment (QSE), information systems and sustainable development. A groupwide task force on sustainable construction was created in 2007 in order to pool knowledge and feedback within the group and promote the integration of new technologies in projects. In the same year, a group-wide strategy to reduce CO2 emissions was drawn up. The aim is to provide the operating units of the construction subsidiaries with specific software in order to calculate the carbon balance of certain projects and put forward alternative solutions that respect the environment. The Bouygues group’s five business areas and the parent company have been members of the UN Global Compact since 8 December 2006. In 2007, Bouygues Immobilier launched the design of low-energy homes. Two houses in the Bel’Orée development in Boissise-la-Bertand east of Paris won the 2007 Palm’Elec prize, awarded as part of the Sustainable Quality Challenge. Thanks to the installation of heat pumps, solar panels for domestic hot water and double insulation, these homes consume just 15 kWh/m²/year, i.e. nine times less than a conventional house. Delivery is scheduled for 2009. Bouygues Immobilier aims to expand sales of these low-energy homes. In the commercial property sector, the company is branching into the design and construction of positive-energy buildings, sold under the Green Office brand. These buildings are designed to produce more energy than they consume through

At 30 June 2008, Bouygues Immobilier had built 702 Habitat & Environmentcertified homes and another 15,089 homes were undergoing Habitat & Environment certification. This certification is based on seven environmental criteria: – Environmental management of the project. – A clean worksite. – Reduction of energy consumption and greenhouse gas emissions from buildings More environmentallyfriendly building practices and materials. – Installation of equipment that reduces water consumption. – Particular emphasis on occupants’ comfort and health. – Distributing a green guide of best practices to customers. Flagship Habitat & Environment-certified projects include Pré Vert in Perpignan, Carré Barrio in Toulouse and Atri in Bordeaux.

Pipeline

Key commercial developments that have qualified for HQE certification include the Mozart Tower in the future Seine Ouest business district in Issy-les-Moulineaux outside Paris. The 42,000m2 project won the 2007 Eco Building Performance Prize. It features

Green Thinkers page 17

1,000 m² of photovoltaic panels on part of the tower’s roof and optimal use of natural light. Eos, between Paris and Issy-les-Moulineaux, is a complex of four buildings, which are the future premises of Microsoft Europe. It has a net floor area of 46,272 m². The building has a vegetationcovered esplanade. It also features a range of user services, such as a 110space bicycle garage, which encourages use of bicycles and helps reduce greenhouse gas emissions. Galeo, Bouygues Immobilier’s future HQE headquarters in Issy-les-Moulineaux with a total area of around 160,000 m² dis well integrated with the environment, has efficient waste management processes and guarantees high standards of environmental performance. Energy consumption is 40% lower than the 2005 regulations. It has a double skin and highperformance glazing, chilled beams to cool rooms, and solar panels for domestic hot water. The first large positiveenergy building in France, Green Office, will be built in Meudon outside Paris with an area of 23,300 m². Green Office will produce 64 kWh/ m²/year and will consume 61 kWh/m²/year. Construction began in 2008 and is scheduled for completion in 2010. ❧

The Nominees

Green Thinkers page 16

The Nominees

Bouygues Immobilier

1 2 3

France

passive design, optimisation of energy consumption and onsite generation of renewable energy (wind power, solar power, biomass, geothermal power, etc.).

Carré Barrio Toulouse, France Tour Mozart Paris, France Atria Bordeaux, France

Practical measures and projects

Pipeline

Green Thinkers page 17

The Nominees

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GreenThinker 3 Alexander Otto

Cool Down

‘F

rom our point of view, sustainable development does not mean focusing on a limited number of flashy projects. For us, it means concentrating on a wide range of aspects. To start with, architects and project developers need to approach this issue in a much more fundamental way. How can buildings be planned, constructed and operated in such a way that they have a positive long-term effect on the environment and at the same time remain within certain limits with regard to their side effects? The thinking and planning horizon of decision makers is the decisive factor here. If somebody wants to sell a property with the maximum possible profit margin and as quickly as possible, they usually do not have any interest in planning a property in a sustainable way. Our company has searched for other means to further promote sustainability. As a result of this search, the programme “Cool Down” was launched in conjunction with ECE’s partner Philips. The first phase of Cool Down consists of collecting and analysing data of the current energy use in the shops of the ECE shopping centres. Suggestions for the reduction of power use were made based on the results.’

General findings

Compared to some of its competitors, ECE’s website provides less information on its sustainability stance and practices. The company has no corporate responsibility report and no annual report. However, this situation will be addressed in the autumn of 2008 with the publication of the company’s first annual report which will contain a section on its environmental strategy. The company’s website does contain a section outlining its environmental strategy including a statement from board member Jens Ulrich Maier. In addition, the website contains a good visual illustrating the cross section of one of ECE’s shopping centres with information on how the company deals with the main impact areas such as energy reduction, water savings, construction materials used, waste management, transportation and renewables. While ECE does not appear to have specific company targets for reducing energy consumption and limiting its carbon footprint, the Otto Group, of which it is a subsidiary, is aiming to

Alexander Otto (1967) studied at Harvard University and began his career as a financial analyst and director of financial planning in New York. The youngest son of the company founder, he joined ECE Projektmanagement in 1994. He was appointed deputy chairman of the board of management in 1998 before taking up the post of chairman in July 2008. Otto also chairs the Urban Land Institute’s German council.

reduce its CO2 emissions by 50% by 2020. On a broader level, sustainable development is clearly an important goal. Aside from introducing measures to optimise energy use in its shopping centres, ECE is also seeking to cover indispensable energy needs in as eco-friendly a way as possible. In 2008, the company announced a plan enabling its 48 shopping centres in Germany to draw a total annual amount of approximately 155 million kilowatt hours of green power from hydroelectric plants in Scandinavia. The company supports the BRE Institute (Building Research Establishment) in developing a

European environmental certificate for shopping centres.

Sustainability strategy ECE says sustainability has always been one

of its top priorities and that it has been planning in a sustainable way before it was even familiar with the term. In 1970, ECE opened the Alstertal Shopping Centre in Hamburg in an area close to the city’s train station, which was later to become the centre of a new city district. The complex has undergone various refurbishments without the need for significant alterations thanks to the use of a flexible system of load-bearing columns. Where possible, ECE endeavors to develop and realise its concepts for commercial and office properties in such a way as to avoid development of additional areas. This is done by using existing developments so that the respective spaces can be integrated into existing structures. The focus on inner-city locations makes it possible to take advantage of local public transport, enabling shopping centre visitors to access and leave the centres in an ecofriendly way. The company has an in-house

The Nominees

Green Thinkers page 19

GreenThinker 3 Alexander Otto

Cool Down

‘F

General findings

European environmental certificate for shopping centres.

Sustainability strategy ECE says sustainability has always been one

The Nominees

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The Nominees

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ECE Projektmanagement Germany

environmental team representing all ECE’s fields of activity, which cooperates with scientists and surveyors to discover new possibilities for saving energy during the building process and operation. In the past years, the company has trained its engineers in innovative technologies such as geothermal power and fuel cell technology. Its goal is to ensure that each of its projects is submitted to a sustainability check. For that purpose, it is training all team leaders of new and refurbishment projects on sustainability issues. Approximately 80 employees are involved in this project. The company is also in the process of developing a sustainability handbook. In addition, it has plans to work together with an unnamed university to identify criteria for building a sustainable shopping centre. ECE is targeting a more environmentally responsible use of development sites, land recycling, long lifespans and multifunctional buildings, unproblematic rebuilding and, if need be, demolition, as well as the use of eco-friendly and health-friendly materials, comprehensive materials management and rational energy use.

Practical measures ECE provides extensive information on

measures intended to curb the environmental impact of its buildings. Most of its shopping centres have switched to green electricity and others are expected to follow as soon as supplier contracts permit. The green electricity supplied to its 48 shopping centres in Germany will be drawing a total of approximately 155 million kilowatt hours in the form

Founded in 1965 by Werner Otto, ECE Projektmanagement is a subsidiary of the Otto Group, which claims to be the world’s biggest mail order operator. A European market leader in the field of inner-city shopping centres, ECE also develops and builds transport complexes, logistics centres, company headquarters, office complexes, industrial and healthcare buildings. ECE currently has 97 shopping centres under management in 15 countries throughout Europe including Germany, Turkey, Switzerland, the Ukraine, Lithuania, Bulgaria, Romania and Croatia. The company has 2,600 employees.

of hydro-electric power per year. So far, the company has been able to meet 66% of its power requirements by certified green power. Other measures that it has imposed include switching off the cooling systems of its malls 30 minutes before closing time in order to reduce energy consumption. Waste separation is practised throughout its malls and the use of eco-friendly detergents is stipulated in the cleaning contracts. ECE claims that all of its new buildings are equipped with new-generation lighting, enabling it to curb average energy consumption in recent years by 20%. It is also turning increasingly to renewable energy and other innovative solutions. For example, solar cells have been installed at the Ernst-August-Galerie complex in Hanover. For the first time ever, it has completely dispensed with electronic mall cooling at this mall, thanks to intelligent

technical concepts. The company has also worked with tenants and electronics manufacturer Philips to search for innovative solutions for reducing the heat emission of store lighting in a bid to further cut the need for air cooling.

Projects

The heat for the Hermes DistributionHUB, which ECE developed in Friedewald (Hesse, Germany), is generated by a wood chip heater. This technique has enabled CO2 emissions to be reduced from 1,000 tonnes to 170 tonnes a year. Another project the company cites as an example of its sustainability policy is the Ernst-August-Galerie in Hanover. The mall uses local materials including Oberkirchen sandstone and Jura marble rather than imported products. Foamglas insulating material was used in the parking deck as this is a recycled and recyclable product that also produces a very low percentage of waste at demolition. The roof structure contains a 250-kilowatt photovoltaic system which generates the power equivalent to the consumption of approximately 65 single-family houses and represents a saving of around 50 tonnes of CO2 per annum. An intelligent control system allowing for natural ventilation via the roofs means that mechanical cooling is no longer needed. Roof greening not only creates a city centre biotope, it also helps reduce temperature fluctuations and further minimises energy use. The centre makes use of new-generation lighting and a customer-frequency escalator control allowing for intermittent operation.

Operation varies automatically according to the number of users: when there is a high volume of use the escalator goes into full operation. If the number of customers decreases, the escalator slows down, but speeds up again when a new customer arrives. The Hermes DistributionHUB is the main distribution for approximately 45 million parcels per year. It has an approximate investment value of €25 mln and the building has a surface of approximately 20,000 m². The heating is generated by its wood chip heater. This sophisticated technique utilises wood as a renewable resource and allows carbon dioxide emissions to be reduced from 1,000 tonnes per year to 170 tonnes per year.

Pipeline

The Ernst-August-Galerie is a shopping-centre with approx. 30,000 m² on three levels. The centre is being built on the site of the former main post office directly next to 1 2

Ernst-August-Galerie Hanover Lower-Saxony, Germany Hermes Distribution-HUB Friedewald Hesse, Germany

Hanover’s central railway station. The centre has access to public transport facilities and will provide 160 bicycle parking spaces. The centre uses recyclable insulating material and local products including Jura marble and Oberkirchen sandstone while a waste product – FGD gypsum – was used for the mall ceilings, partition walls, flame-resistant bulkheads, and flooring. FGD gypsum is regarded as being just as environmentally clean as natural gypsum. In contrast to natural gypsum, however, FGD, because it is a by-product of technical processes, is able to comply with the most stringent organic building material and ecological standards. A 250-kilowatt photovoltaic system for generating electricity was integrated in the roof structure. The power capacity thus generated is equivalent to the consumption of approximately 65 single-family houses and represents a saving of around 50 tonnes of CO2 per annum. The centre features intelligent systems for lighting and ventilation, a green roof and new-generation LEDs in the façade lighting. A new control system also allows for intermittent operation of the escalator. ❧

The Nominees

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The Nominees

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ECE Projektmanagement Germany

Practical measures ECE provides extensive information on

Projects

Pipeline

The Ernst-August-Galerie is a shopping-centre with approx. 30,000 m² on three levels. The centre is being built on the site of the former main post office directly next to 1 2

Ernst-August-Galerie Hanover Lower-Saxony, Germany Hermes Distribution-HUB Friedewald Hesse, Germany

Country Watch UK

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Country Watch UK

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Retro Fits the Bill BY Brenda McNally

Facts & Figures

The European Energy Performance of Buildings Directive (EPBD) has established a firm commitment from the UK building trade in placing energy efficiency measures at the top of the agenda.

hile it’s difficult to compare how various EU countries are doing in terms of sustainable development without an agreed common metric, progress development in the UK is good, according to John Alker, Green Building Council UK’s public affairs manager. Established in February 2007, the UK Green Building Council was set up to make the roll out of the EPBD as smooth as possible. ‘Given the large number of organisations and bodies working in the area of sustainable development, we were mandated to attempt to make coherent all the green building initiatives in the UK,’ he explains. ‘The EPBD has been a key driver in getting developers and investors on board. The focus is now on EPBD2 and looking at the retro fitting of buildings to reduce energy inefficiency. There is a general acknowledgement that EPBD2 is coming and the sooner those involved move on it, the better.’

Anti-ageing retro fits

With a significant proportion of building stock in the UK likely to require retro fitting, tackling the energy efficiency of ex-

isting buildings will become a major issue. According to Patrick Brown of the British Property Federation, the rate of stock replacement is only 1–2% which means that the majority of buildings in the UK will still be around in 50 years time. As a result, retro fitting is a major area of concern in the development of regulations for sustainable buildings. And the big issue around this is how it will be financed, according to Brown. ‘Fiscal incentives are an obvious approach to this, but we also want to encourage the right kind of behaviour in property management. For instance, we are starting to look at measures that promote better energy management of buildings, such as reducing lighting or electricity usage at night and weekends, etc.’ Since April 2008 the EPBD has required all commercial buildings over 10,000 m2 on construction, sale or lease to hold Energy Performance Certificates (EPCs). This will apply to buildings of 50 m2 from 1 October 2008. The UK/Wales will go a step further by introducing an operational rating, known as a Display Energy Certificate (DEC), on all public sector buildings. The DECs will become mandatory in the UK/Wales from October 2008.

Footing the bill

Determining who should finance the up front costs involved in creating sustainable buildings however is very controversial, explains Alker. ‘Everyone is agreed about the benefits of sustainable buildings, but the debate now is around who should pay for the work and who is reaping the benefit – the landlord or the occupier?’ This is one of the reasons behind the introduction of both EPCs and DECs explains Brown. The EPCs provide an asset rating and show what the building has been designed to do in terms of energy performance, but the DECs assess how the building is actually performing. ‘The DECs will get the tenant to take responsibility for their particular energy useage or requirements,’ said Brown. The UK stands out among European countries in the implementation of DECs. The logic behind the move, according to Louise Ellison, Research Director, Investment Property Forum, is that while you might have a first class building in terms of energy efficiency, if the occupier or tenant is not also good at managing their energy needs, then the building may not be operating to optimum efficiency. ‘There is currently consultation as to whether we should broaden out the display

certs to private sector buildings which are commonly frequented by the public, such as banks, railway stations etc, with the long-term aim being to roll out DEC to all buildings,’ explains Ellison. The challenge with implementing this measure however, is collecting a year’s worth of energy data, adds Brown. Indeed, the collection of data for the EPCs has proved the most difficult and contentious part of implementing the new energy certificates in general. ‘There have been teething troubles,’ adds Ellison. ‘For example there is a belief that there is variability over the grading your building will get. Some people feel that you could get a different rating depending on who does the assessment. But this should improve as the monitoring software becomes more robust.’ Other sustainable development innovations in the UK include moves on zerocarbon measures. Plans are already under way to make all new non-domestic buildings zero carbon by 2019.

Back to school

Notable ‘green’ developers include British Land and Land Securities and on the investment side, Pruprim (Prudential Property Investment Managers) and Hermes

are ‘good examples of portfolio investment that is engaged in trying to make energy efficiency work’, according to Ellison.

Noteworthy project

A noteworthy green project is British Land’s Ropemaker venture in London EC2, due for completion in 2009. Designed by Arup Associates, this building is the company’s most sustainable project to date. The 20 storey office and retail complex comprises of some 55,000 m2 as well as two trading floors of 4,000 m2 and includes a range of state-of-the-art green initiatives. One of the most often cited examples of green development is the Head Quarters of UK developer, Lend Lease, according to Alker. The building at 17 Hanover Square is a good example of how you can retro fit to provide green features. In general however, new build in the public sector is where the majority of noteworthy green building can be found, adds Alker. ‘We’re seeing some fantastic new buildings, particularly among the schools sector where the aim is to make all schools zero carbon by 2016. Westminister Abbey by AHMM Architects and the Greenwhich Millennium Primary school are stand-out examples.’ ❧

• The UK Green Building Council (UK-GBC) was launched in February 2007 to bring cohesion to the green building movement. It was founded by Chairman Peter William Rogers, CBE, and Paul King is UK GBC Chief Executive • According to figures from CBRE London office, the total commercial floor space in England/ Wales was 597 mln m2 at April 2007. • Based on the average rateable value of £64 per m2 (Apr 95), CBRE also estimates the total capital value of property in England/Wales at £350 bn (€441 bn). According to the IPD European Index, the total market size in the UK at end 2007 was €411.3 bn. • British Land’s Ropemaker project in London EC2, due for completion in 2009 and designed by Arup Associates, is the company’s most sustainable project to date. The 20storey office and retail complex comprises some 55,000m2 as well as two trading floors of 4,000m2 and includes a range of state-of-theart green initiatives. • 17 Hanover Square, the headquarters of UK developer Lend Lease, is a good example of retrofitting to provide sustainable features. • All schools in the UK will be zero carbon by 2016. Westminster Abbey by AHMM Architects and the Greenwich Millennium Primary school are top examples of green buildings in this category. • Leading green property companies in the UK include: Land Securities Group; British Land; RES Group subsidiary Inbuilt Consulting Ltd; Willmott Dixon Construction’s; Lend Lease; Sir Robert McAlpine; Carillion; Skanska UK. Hermes is considered one of the leading green investors.

Country Watch UK

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Country Watch UK

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Retro Fits the Bill BY Brenda McNally

Facts & Figures

The European Energy Performance of Buildings Directive (EPBD) has established a firm commitment from the UK building trade in placing energy efficiency measures at the top of the agenda.

Anti-ageing retro fits

With a significant proportion of building stock in the UK likely to require retro fitting, tackling the energy efficiency of ex-

Footing the bill

Back to school

Notable ‘green’ developers include British Land and Land Securities and on the investment side, Pruprim (Prudential Property Investment Managers) and Hermes

are ‘good examples of portfolio investment that is engaged in trying to make energy efficiency work’, according to Ellison.

Noteworthy project

The Nominees

Green Thinkers page 25

GreenThinker 3 Simon Jenner

The Hines Standard

‘S

ustainability and energy efficiency have been a “Hines standard” for more than 50 years. Working with key decision makers, clients, consultants and contractors, Hines strives to integrate low energy, low carbon, bio diverse, ecological and socio-economic considerations across all of its developments, setting and measuring clear performance targets, providing a culture of improvement, setting the target for all future projects and activities and comparing our performance against others. We aim to reduce pollution to air, land and water throughout our design and development processes. To achieve this, Hines works with the best and the brightest partners, design and construction teams to ensure the standards are achieved and ensure all projects are built and operated efficiently with limited impact on the environment. Hines continues to create high-value profitable developments through continued innovation, collaboration and excellence – fulfilling the needs of occupiers, enhancing the community and the built environment. As Hines moves forward it will continue its focus on the creation of environments that improve quality of life for the people who use, live and build our developments.’

General findings

The company is not listed, so there is no annual report. There is, however, a small sustainability sub-section under the ‘About Us’ section of the company’s website. This informs us that Hines began testing green technologies in the early 1990s and has been implementing and refining them since then. Hines execuitves have also been actively involved in the development of the US Green Building Council’s LEED (Leadership in Energy and Environmental Design) programmes and have committed a number of buildings to its pilot initiatives. The company bills itself as international but in practice it appears the corporate communications are weighted towards its American operations. At first glance, there is little information on the company’s European operations. A ‘Property Search’ function on the US site provides information on the company’s global development properties.This yields little information on the ‘greenness’ of the projects. The communication of sustainable development activities is entirely US-focused. What information is provided on the website is very general and limited to listing

Simon Jenner, 46, is director of Hines UK with responsibility for all design, operational and construction activities in the UK. He has over 22 years of experience in the property sector and is based in London. Since joining Hines in 2003, Jenner has worked on various projects in the UK and has created the procurement frameworks and environmental policies for the UK operations. Previously, Jenner was a director at British property developer Stanhope where he worked on projects such as Chiswick Park, a multi-phase multi award-winning business park, and Stratford City in East London. Before that, he worked for over 10 years with Japanese property and construction companies, Kajima and Kumagai Gumi. Simon is a member of the Chartered Institute of Building and Chartered Management Institutes. He is a member of the Institute of Directors, the British Council for Offices and an affiliate member of the RIBA. He holds a BSc in Building.

awards and participation in the American LEED certification programme. Current information on Hines’ global sustainability strategy online is therefore limited, but

the company says it is working on a more comprehensive statement which will form part of the soon-to-be-launched, updated website. Hines says due to the nature of the quickly progressing global programmes and vastly changing landscape, the Hines website information is typically 1–2 quarters behind. To maintain its leading position Hines is currently reviewing its global strategy and communications initiative on corporate social responsibility and sustainability and is aiming to roll this out in the autumn of 2008, when updated reports will be a part of the new global Hines programme. This is evidenced by the fairly comprehensive information Hines provided when it was asked for a submission for the Green Thinkers Award. However, this information still focused on the US and the UK, with no information on the company’s many projects in Continental Europe.

Sustainable strategy

Hines strives to reduce pollution to air, land and water throughout its design and development processes. Hines is one of the leading developers involved in the

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GreenThinker 3 Simon Jenner

The Hines Standard

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General findings

awards and participation in the American LEED certification programme. Current information on Hines’ global sustainability strategy online is therefore limited, but

Sustainable strategy

Hines strives to reduce pollution to air, land and water throughout its design and development processes. Hines is one of the leading developers involved in the

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Hines uk london

LEED (Leadership in Energy and Environmental Design), a programme sponsored by the US Green Building Council with sustainable development rankings, based on the number of projects having achieved LEED certifications. Hines has led the adoption of LEED standards in projects in Spain and Italy, participates in the UK Green Building Council and is active on a number of influential panels. Internally, it maintains a centralised ‘conceptual design and construction’ group which functions as a ‘center of excellence’ for Hines’ projects, bringing a disciplined approach to ‘best practices’ and providing a resource for ‘knowledge transfer’ to all Hines global offices. A major component in these programmes surrounds sustainability in design, construction and building operations. Hines’ energy management strategy is to minimise energy consumption to achieve significant cost savings while maintaining a quality occupant environment and maximising the technical system life cycle. Through its key disciplines Hines has made a commitment that ‘all new’ Hinesdeveloped projects will be (at least) LEED certified (or the equivalent, e.g. BREEAM in the UK) and will continue to look upon legislation as a minimum standard of achievement. An example of which being that Hines has the largest portfolio (by area) of Energy Star-labeled property of any developer participating in Energy Star programme (a programme of energy efficiency sponsored by the US EPA), which certifies operating office buildings for energy efficiency programmes through the

Hines is a privately owned, international real estate firm that was founded in 1957 in Houston, Texas, by Gerald D. Hines. Since its inception, Hines has developed or acquired more than 1,000 projects in 223 cities globally and 16 countries, representing more than 300 million sq ft (27 million m2) of commercial, residential, mixed-use and industrial projects. Currently, the firm holds assets valued at about $23 bn (€16 bn) and is led by president and chief executive Jeffrey C. Hines. In Europe the group has been active since 1998 in both real estate development and investment. Headquartered in London, Hines Europe currently has offices in nine cities in six European countries: France, Italy, Germany, Spain, Poland and the UK. A total of 34 European projects comprising more than 8.4 million sq ft (790,000 m2) have been completed in recent years, while another 24 projects, totalling more than 12 million sq ft (645,000 m2), are currently under way. Since 1991, the company has also sponsored 28 investment vehicles with more than $15 bn in committed equity for real estate acquisition and development in the Americas, Europe and Asia.

following key disciplines: – Investigation and selection of products and systems and energy efficient designs and components that effectively balance first cost, life cycle, efficiency and functionality. – The efficient operation and maintenance of building systems and equipment to maximise efficiency and performance. – Retrofits and upgrades that utilise technological, manufacturer and product

developments to meet the business objective of the asset. – A formal method of communicating best operation and energy efficient practices. Each of these disciplines is applied while maintaining a culture to constantly strive for energy efficiency without sacrificing service.

Practical measures and projects

In addition to Hines’ close involvement in the US LEED program, and as part of Hines’ global commitment, Hines UK has adopted the best principles of sustainable development and claims it has an absolute commitment towards the environment in all that it does. The company plans to issue updated reports as part of the new global Hines program. Hines UK also has a strong track record in the delivery of green buildings such as Hyde Park Hayes, 99 Queen Victoria Street and Cargo 777 (all in London), covering over 50,000 m2. Each building achieved no less than a BREEAM ‘very good’ rating and each project incorporated creative design principles to reduce and mitigate the impact on the environment. Hines began testing green technologies and has been implementing and refining them on a global scale since the early 1990s. Hines executives have been actively involved in the development of the US Green Building Council’s LEED programmes and have committed a number of buildings to its pilot initiatives. To date, four Hines projects have been LEED certified, 10 have been

pre-certified and seven are registered with LEED’s various programmes. In 2004, Hines became the only real estate company ever to have been recognised with the Environmental Protection Agency’s Energy Star Sustained Excellence Award. Prior to that, Hines was named Energy Star Partner of the Year three years running, from 2001–2003. Hines has a global Sustainability Task Force, which is a leadership initiative for education, training, best practices and communications both internally and externally. Hines sponsored one of the first ‘green funds’ with CALPERS in the US and works with a number of leading sustainability experts (e.g. William McDonough) and consultants (e.g. Green Order, Green Buildings Services, Green Building Council and 1 2 3 4 5

Queen Victoria Street London, UK Grafton Street London, UK Cargo 777 London, England Cannon Place London, UK Hyde Park Hayes London, UK

JLL Upstream) to benchmark its programmes and recommend new initiatives. In the US, Hines has made contributions to and sponsored programmes/ professorships in sustainability, new technologies and design innovation at institutions such as MIT, Harvard, Yale, Purdue and the Urban Land Institute.

Pipeline Hines UK currently has a

pipeline of sustainable/green projects including Cannon Place, Grafton St, Hyde Park Hayes, Chichester House and Fort Halstead, etc. Each of these projects have achieved or are targeted to achieve no less than a BREEAM ‘very good’ rating and in some cases are aiming for an ‘outstanding’ classification. The total area of these new projects equates to over 300,000 m2 of gross development with an investment value approaching £1 bn (€1.2 bn). Hines globally has approximately six million m2 of buildings certified (completed) or certified LEED. In addition, it has roughly 10 million m2 of buildings pre-certified LEED and under development across the various markets in which it operates. ❧

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Hines uk london

Practical measures and projects

Queen Victoria Street London, UK Grafton Street London, UK Cargo 777 London, England Cannon Place London, UK Hyde Park Hayes London, UK

Pipeline Hines UK currently has a

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GreenThinker 3 Rainer Eichholz

Resource-conserving Real Estate

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ringing space to life while protecting the climate is a task our company undertakes every day. In doing so, we acknowledge our responsibility – towards people and the environment, now and for the future. For Hochtief, as an international provider of construction services, this is a challenge, as each of our projects is unique and requires tailored solutions. The realisation of resource-conserving real estate is of key importance throughout Hochtief Group. In the area of sustainable building we take an internationally leading role. We know: the future lies with innovative solutions – this means a big challenge and a huge opportunity for the construction industry. We will play out our part in this with all our energy. In our organisation, sustainable work practices are also fostered through the transfer of know-know between the individual corporate divisions and companies. The continuous exchange of experience enables best practice solutions to be transferred to other countries and to other projects and also allows profit-stimulating synergies to be achieved. Thus, innovative concepts for environmentallysound, resource-saving construction can be introduced throughout our Group.’

General findings

Hochtief is a founding member of the German Sustainable Building Council which is working on the introduction of a building certificate. Hochtief has developed a reporting system for environmental damage, whose severity it rates on a scale from low to high. It was the only German construction company to be included in the Dow Jones Sustainability Index in 2007. The company provides an excellent CSR report with separate sustainability reports for its four subsidiaries. The Sustainability Report (SR) has been evaluated by an auditing company, PricewaterhouseCoopers. The report, which is in line with GRI reporting standards, provides detailed information on greenhouse gas emissions, electricity use, fuel consumption and water consumption. Environmental targets are listed and their status provided. Since publishing its first SR for 2005, the company has worked on improving its reporting and has included additional information such as data regarding the CO2 emissions at its European units. The company received the German Environ-

Rainer Eichholz, 52, started his career as a design and construction manager at an architects firm. He subsequently set up his own project management company and worked for various clients including Kaufhof and Wescho. In 1996, he joined Hochtief Development as a construction manager. In 2000, he joined the management board of the company, becoming its chairman in 2004. Since September 2007, he has also held the position of management board chairman of Hochtief Property Management. Eichholz is an engineering graduate with a degree from the University of Applied Sciences in Dortmund.

mental Reporting Award (DURA) from the Chamber of Public Accountants (Wirtschaftsprüferkammer) in Berlin in 2006 for its first sustainability report. The jury was particularly impressed by the high level of credibility of information and the focus of reporting on the company’s business model. Hochtief has also issued a request for readers’ feedback on its sustainability report via its website.

Sustainability strategy

Sustainable action is a long-standing tradition at Hochtief. It is embedded in the company’s Vision and Guiding Principles, which is binding for all employees. Hochtief claims to be a pioneer in the sector in the field of sustainability and is the only company in the construction industry in German-speaking countries to publish comprehensive information and facts on ecology, economy and social commitment. The company has started to harness geothermal power, for instance, in order to produce renewable energy. Hochtief also seeks to make a significant contribution by using resources carefully and by applying energy-efficient methods in its projects. Its basic approach is to carry out projects responsibly throughout their life cycle – starting from development and construction through to management and operation. Integrated project management enables the company to generate substantial potential for saving. It also offers innovative and alternative concepts to conventional living and work environments. This includes, for example, the development of

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GreenThinker 3 Rainer Eichholz

Resource-conserving Real Estate

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General findings

Sustainability strategy

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Hochtief Projektentwicklung GERMANY

modern cross-generational forms of living. The realisation of resource-conserving real estate is of key importance throughout the Hochtief Group. Sustainable construction has a long tradition in Europe, especially in Germany. Hochtief has been carrying out projects that meet high environmental standards for many years. Sustainable work practices are fostered within the organisation through the transfer of know-know between the individual corporate divisions and companies. The continuous exchange of experience enables best practice solutions to be transferred to other countries and to other projects and also allows profit-stimulating synergies to be achieved. Thus, innovative concepts for environmentally-sound, resource-saving construction can be introduced throughout the group.

Practical measures

In June 2007, Hochtief became one of the founding members of the German Sustainable Building Council and is actively involved in the management of this association. The organisation aims consistently to promote sustainable construction and operation of building structures in Germany and create sustainable living spaces. A building certificate should enable this aim to become a reality in the near future. The certificate is intended to be awarded to projects that have stressed the importance of human health and resource conservation criteria during the planning and construction phases. The company claims its active participation as a founding member of the German Sustainable Building Council is evidence

Hochtief Projektentwicklung is the project development arm of Hochtief, a leading German provider of construction-related services. The company was founded in 1991 and specialises in the development of office, hotel, mixed-use and special-purpose properties, mostly at inner-city locations and in areas close to city centres. The company’s strategy is to develop properties and sell them to final investors at the earliest possible opportunity. With 179 employees and 15 offices in Germany, Prague and Warsaw, Hochtief Projektentwicklung is currently carrying out 40 real estate projects in the CEE region with an investment volume of € 2 bn. In the office sector, the company has realized a total of 75 property developments valued at € 3 bn since inception in 1991.

of its support for the goal of systematically promoting sustainable construction and building practice in Germany and making sustainability the standard way of doing business. Projects that meet these criteria will receive a certificate as early as 2008. Hochtief claims to have been a pioneer in ‘green building’ in the US for more than a decade through its American subsidiary, Turner. The US subsidiary manages the construction of large environmentfriendly and energy-saving projects, which are certified according to the LEED standard (Leadership in Energy and Environmental Design). More than 300 sustainable building projects are being built under Turner management or have already been completed. Of these projects, 74 which were completed by July 2008 received LEED certification and an addi-

tional 120 are registered with the USGBC and seeking certification. Total volume of green buildings with LEED standard is almost $13 bn. The company is also involved in the development of a concept for modular green school buildings in the US and it is striving for lower energy consumption in its own office buildings. Turner works with alternative air-conditioning concepts to reduce energy use and cost, focuses on natural light, provides water-saving techniques and uses photovoltaic solar energy systems. In Australia, Hochtief is represented by its Leighton companies in the Green Building Council of Australia (GBCA). Several employees also specialise in the area of sustainable construction and are registered as Green Star Accredited Professionals at GBCA. Together with the GBCA, Leighton was also involved in establishing the Green Star Rating System for sustainable buildings in Australia.

Projects

Hochtief has been carrying out projects which meet high environmental standards for many years. The company’s US subsidiary, Turner, manages the construction of large environment-friendly and energy-saving projects, which are certified according to the LEED standard (Leadership in Energy and Environmental Design). More than 300 sustainable building projects are being built under Turner management or have already been completed. Seventy four of the projects completed by July 2008 received LEED certification, an additional 120 are registered with the USGBC and seeking certifi-

cation. Total volume of Green Buildings with LEED standard is almost $13 bn. In Europe, the MainTower in Frankfurt stands out in terms of regenerative energy. Despite its 200 metres, the tower is comparable to a low-energy building thanks to the combination of a thermal power station combined with a sophisticated geothermal energy system.

Pipeline

Hochtief also has a sizeable number of green projects in the pipeline in Europe. One of the most striking projects is the Elbe Philharmonic Hall in Hamburg. A large-area photovoltaic device will be installed on the roof of the 110-metre high building which will supply two concert halls, a hotel, 43 apartments and food establishments. Another highprofile project is the Rodenkirchen Comprehensive School in Cologne. The building has a photovoltaic roof covering some 6,000 m². An information board lets students and teachers know how much energy this is generating. The expanded building generates electricity savings of around 26% while heating costs are 29% lower despite the fact that the expanded building is 18% bigger. ❧

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Main Tower Frankfurt, Germany Elbe Harmonic Hall Hamburg, Germany Rodenkirchen School Cologne, Germany

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Hochtief Projektentwicklung GERMANY

Practical measures

Projects

Pipeline

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Main Tower Frankfurt, Germany Elbe Harmonic Hall Hamburg, Germany Rodenkirchen School Cologne, Germany

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Country Watch Germany

Facts & Figures

Green Gathers Momentum By Sara Seddon Kilbinger

The recently introduced ‘passport’ to energy efficiency in residential properties will, next year, become mandatory for commercial buildings. The German Green Building Council is now working on the introduction of green certification.

t has long been at the heart of development in Scandinavia. But now, sustainability is gathering momentum in Germany’s real estate market. While ‘green’ thinking, including recycling, is not new to Europe’s biggest economy, it has played a minor role in the real estate industry – until now. Last October, Germany’s Energy Saving Ordinance (EnEV 2007), came into force, which translated the EU’s energy performance for buildings directive (EPBD) into national legislation, with a view to introducing energy performance certificates.

Property passports

In July 2008, Germany’s Ministry of Transport, Construction and Urban Development introduced an Energie ausweis – or ‘passport’ – for all residential properties built prior to 1965 which are up for sale or rent. The energy performance certificate will become compulsory for newer residential buildings on 1 January 2009. By 1 July of the same year, it will be mandatory for commercial properties for sale or rent as well. There will be three types of Energieausweis, which evaluate how efficient a building is: for new buildings; for existing buildings to be sold or rented and for

public buildings. An energy performance certificate will need to be publicly displayed in all public buildings with more than 1,000 m2 of usable area. ‘Rising energy prices are likely to bring the issue of sustainability and energy efficiency into the mainstream. Since the beginning of the year, we have seen a sharp increase in the number of clients approaching us with a view to acquiring ‘green’ buildings or who would like to make existing buildings more sustainable. It’s becoming a major issue, so it’s a perfect time to launch energy certificates,’ said Stefanie Frensch, a partner of Ernst & Young Real Estate in Berlin.

Sustainable life cycle

In June 2007, the Deutsche Gesellschaft für nachhaltiges Bauen, or DGNB, was set up, otherwise known as the German Green Building Council. It aims to promote sustainable building in Germany, focusing not just on the actual construction process but on the entire life cycle of properties, according to the DBNG’s executive director Anna Braune. Unlike the Energiepass, which is compulsory, the Green Building Council is working on the introduction of a voluntary certificate which measures

different aspects of sustainability, including the materials used, how the buildings are expected to perform in the long-term and how much energy they are likely to consume. Engineers, investors and real estate firms, along with representatives from Germany’s Ministry for Transport, Construction and Urban Development are currently developing the first version of the certificate, which will be tested over the next few months. The first certificates for sustainable buildings are expected to be issued at the beginning of next year, says Braune. Previously, some buildings were certified using certifications from other countries, such as the UK’s BREEAM system or LEED certification from the US. While there is strong backing from the real estate sector for a standardised European certification system – for both energy usage and sustainability – there is, as yet, no fixed definition of a ‘green’ building at EU level or by any recognised industry body. Part of the problem is that there are widely differing views as to what constitutes a ‘green’ or sustainable build. According to a recent survey by real estate fund manager Union Investment entitled ‘Property Investment in Europe 2008’, German investors typically equate

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sustainability with long-term returns and income, whereas UK investors peg sustainability much more closely to the environment, rating ecological construction ahead of energy efficiency and economic issues.

Profits in the green

The perceived cost of sustainable building is still a concern for many developers and occupiers. But according to Markus Scholz, a senior consultant at Cushman & Wakefield in Frankfurt, a survey carried out by Davis Langdon in July last year entitled ‘The Cost of Green Revisited: Re-examining the Feasibility and Cost Impact of Sustainability Design in Light of Increased Market Adoption’, suggested that there is no ‘significant difference’ in average costs for green building compared to nongreen buildings. Several other studies have backed this up, demonstrating that sustainable building initiatives typically increase the cost of development by less than 5% with very short payback periods.

Also, there is growing evidence across global markets that ‘green’ buildings can command higher rents, attract tenants more quickly, reduce occupier turnover and cost less to maintain, according to Cushman & Wakefield. As a result, owners, occupiers and developers are wising up to both the importance of trying to create more environmentally friendly buildings and – as some cynics might say – the importance of being seen to be ‘green’ by their clients and consumers. Deutsche Bank is currently renovating its two office towers in Frankfurt with a view to reducing its CO2 emissions and energy usage by 50%. The renovation is expected to be completed by 2010. Munichbased insurer AMB Generali Holding AG, the German arm of Italian insurer Assicurazioni Generali, is also trying to obtain an energy certificate for an office building it owns in Munich, which is occupied by a range of tenants, including real estate bank Eurohypo and law firm SJ Berwin. ❧

• The total value of commercial stock in Germany is around € 1.4 tln, of which around 40% is retail stock, 37% offices and 23% logistics. The total value of the investment market stock is around €600 bn, according to Cushman & Wakefield. • The Deutsche Gesellschaft für nachhaltiges Bauen, or DGNB, otherwise known as the German Sustainable Building Council, was set up in June last year and aims to cover the whole gamut of sustainability, from CO2 emissions to energy consumption and the quality of air in buildings. It was founded by its executive director Anna Braune along with some additional founding members, including Hines Immobilien GmbH and German environmental consultancy WSGreenTechnologies GmbH. Other founding members include L2 Architekten, the University of Stuttgart and Denver-based environmental-management consultancy Five Winds International. • There is growing interest from major companies, including Deutsche Bank, to occupy energy-efficient, sustainable buildings. Even the German government is getting in on the act: the German Reichstag in Berlin is expected to become the greenest parliament building in the world, due to a decision to rely solely on renewable energy. At the moment, biofuel generators in the basement produce around 40% of the building’s energy with the rest coming from mainly coal and nuclear supplies. However, in the future, the Reichstag will abandon conventional energies in favour of renewables. • There is a strong push on the part of residential developers to employ a raft of energyefficient measures, including solar panels, heavily insulated walls, grey-water treatment and heat recovery ventilation. • Developers such as Baufritz and WeberHaus are big players in the sustainable residential sector, both at home and in other markets, including the UK and Ireland. In July, Baufritz owner and director Dagmar Fritz was awarded the prestigious Veuve Clicquot award for Businesswoman of the Year 2008 in Germany.

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Country Watch Germany

Facts & Figures

Green Gathers Momentum By Sara Seddon Kilbinger

Property passports

Sustainable life cycle

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Profits in the green

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GreenThinker 3 Menno Maas

Circle of Engagement

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o progress with pricing sustainability, it is essential that we move away from the “circle of blame” to the “circle of engagement”. It is only through the circle of engagement that the various participants in the value chain of our built environment can structurally enhance our real estate products from an environmental and corporate responsibility perspective. Our focus on sustainable urbanism sets us apart from other players in the European development landscape. We believe in social cohesion as a means of creating a sustainable community. This includes a wide variety of features, such as the type of architecture, diversified programming, human size, land use, etc. This focus is further evidenced by our leadership in Area Development, encompassing the integral development of an area (large in scale), in all its dimensions, over a long period of time, with different stakeholders both public and private. This leadership position has also led to our role as a founding partner of the Urban Land Institute (ULI) Urban Investment Network that will be launched at EXPO REAL 2008. To ING Real Estate, sustainability is not a stand-alone effort but is truly engrained in our corporate DNA.’

General findings ING Real Estate (ING RE) does not have

its own Corporate Social Responsibility report (CSR) but refers instead to the ING Group and its CSR principles and guidelines. ING RE devotes only two pages of its annual report to its stance on sustainability, including its social policies, sponsorship and charities. ING Group’s CSR report – published from 2000 – is extensive and includes a small section on its real estate business outlining only basic principles for sustainable development which ING RE applies to its developments. It more or less repeats the same section in the ING RE annual report for 2007. Despite being written in English, the ING RE section of the ING Group report (and its own annual report) seems geared to a Dutch audience. It cites membership of the Dutch Green Building Council and two ‘green’ building projects, one in Amsterdam (Crane Track – see below) and one in Rotterdam. There are no references to developments outside the Netherlands. ING Group’s annual report contains coverage of ING Real Estate and its CSR stance, but this information is limited to

Menno Maas, 52, joined ING Real Estate on 1 July 2006 as CEO Development and member of the management board. He has overall responsibility for the global business line and reports to George Jautze, CEO ING Real Estate. He previously held the position of managing director at Amvest, a Dutch real estate asset management and development company focusing on the residential sector. He is also vice-chairman of IVBN (Dutch Association of Institutional Investors in Real Estate) and he teaches at the Amsterdam School of Real Estate and the Neprom Institute for Project Development. Before joining Amvest in 1997, Maas held various positions relating to real estate investment management at Dutch pension fund PGGM. From 1985 to 1991. Prior to this, he worked for ABN AMRO Project Development. He holds a degree in Social Geography and Planning Sciences from the University of Groningen.

a small column in the financial section and another small column in the general sustainability section. ING RE says it is developing guidelines for project development, aimed at embedding

sustainability in its business practices. ING Group itself claims to have been 100% Urbancarbon neutral since end-2007, but this is largely achieved via carbon offsets and investment in ‘green’ projects. The main focus of ING Group as a whole seems to be on paper, water and energy use. ING RE won the 2007 API Environmental Development Award and the Australian Property Council’s Innovation and Excellence Award for the Rosehill Industrial Estate in Sydney, Australia. The company also won the first MIPIM Green Building Award and Special Jury Award for its ‘Crane Track’ office development in Amsterdam, the Netherlands. In its response to the Green Thinker survey, ING RE stresses that its approach covers more than the mere buildings but takes into account the entire urban environment surrounding individual projects. The company describes this as ‘sustainable urbanism’. In general, ING relies heavily on the information provided by parent company ING Group. It would be better to have more information specific to ING Real Estate’s own operations, especially as ING RE claims

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GreenThinker 3 Menno Maas

Circle of Engagement

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General findings ING Real Estate (ING RE) does not have

a small column in the financial section and another small column in the general sustainability section. ING RE says it is developing guidelines for project development, aimed at embedding

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ING Real Estate Development The Netherlands

to be the world’s biggest real estate firm. At first glance at least, ING Group’s green credentials are questionable in the light of its sponsorship of Formula One racing, although the company uses carbon offsets to cover the emissions from the races and the transportation between tracks. Overall, though, ING RE is probably a lot greener than it looks on (virtual) paper.

Sustainability strategy The 2007 ING Real Estate Annual Report

highlights the adoption in early 2007 of the five sustainability criteria of Kingston University as adapted by GVA Grimley. The adoption of these criteria by ING RE was linked to the corporate decision at that time to embrace sustainability as a business opportunity, thereby providing a competitive advantage for ING RE. The company added sustainable urbanism as a sixth criterion, which is reflected in the focus within ING RE on area development and area transformation, extending the focus beyond the characteristics of the individual building to incorporate public space. The 2007 ING Group Corporate Responsibility Report further details these criteria and stresses ING RE’s passion for developing for future generations which, it says, is the core of sustainable real estate development. The company says that as the world’s largest real estate company, ING RE wants to play a lead role in the field of sustainability, and sets out the following principles: – We believe sustainable real estate will deliver better business and above average returns.

Real Estate, the property arm of Dutch financial services group ING, is engaged in the development, finance and investment management of real estate in the world’s major markets. With a total portfolio of € 100 bn, the company ranks among the leading global real estate groups. The company has a staff of over 2,500 located in offices in 21 countries. ING Real Estate was created in 1995 as a result of the merger between two major, long-established Dutch real estate firms: the property arm of the life insurer Nationale-Nederlanden and MBO, the real estate development unit of NMB Postbank. Its real estate development unit is currently headed by Menno Maas, also a member of the management board of ING RE. In Europe, ING RE has a staff of 1,725 located in 12 countries. Its development unit has currently more than 250 development projects in Europe, and its project pipeline in 2007 amounted to close to €8 bn. ING

– We aim for thought leadership on sustainability. – We stimulate labelling real estate on sustainability aspects. – We gather proof and collect evidence of value of sustainable real estate. – We are open and clear on our sustainability achievements. – We incorporate sustainability into our core processes. In addition, the company states: ‘we believe proof is essential, either through industry initiatives or through the projects in which we are involved. We therefore do not look at sustainability as a hype exacerbated by public relations activities. Receiving the 2008 MIPIM Green Building

and Special Jury Award for the Crane Track project in Amsterdam is evidence of the proof we seek. For over 25 years we have been developing projects incorporating elements which are now considered sustainable but which used to be seen as “simply” efficient or responsible.’ ING Real Estate says its has set two internal targets, the first of which is ‘To make sure that each employee is aware of our corporate ambition to lead in the area of environmental sustainability combined with the encouragement of local initiatives in this area.’ The second is: ‘To consider the six sustainability elements in all investment decisions.’ The company admits that while these targets are defined and measurable they have not been incorporated into a separate environmental or corporate responsibility report, which does not yet exist as such for ING RE. It then stresses that current local initiatives are being shared internationally as evidence of best practice and leadership.

Practical measures and projects

There is very little information on the actual measures ING RE takes at a corporate level, but the company has a long list of ‘green’ projects, to which have been applied the five sustainability criteria of Kingston University, adapted by GVA Grimley in addition to its ‘sustainable urbanism’ when this is applicable. In the Green Thinker survey, the company lists a number of green projects including Kraanspoor or Crane Track. ING RE transformed the former NDSM shipyard in Amsterdam into 12,500 m2 of office space. The project, which had an invest-

ment value of €25 mln, was the winner of the 2008 MIPIM Green Building Award. The complex makes use of existing crane tracks and features lowenergy consumption. A heat pump uses water from the nearby River IJ for heating and cooling, the double-skin façade, and concrete core activation. The complex uses natural ventilation and can be transformed into residences. Another high-profile building in Amsterdam is ING House which was completed in 2002. The 20,000 m2 of office space uses recycled and durable materials. Other sustainable features include heat and cold storage in the ground; lighting which reacts to daylight and presence of employees; a second-skin façade; speedregulated ventilation pumps; and natural ventilation for 40% of working hours. The building has a 100% flexible lay-out of the floor area and has good accessibility by public transport, car and plane. In 2007, ING RE opened the Zlote Tarasy shopping mall in Warsaw. The complex, which has an investment sum of €400 mln, contains 63,500 m2 retail space and 21,500 m2 of office space. The complex 1 2 3 4 5

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Les Terrasses La Fayette Limoges, France Baltimore Rotterdam, The Netherlands La Monolithe, La Confluence Lyon, France Zlote Tarasy Warsaw, Poland Kraanspoor (Crane Track) Amsterdam, The Netherlands

in Warsaw is located by the Central Railway Station. The complex features natural daylight which permeates the one-hectare glass roof and also allows recirculation of air. Building wastes are segregated and compacted before collection. The development has revitalised the city centre and introduced open space with an urban park.

Pipeline

A selection of projects in the pipeline includes La Monolithe in La Confluence in Lyon, France. The project has an investment value of €75 mln and a surface area comprising 14,322 m2 of office space, 12,432 m2 of residential space and 1,096 m2 of retail space. The complex will feature a wood burner providing 94% of heat requirements and solar collectors. Also in France, Les Terrasses La Fayette in Limoges comprises 132 residential units featuring solar-water systems, double-flow ventilation system with heat recovery, wood stoves, high-performance radiators and re-use of rainwater. The project, which has an investment value of €25 mln, is likewise due for completion in 2009. In Rotterdam, the company is working on Baltimore, a 50,000 m2 office tower located on the Wilhelminapier, which will use water from the River Maas for heating and cooling. The building, which requires an investment of approximately €75 mln, will also feature a rainwater retention system and reuse of energy from the elevators. ❧

The Nominees

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The Nominees

ING Real Estate Development The Netherlands

Sustainability strategy The 2007 ING Real Estate Annual Report

Practical measures and projects

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Les Terrasses La Fayette Limoges, France Baltimore Rotterdam, The Netherlands La Monolithe, La Confluence Lyon, France Zlote Tarasy Warsaw, Poland Kraanspoor (Crane Track) Amsterdam, The Netherlands

Pipeline

The Nominees

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GreenThinker 3 Francis Salway

Better Buildings Partnership

‘W

e believe that all development has to be sustainable, not only for ethical and practical reasons, but also for good economic reasons. The demand for sustainable property will inevitably see a premium attached over time to the better-performing properties in terms of asset value and rental levels. We believe we have led the UK property sector in sustainable terms for more than 10 years, but we also learn from our peers and work with many of them through the UK Green Building Council (UKGBC), the Better Buildings Partnership and the sustainability groups of the British Property Federation, the British Council for Offices and the British Council for Shopping Centres. In particular, we follow with interest the approaches adopted by British Land and Hammerson. Land Securities is working with several cross-sector bodies to explore the introduction of “green leases” but is also pressing ahead with its own agenda for building-specific Environmental Management Plans that place responsibilities on landlords and tenants alike to reduce the operational impact of buildings. The advantage of this approach is that it brings together the company’s own in-house experts with the people directly responsible for managing occupier activities within buildings, rather than using lease clauses agreed by parties several steps removed from day-today activities.’

General findings

A strong contender, Land Securities has a very complete Corporate Social Responsibility (CSR) report and section on its website. The CSR section has reports for each of the three years to 31 March 2008. Reports list targets set for the period under review, plus what was achieved – or not – in that period. The site has separate downloadable documents listing environmental targets for these periods. Separately, the company gives clear targets for carbon emissions, waste, recycling of construction materials, water usage, etc. for the period to 2010. The company has set up an Energy Innovation Group and appointed an environmental director (Dave Farebrother) to drive energy reduction, both by the company itself and its developments. The target for the company is a 10% reduction in energy use/carbon emission. Its long-term goal is 50–60% reduction, but this includes carbon offsets. Targets for new projects are more ambitious, however – 20% more than is demanded by legislation so, in effect, a 40% reduction. Land

Francis Salway (50), group chief executive, joined Land Securities in October 2000 having previously been an investment director at Standard Life Investments. He was appointed to the board in April 2001. He became chief operating officer in January 2003 and group chief executive in July 2004. He is also vice president of the British Property Federation.

Securities is also aiming to recycle 90% of demolition material in new building projects. The CSR report includes extensive information on community involvement, sponsorships, business ethics, etc. The company seems fully committed to the reduction of its carbon footprint but may rely too heavily for the moment on carbon offsetting. However, the company does acknowledge that this is not a long-term solution for tackling climate change. There is excellent communication of its policies and targets but again, more information is needed on specific projects. That said, the company proved more than willing

to provide information on individual projects and overall project targets when approached by the Green Thinker research team.

Sustainability strategy The website/CSR report provides ample

information on environmental policies, energy and climate change policies and sustainable development in general. Another positive is that the company has an in-house engineering department, so that Land Securities can explore technology and innovations rather than simply following established practice. For example, Land Securities has installed a small fuel cell at its Ebbsfleet management office to explore and understand how it works, in order to ensure that the larger models intended for some of the company’s new developments will be properly installed and managed. Land Securities is active only in the UK, and is therefore not really a European player, although it does manage a property in Berlin.

The Nominees

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GreenThinker 3 Francis Salway

Better Buildings Partnership

‘W

General findings

to provide information on individual projects and overall project targets when approached by the Green Thinker research team.

Sustainability strategy The website/CSR report provides ample

The Nominees

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The Nominees

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Land Securities united kingdom

Practical measures

The company is included in the Dow Jones Sustainability Index as well as being a member of UK Green Building Council, Green Property Alliance, BCO Environmental Sustainability Group, BPF Office Energy Project, Carbon Vision Project, etc. It has an ISO 14001-certified Environmental Management System (EMS), BREEAM guidelines are used for offices and retail developments, and Eco-home is used for residential projects. It received the BSI British Standards ISO 14001 Award for environmental management in 2008. The company was also the runner-up in the 2006 Business in the Community Award, plus the recipient of the ‘Big Tick’ in the environmental management category. It was 2006 Liveable City Awards-Winner Environmental management and runner-up in Tackling Climate Change. The company has also won 16 Green Apples since 2001. Land Securities says that it believes sustainability is best served by tackling all of its properties, both new and existing ones, rather than focussing on one, or even a handful, of landmark green projects. It has therefore set ‘stretching’ targets for all new developments and the costs are integral to the budget rather than considered as separate items. These requirements include: – Every scheme is to use only legally logged and sustainable timber certified under the FSC Project-Specific methoology. The development at One Wood Street in the City of London was Europe’s first commercial scheme to receive this certification.

Land Securities is the UK’s largest real estate investment trust with a national portfolio of commercial property worth over £14 bn. The group was founded in 1944 when Harold Samuel, Land Securities’ founder and chairman, bought a small property company which owned three houses in Kensington together with some government stock. By 1969, Land Securities had established itself as the UK’s leading property company. In 2008 the company announced its plans to demerge into three separate companies which will focus on the group’s main business lines: London, Retail and Trillium. Land Securities Trillium is the unit specialised in property outsourcing and public private partnerships. Land Securities’ investment portfolio owns around 60 retail parks and shopping centres in the UK. Half of the group’s assets are located in London, where Land Securities owns some landmark commercial buildings and has developed several renowned mixeduse schemes. The company operates from six offices in the UK.

– Every scheme to achieve BREEAM ‘Very Good’ status or better. In fact, many achieve an ‘Excellent’ rating. For domestic development the target is Level 3 of the Code For Sustainable Homes. – Every scheme to be designed to emit 20% less CO2 than the notional building that satisfies Part L of the UK Building Regulations. – At least 85% of demolition and construction waste to be re-used or recycled. All new buildings to have at least 20% recycled content. One recent development that illustrates the company’s philoso-

phy is 40 Eastbourne Terrace, in central London. By choosing to refurbish an existing building rather than demolish it and rebuild, around 1,100 tonnes of embodied CO2 were saved. By only using heat pumps in conjunction with openloop boreholes to heat and cool the building, a reduction of around 40% was achieved in carbon emissions compared to more traditional approaches.

cross-sector bodies to explore the introduction of ‘green leases’ but is also pressing ahead with its own agenda for building-specific Environmental Management Plans that place responsibilities on landlords and tenants alike to reduce the operational impact of buildings. The advantage of this approach is that it brings together the company’s own in-house experts with the people directly responsible for managing occupier activities within buildings, rather than using lease clauses agreed by parties several steps removed from day-to-day activities.

Projects

Other projects involving carbon/energy use reduction include New Street Square and Bankside, both in London. The company is also heading a ‘Spend to Save’ scheme, working with tenants to reduce energy use in its buildings. Land Securities is involved in several projects, both new-build and redevelopments that include reduced energy use and carbon emission targets. The company’s development activity is primarily focused on city-centre locations or locations close to major public transport links, as the company deems it essential that travel to and from the schemes is considered as part of the overall sustainability appraisal of any project. The company says that for many years it was difficult to engage with occupiers of existing buildings on any environmental issue and that environmental aspects of new development failed to be reflected in valuation or rent. However, office tenants are now realising the benefits of a more aggressive approach to sustainability, both in terms of reduced operating costs and improved Corporate Social Responsibility. Land Securities is working with several

Pipeline

The standard brief for new developments sets some demanding targets. However, within the next wave of developments initiatives to be implemented include: – The use of fuel cells in at least two schemes; – A ‘sky garden’ for the top two floors of a proposed 42storey office development;

1–2 New Street Square London, UK 3 40 Eastbourne Terrace London, UK 4 One Wood Street London, UK

– Provision of common condenser water circuits for the retail floors of a mixed-use London development. Land Securities is responsible for the master-planning and development of a new city at Ebbsfleet Valley, adjacent to the new station for the high-speed Channel Tunnel rail link. Ebbsfleet Valley is a redevelopment of spent chalk quarries and has sustainability as a cornerstone of its design and delivery. The scheme is covered by the ISO 14001 certification of the Group’s Environmental Management System. In addition to the Group’s usual minimum targets for commercial and residential developments, Ebbsfleet Valley will include high-speed public transport links, large areas of public green space, lakes and nature reserves. The energy strategy for the city is still being developed but is expected to include district energy schemes, biomass solutions and energy from waste. ❧

The Nominees

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The Nominees

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Land Securities united kingdom

Practical measures

Projects

Pipeline

1–2 New Street Square London, UK 3 40 Eastbourne Terrace London, UK 4 One Wood Street London, UK

Country Watch France & Belgium

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Country Watch France & Belgium

Green Light for Investors

obvious pioneer developers in the field, according to Pierre Collette, Partner at Cushman & Wakefield, Brussels. The main problem for developers is that the demand for low rent makes it difficult to advertise green buildings as they are quite expensive. Even Solaris, billed as ‘Belgium’s first green building’, is not really green, says Collette.

By Brenda McNally

Corporates may bolster demand

In France and Belgium, the drive for environmentally sustainable builds is being led by investors and developers who recognise the long-term benefits to their property portfolios.

evelopers have been one of the key drivers of sustainable development in France according to Arnaud Violette, head of key account management, at Cushman & Wakefield Paris. ‘France is doing well in terms of the provision of sustainable buildings and this has predominantly been developer-led. Sustainability was seen as a good marketing tool, something that would give their building an additional selling point.’ However, while the focus on energy efficiency has encouraged promoters and investors to concentrate on sustainable development, the occupier market still needs some convincing. ‘The real issue here is one of cost,’ explains Violette. ‘Energy efficient buildings command prime rents, so while energy costs are reduced, affordability becomes an issue.’ The added costs could have a big impact on the office market in Paris according to Violette, as some occupiers may be tempted to move out of the city, where Haute Qualité Environnementale (HQE) buildings are cheaper to rent.

Persuading the occupiers

As a result, Violette believes that the next step in France will be on persuading occupiers of the advantages of sustainable

buildings. ‘The private sector has done its work, now we need to demonstrate more clearly to occupiers that energy efficient buildings bring value, for example by providing a summary of energy consumption per square metre. Information presented in this way will make the energy efficiency of buildings more easily understood by the occupier market.’ The EPBD (Energy Performance of Buildings Directive) has been in force since 2007 when certification became mandatory on construction, sale or lease and display certificates for public buildings over 1,000 m2 became mandatory from January 2008. In the commercial real estate sector, however, the HQE certification (a global grading for green buildings in France) and the BREEAM certification are more widely known in France. Since 2005, all new and refurbished buildings have to achieve the basic level HQE certification. The HQE certification looks at 14 energy efficiency criteria and includes three grades of certification: basic, good and very good. There is no Green Building Council in France, but the widely recognised HQE certification is monitored by Certivea. A recent innovation, which is being driven by corporate responsibility, has been to include an HQE property management

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Facts & Figures France – France does not have a Green Building Council, however Certivea monitors the HQE energy efficiency certification. – Noteworthy green projects include CB Investors’ Le Mermoz building. Developed by Meunier, the 20,618 m2 building is due for completion March 2009. On completion, it will be the first office building in France to receive both HQE and Breeam certifications. – Developers Philia/Cogepa hope to achieve a THQE rating (Très Haute Qualité Environementale), the highest energy savings performance certificate for their heavy refurbishment project at Altaïs Evolution. The project which comprises some 33,237 m2 is due for completion in the first half of 2011. – Certification body Certivea has selected Atemi/Lehman Brothers’ Cœur Défense building for ‘HQE d’exploitation’, an award recognizing a property managed by High Environmental Quality standards. – Leading green property companies Almost all developers in France now focus on sustainable projects. However, developers such as Bouygues, Nexity, Meunier and Vinci stand out in terms of experience with HQE certification and green building.

certification. This aims to improve occupier energy usage through reduced approaches such as reducing electricity usage or by reducing air conditioning, etc. On top of certification, it is also government policy in France to reinforce planning regulations to require improved energy consumption levels for new buildings. With investors convinced of the long-term added value which sustainable development will have on their portfolios, almost all developers in France consider it a priority. However, developers such as, Bouygues, Nexity, Meunier and Vinci have shown the most concern and have the most experience in HQE certification and green building, according to Violette.

Noteworthy projects

Noteworthy green projects include CB Investors’ Le Mermoz building. Developed by Meunier, the 20,618 m2 building is due for completion March 2009. On completion, it will be the first office building in France to receive both HQE and BREEAM certifications. Developers Philia/Cogepa hope to achieve a THQE rating (Très Haute Qualité Environementale) – the highest energy savings performance certificate – for their heavy refurbishment project at Altaïs Evolution.

Facts and Figures: Belgium • Belgium does not have a Green Building Council, the IBGE (Brussels Institute for Management of the environment) is the main organisation looking at the implementation of certification in Belgium • Green buildings are on the increase but still represent less than 1% of total stock at the moment, according to Cushman & Wakefield in Brussels. • The Van Volxem building by developer JCX has received an award as the first sustainable project in Brussels. The 21,000 m2 building, close to the Eurostar station, it will include a system called SETA in which the water table serves as a cooling system in summer. There are no top green developers in Belgium but JCX is becoming known as a niche green player.

The project, which comprises some 33,237 m2, is due for completion in the first half of 2011. Certification body Certivea has selected Atemi/Lehman Brothers’ Cœur Défense building for an HQE award, the recognition of a property managed by High Environmental Quality standards. Sustainable development is a big topic in Belgium and is becoming more important in all real estate markets, but there are no

‘There’s a lot of marketing around green development, but mostly it focuses on secondary aspects, such as rain collection, or better glazing, etc.’ As a result, the key driver for sustainable development in Belgium’s office market is more likely to come from the occupier market, in particular the large corporations who are increasingly asking for green buildings, adds Collette. On the industrial side, however, green building is much more advanced. There is no Green Building Council in Belgium, the IBGE (Brussels Institute for Management of the Environment) is the main organisation looking at the implementation of certification within the country. The EPBD has been enacted to various degrees in the Flanders and Brussels regions but has yet to be enacted in Wallonia. Certification of public buildings has been mandatory in Flanders since 2008 and certification for residential and non residential buildings will be mandatory by 2009. In Brussels certification of new and existing buildings undergoing refurbishment has been mandatory since June 2008. Certification for public buildings will become mandatory in 2009. The Van Volxem building by developer JCX has received an award as the first sustainable project in Brussels. The 21,000 m2 building will include a SETA system in which the water table serves as a cooling facility in Summer. Belgian Sicavi BEFIMMO is behind a heavy refurbishment project, Imperatrice, next to the central station. This building has received an award for energy conservation from the Brussels region as the renovation will halve energy consumption and C02 emissions. ❧

Country Watch France & Belgium

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Country Watch France & Belgium

Green Light for Investors

By Brenda McNally

Corporates may bolster demand

In France and Belgium, the drive for environmentally sustainable builds is being led by investors and developers who recognise the long-term benefits to their property portfolios.

Persuading the occupiers

As a result, Violette believes that the next step in France will be on persuading occupiers of the advantages of sustainable

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Noteworthy projects

The Nominees

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GreenThinker 3 Prof. Michael Cesarz

Never Stop Questioning

‘W

e are not searching for fast individual solutions, but for sustainable insights for forward-looking standards for as many of our properties as possible. In view of rapidly rising energy costs, investments in climate protection and energy efficiency are paying off more quickly than ever. This makes decision-making both easier and faster. It is no longer ecology alone but cost-effectiveness that drives sustainable development of the real estate sector. The continuous optimisation of energy management as well as the sparing use of dwindling resources enjoy the highest priority. Internationally comparable key figures for electricity and water consumption as well as waste volume form the basis for a continuous process of identification of potential for further efficiency increases. Indispensable to the development of a green way of thinking is gathering experience and rethinking connections. Albert Einstein would most certainly approve of this. For this most outstanding thinker “the important thing was never to stop questioning”.’

General findings

Metro Asset Management (MAM) manages all of retailer Metro Group’s real estate activities. As far as the large developing retailers go, Metro’s commitment to sustainability and energy management is impressive and it is certainly a leader among its peers. The systematic ordering of information on its website testifies to a strategy that is well thought-out. There is a strong emphasis on energy management, both for existing and planned properties. The company appears to be an early mover in this field and claims to have started recording the energy consumption of individual locations in Germany in 2004. Metro has two subsidiaries dealing solely with energy: Metro Group Energy Production and Management; and Metro Group Energy Solutions. The company has set up the Metro Energy Management System, which records energy consumption and CO2 emissions, among others. Metro Group Asset Management does not have a separate annual report or CSR report, but refers to the CSR report for the Metro group as a whole. The sustainability report on the MAM site is only in German and for the year 2006,

Prof. Michael Cesarz was born in 1960 in Duisburg and has been the CEO of Metro Group Asset Management in Düsseldorf since 2004. Prof. Cesarz started his career as a self-employed architect and graduate engineer with offices in Germany and Russia. Afterwards, he worked as construction director for Kaufhof Warenhaus AG in Cologne and Peek & Cloppenburg KG in Düsseldorf. He teaches at the University of Leipzig and gives guest lectures in Germany and abroad. A number of his lectures focus on the topic ‘Change and Innovation’ for which he has received several architectural and technical awards.

whereas the parent company site offers the CSR report for 2007 in English. The company won the Energy Efficiency Award for Walzmühle shopping centre in Ludwigshafen which, as the result of a state-of-the-art ventilation system, was able to cut electricity consumption by about 800,000 kw/h and CO2 emissions by more than 800 tonnes a year. Metro’s energy management system looks at how energy can be saved for existing properties, planned new projects

and future retail properties. The Energy Future Store looks at energy-saving concepts for planned new builds. The Integral Future Store programme is longer-term and looks at regenerative energy sources. Projects are planned in Denmark, Italy and Turkey. The group lists sustainability targets in its CSR report, but these seem to relate more to retailing activities than to real estate. The measurement of its carbon footprint was done by Öko-Institut e.V., one of the leading independent environmental research and consultancy institutions in Europe. Metro has received the ULI ‘Award for Excellence’ for its Meydan shopping centre in Istanbul. Meydan will also participate in the worldwide ‘Global Awards for Excellence’, which will be awarded in October 2008 in Miami. Meydan Shopping Square also won first place in the ‘Process’ category of the European Business Awards for the Environment in Turkey and so will represent Turkey at the EU European Business Awards for the Environment in Brussels. In 2007 Metro Group Asset Management

The Nominees

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GreenThinker 3 Prof. Michael Cesarz

Never Stop Questioning

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General findings

The Nominees

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The Nominees

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METRO Group Asset Management Germany

received the Energy Efficiency Award third prize for the renovation of the German shopping centre Walzmühle.

Sustainability strategy

Metro Group claims it acts responsibly towards the people it deals with and the environment in many ways, from its stores and operations right down the supply chain. The commitment to Corporate Social Responsibility (CSR) includes sustainable corporate management, as well as an intensive dialogue with customers, employees, politicians and other important stakeholders. The objective is to ensure the future foundation for business and potential competitive advantages as well as to contribute towards the sustainable development of society. The basic idea of an ecologically and economically responsible corporate management is reflected in the environmental standards established by the Metro Group in 1997. Continuous optimisation of energy management as well as the sparing use of dwindling resources, enjoy the highest priority among its environmental standards. Measurement of electricity and water consumption as well as waste volumes, provide the basis for continually identifying potential increases in efficiency on an international basis. The Metro Group has committed itself to reducing its greenhouse gas emissions by 15% until 2015. In 2006, the company’s carbon footprint amounted to 406 kg of CO2 equivalents per square metre of sales space. This figure will serve as the benchmark

Metro Group Asset Management manages buildings and real estate used by the Metro Group – one of the biggest retailers in the world with brands that include Metro Cash & Carry, Real, Media Markt, Saturn and Galeria Kaufhof. It is one of the biggest retail property management companies in Germany and manages more than 750 properties in 16 countries throughout Europe. It also administrates over 70 centre locations in Germany, Poland and Turkey. The scope of its activities extends from development to commercial, technical and infrastructure management. The company has 1,000 employees in Germany, France, Greece, UK, Italy, Luxemburg, Morocco, Austria, Poland, Portugal, Romania, Russia, Spain, Turkey, Ukraine and Hungary.

for the company to monitor and control progress while continuing its expansion. In total, Metro Group emitted 4.15 million tonnes of CO2 equivalents. The Group’s property company, Metro Group Asset Management, is developing and realising sustainable concepts with these aims in mind. It starts with the development of innovative ideas for sustainable construction and goes right through to supporting suppliers in complying with internationally recognised standards via the environmentally friendly procurement of materials. The company aims to use resources sparingly, to increase the energy efficiency of its properties and test the use of innovative technology. Its priorities are to heighten awareness and to persist in finding innovative solutions. With the expertise thus gained, it

can justify and more easily devise business methods in the years to come. Acknowledged experts and institutions, universities and external specialists support the engineers and experts of the company in coming up with ideas as well as in carrying out pilot projects. In connection with this, Metro promotes scientific knowledge and learning by means of lectures, symposia and competitions. One initial vital step is the standardised, usage-based recording of energy consumption of all energy-consuming installations companywide. Use of key data and evaluations can help pinpoint potential savings in time to take the appropriate measures. Today, when building new properties, it is easier to meet the demands of energy efficiency and climate protection by using the appropriate form of technology. It is quite a different matter with existing properties that, as a rule, were built to be anything but energy-efficient and forward-looking. The required measures being applied to existing stock include optimising technology such as air-conditioning, heating and building automation. Heat recovery, the increased use of daylight as well as the recycling of waste and paper are also part and parcel of resource management.

Practical measures and projects

Meydan is Metro’s first shopping centre to have been built without a central-heating boiler. The shopping centre, which was designed by London-based Foreign Office Architects (FOA), is located in the Turkish capital of Istanbul. The complex, which has a total surface area of 127,822 m2, required an investment of € 100 mln.

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Merter Shopping Centre Istanbul, Turkey Metro Cash & Carry Superstore Düsseldorf, Germany Meydan Shopping Square Istanbul, Turkey

Air conditioning (cooling and heating) is provided by one of the largest geothermal systems in Europe which saves 1.3 million kilowatt-hours of primary energy a year. The calculated CO2 saving for the system is 350 tonnes a year. The Meydan shopping centre opened in August 2007 and has one of the largest green roofs in the world – approximately 30,000 m2. The entire roof of the shopping centre is landscaped which was possible because the geothermal system replaces the air-conditioning units that otherwise would have been placed on the roof. The roof retains rainwater, thus reducing the burden on the sewer system. The plants filter dust particles and air pollutants while absorbing carbon dioxide from the air and emitting oxygen. Rooftop gardens also provide noise reduction of eight decibels and the evaporative cooling of the lawn provides additional cooling in the summer. Since October 2007, a stateof-the-art photovoltaic system has been in place on the roof of the Metro Cash & Carry superstore in Düsseldorf. The 9,200 m² system, half of which is equipped with new-generation solar panels, is one of the largest photovoltaic systems

on a commercial building in Germany. The Metro Cash & Carry superstore in Düsseldorf supplies electricity 365 days a year. With a total output of 230 kWp, the photovoltaic system generates a good 200,000 kWh electricity annually.

Pipeline

Following the successful opening of the Meydan Shopping Square, Metro is now working on another building project on the Bosporus called Merter, which will open in mid 2009. Merter will also include a sustainable climate control concept: an innovative solar chilling system will be built on the roof of the centre. Parabolic troughs form a field of collectors and capture the energy from the rays of the sun. The resulting hot water can be utilised in winter in the heating system of the building. In summer the steam from the hot water is transformed into cold air in an absorption refrigeration system and thus used for climate control of the building. Systems with high temperature collectors are particularly good for climate control in buildings, hotels and offices. ❧

The Nominees

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The Nominees

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METRO Group Asset Management Germany

received the Energy Efficiency Award third prize for the renovation of the German shopping centre Walzmühle.

Sustainability strategy

Practical measures and projects

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Merter Shopping Centre Istanbul, Turkey Metro Cash & Carry Superstore Düsseldorf, Germany Meydan Shopping Square Istanbul, Turkey

Pipeline

The Nominees

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GreenThinker 3 Glenn Aaronson

The Five e’s for a Sustainable Future

‘M

ulti Corporation has established its guiding principles and core values in the field of sustainability in a mandate, based on 5 E’s for a sustainable future. 1. Everlasting Design: Coherent public space should be connected with the structure of the city and the culture of its inhabitants. Multi creates concepts and designs that are both flexible and timeless, touching the magic of the location. 2. Ecological footprint: Multi optimises the use of land and reduces the consumption of resources. By both constructing new buildings more effectively and managing existing buildings more efficiently we can maintain a sustainable world. 3. Equal Benefits: Multi is committed to giving back to the community and to enriching people’s lives. This creates the foundation for the mutual trust that is required to generate momentum for joining forces to build a socially sustainable future. 4. Economic Viability: Multi is dedicated to creating healthy business environments and to ensuring that investments pay dividends now and in the future. 5. Education for All: Raising public awareness of the changes required is necessary to preserve our planet. Multi will appeal to each member of society to respond to this message which is vital for securing a sustainable future.’

General findings

The information that Multi Corporation provides on its website and in its annual report pales in comparison to other ‘green’ shopping centre developers. The website is not user-friendly, it has lots of images of projects, but information about the company is scant and information about its environmental goals non-existent. The 2007 annual report contains only one page on sustainable development and the information is general and vague. However, the company provides a number of concrete examples of sustainable projects and measures in the answers to the Green Thinker survey. Multi bases its sustainability strategy on five guiding principles, or E’s: Everlasting design; Ecological footprint; Equal benefits; Economic viability; and Education for all. Multi claims that it has held to far-reaching basic principles with regard to the environment, sustainability and corporate social responsibility since the 1990s through the manner in which it operates and the nature of its projects. ‘This was not based on a formal policy but

Glenn Aaronson joined Multi Corporation as CEO in 2007. Originally from Whitefish Bay, Wisconsin, USA, Aaronson has lived and worked in Europe for over a decade. After moving to London for Morgan Stanley in 1997, he worked for a stint with Credit Suisse First Boston as head of European real estate. In 2001 he returned to Morgan Stanley where he managed MSREF’s Italian real estate funds. In the two years before joining Multi, he worked in Frankfurt and London where he was Morgan Stanley’s head of investment for Germany, the Netherlands, Central Europe and Russia and co-head of European real estate asset management.

is rather a common understanding among its employees and management regarding the standards at which they must work as well as a collective quality awareness that forms a part of the “DNA” of Multi and its people,’ says Multi’s ceo Aaronson. However, in 2007, the company started work on establishing a sustainability policy and developing strategies, measures and instruments for its implementation

in work processes and in projects already started in that year. Multi presented its vision regarding sustainability and ideas for a sustainability policy at the ICSC congress in Amsterdam in April 2008. Work is now underway to prepare external communication about the project. The company says GRI (Global Reporting Initiative) will serve as a guideline. The website will be updated in the near future to take on a more consumer-friendly form. In 2004, the company won the American National Design Award for its environment design for the Nike European Headquarters in Hilversum, the Netherlands.

Sustainability strategy

People are pivotal in Multi’s philosophy, which means that not only buildings need to function well, but also the areas around them. Sustainability is also related to all the links in the chain: from the initial phase (choice of location and development), to the design phase (of buildings and areas), and the realisation phase up to the utilisation phase. It is Multi’s

The Nominees

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GreenThinker 3 Glenn Aaronson

The Five e’s for a Sustainable Future

‘M

General findings

Sustainability strategy

The Nominees

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The Nominees

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Multi Corporation the Netherlands

belief that sustainable location development has the greatest effect. Multi prefers building in developed or redevelopment areas. Community connectivity, which serves as the basis for future development, is of great importance here, along with accessibility. Design is not only concerned with healthy, energy-efficient buildings with responsible material usage and limited use of potable water, but also, particularly, with flexibility. This provides the best guarantee of a long lifespan and limited impact on the environment. With the realisation of projects the existing natural surroundings and cultural historical value of an area are treated very carefully. However, the greatest impact on the environment caused by buildings takes place when they are in use, and includes energy consumption, CO2 emissions and the flow of waste. Real estate in Multi Asset Management’s portfolio is utilised in a sustainable manner and according to ISO 140001. Multi has always implicitly included sustainability through its design driven and conceptual approach to projects. Other prominent aspects are projects in which innovative ways have been found to use space more intensively, such as in Forum Aveiro in Portugal, Beursplein in Rotterdam, La Vache Noir in Paris and Schlössle Galerie Pforzheim in Germany. This has helped Multi develop its conceptual approach, as well as technical knowledge. This knowledge is also kept up-to-date, in part, because external experts in the field of sustainability are involved with

Multi Corporation is one of Europe’s leading shopping mall developers, active in 20 European countries. The company was acquired in 2005 by Morgan Stanley Real Estate Fund, V. Founded in 1977 by Hans van Veggel and Ton van Dam, Multi has expanded from its Dutch base and is now active in 20 countries throughout Europe. The head office is located in Gouda in the Netherlands. It also has offices in Belgium, Luxembourg, UK, France, Germany, Czech Republic, Poland, Slovakia, Spain, Portugal, Italy, Greece and Turkey.

these projects too. The internal infrastructure for sharing knowledge, current information and enthusiasm is essential. Knowledge from all parts of the company has thus become available in all countries, which engenders a collective awareness of the importance of sustainability. Multi has set itself minimum sustainability requirements for each development, which are contained in its Policy Document. From 2008 BREEAM Good is being applied to retail and Very Good to offices, which will change to Excellent in 2012. Where projects allow, Multi will try to convince clients of the added value that comes with higher ambitions in this respect. Multi is also currently developing a Green Education Programme for its shopping centres.

Practical measures

Multi has completed many projects since its establishment. The company claims it had already developed and put into practice concepts for

sustainable building in the 1990s. When Multi Vastgoed developed and built the Arthur Andersen building in Amstelveen and the Nike Campus in Hilversum between 1994 and 1999 they were state-of-the-art projects in terms of comfort and environmental measures which have since become standard practice, including: – Natural ventilation; – Cooling/heating through the accumulative capacity of building mass; – Implementation of a grey water system; – Application of solar energy (for Arthur Anderson 270 m2); – Daylight-dependent lighting controls; – Lighting controlled by presence detection; – Use of HF lighting; – Heat/cold storage systems (Nike); – Higher insulation values; – Low EPC norm (35% under the norm); – Use of Polythene (PE) instead of Polyvinyl Chloride (PVC); – FSC-accredited hardwood; – Moss-sedum coverings on flat roofs.

Projects

Multi Corporation provides information on a number of projects that it has completed in the past decade or so but, with the exception of the Arthur Andersen office in Amstelveen and the Nike Headquarters in Hilversum, does not substantiate its claim that its projects are green. In the other examples that it presents, the company’s interpretation of sustainable development encompasses a broader definition of sustainability to include social aspects. Multi has completed projects in

European city centres that it claims blend ‘seamlessly’ into the existing fibre of the cities, such as the Musiskwartier in Arnhem city centre. This is an area that had fallen into disrepair and where extensive, low-value spatial use was transformed into a high-value area that is attractive to the public at large, with high density and a high economic value. This was done by extending the existing attractive city fabric and by linking developments to their surroundings. Other projects that it names include La Voice Noire (42,000 m2) in Paris which was opened in 2007, Schlössle Galerie in Pforzheim (20,000 m2) opened in 2005, Forum Aveiro in Aveiro (50,000 m2) opened in 1998, Beursplein in Rotterdam (67,000 m2) opened in 1996 and Stadsfeestzaal in Antwerp (19,000 m2)

opened in 2007. Multi claims that it has widely used technically innovative applications since the 1990s. In consultation with the owners and users, it is also spearheading the search for innovations that can be applied to new buildings such as Forum Duisburg. This shopping centre (57,000 m2) was completed in September 2008 and complies with BREEAM Very Good requirements. The complex contains a number of eco-friendly features including a block-type thermal power station with power-heat-cold coupling and optimised control of escalators.

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La Vache Noire Paris, France Musiskwartier Arnhem, The Netherlands Beursplein Rotterdam, The Netherlands Schlössle Galerie Pforzheim, Germany Forum Aveiro Aveiro, Portugal

Pipeline

Multi has a portfolio of 184 projects in various stages of planning and development (147 are secured) throughout Europe with a value of € 19.7 bn. These projects vary in size between 20,000² and 180,000 m². All of these projects fall under the ambition formulated in the Corporate Social Responsibility Policy Document with regard to sustainability. From 2010 the minimum requirement is for Multi projects to comply with BREEAM Very Good and from 2012 with BREEAM Excellent.❧

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The Nominees

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Multi Corporation the Netherlands

Practical measures

Multi has completed many projects since its establishment. The company claims it had already developed and put into practice concepts for

Projects

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La Vache Noire Paris, France Musiskwartier Arnhem, The Netherlands Beursplein Rotterdam, The Netherlands Schlössle Galerie Pforzheim, Germany Forum Aveiro Aveiro, Portugal

Pipeline

Country Watch Southern Europe

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Country Watch Southern Europe

Facts & Figures

Thinking verde By Heather O’Brian

Southern Europe is warming up to green building. The region still has a way to go compared to Northern Europe, but a number of leading developers are now jumping on the bandwagon.

taly, Spain and Portugal could hardly be described as being on the cutting edge when it comes to green building. Yet that doesn’t mean that sustainable building issues aren’t increasingly important in all three of these southern European countries. In Italy, the push for sustainable construction was started nearly twenty years ago by groups like Associazione Nazionale Architettura Bioecologica (ANAB), the national association for ‘bio-ecological’ architecture, but it has only recently begun to move into the mainstream. Green Building Council Italia was founded at the beginning of 2008. Spain has had a green building council since 1998 and has also shown a commitment to sustainability through its thriving wind energy business, currently the world’s third largest. While Portugal has no green building council as yet, it is home to an increasing number of green building projects and to Lisbonheadquartered shopping centre developer Sonae Sierra, which has gained a name for its environmentally-friendly malls.

The Gore Effect

While talk of green buildings is in vogue, so-called sustainable projects may lack substance. The sought-after Leadership

in Energy and Environmental Design (LEED) rating system requires a minimum of 26 points for its certification – a target some struggle to meet. ‘In Spain, sometimes people will tell you that they have a very sustainable building and they want to certify it LEED,’ says Aurelio Ramírez-Zarzosa, founder and president of Spain’s Green Building Council, ‘but when you scratch the surface, you see they have a maximum of 15, or sometimes just even eight points.’ Others take meeting the criteria more seriously. Spanish property developer Metrovacesa’s seven-storey Alvento Business Park development in Madrid was the first LEED certified European project, gaining a LEED Silver certification in 2005. Torre Iberdrola, the future headquarters of Spanish utility Iberdrola, scheduled to be completed in 2011, has been pre-certified as LEED Platinum, the highest LEED certification available. Located in the citycentre of Bilbao and the highlight of the city’s Abandoibarra regeneration project, the tower is designed by architect Cesar Pelli’s firm and will have a built area of 50,000 m2 distributed over 41 floors and a height of 165 metres. Among sustainable features are ‘bioclimactic walls’ with exterior double-glazing and interior single-

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glazing with windows that can be opened and closed. Ramirez-Zarzosa points to a marked increase in LEED and green building interest in Spain over the past year. He surmises it might be the combined effect of former US vice president Al Gore’s visit to Madrid last year to promote his film ‘The Inconvenient Truth’ and the downturn in Spain’s housing market. ‘People started to look at differentiation in the real estate market,’ he says. EPBD

Catch-up

Spain, Italy and Portugal are all in the process of implementing the European Union’s Energy Performance Buildings Directive (EPBD) although they are further behind than their counterparts in northern Europe. In Spain, EPBD implementation is provided for in the Technical Building Code and energy performance certificates, called for in the EPBD currently exist only on a limited level. Energy performance certificates are expected to be used shortly on new buildings in Portugal. Italy’s government has chosen to implement first the winter heating provisions of the EPBD, notes Mario Zoccatelli of GBC Italia, a portion of the directive that is easier to enact given

Italy’s temperate climate. Regions also play a key role in EPBD implementation, however. ‘In Italy, there are national but also regional rules (for building certification),’ explains Siegfrid Campana, president of ANAB, ‘but the certifiers are prepared on the regional level and this worries us. Some regions – like Emilia Romagna, Trentino Alto Adige, Tuscany and Lombardy – are further ahead.’ The province of Bolzano, located in the Trentino Alto Adige region bordering Austria, instituted a voluntary energy certification system called CasaClima in 2002. “Many people have adopted CasaClima because the building has more value,” notes Zoccatelli.

International standards

As Southern European property markets have become increasing international, the presence of global investors actively seeking to protect the value of their investments has helped the push towards higher building standards. ‘We get calls everyday from companies that are contacted by American investors who want LEED certification,’ says Zoccatelli. In Italy, one high-profile LEED project currently being constructed is a sweeping mixed-use redevelopment in Milan

known as Porta Nuova. The project is being developed by Hones and involves dozens of architects, including William McDonough, well known internationally for his sustainability work. The architect, based in the US, is designing an office building which starts with the use of solar and geothermal energy. Elsewhere in Italy, logistics service provider Prologis is also seeking LEED certification for a soon-to-be-completed logistics facility in Settimo Torinese, in the outskirts of the northern Italian city of Turin. Settimo Torinese is also the chosen location for the construction of the first 30 low-cost eco-sustainable houses to be built through a partnership formed between Italian cement producer Italcementi, one of the founding members of GBC Italia, and the firm of Bologna-based architect Mario Cucinella. In Portugal, Sonae Sierra last year inaugurated its 20th shopping mall in the country, the 8a Avenida in S. João da Madeira. The centre was certified ISO 14.001 for the implementation of best environmental practices throughout the construction phase and includes a number of sustainable design features. ‘There are companies that are starting to operate internationally that clearly

• Green Building Council Italia (www. gbcitalia.org) was established in early 2008. The association has yet to attract the country’s biggest property players. Founding members include cement group Italcementi, which has made sustainability a hallmark of its strategy and Mario Cuccinella Architects, one of the country’s most well-known architectural firms. The president is Mario Zoccatelli. • Aurelio Ramírez-Zarzosa is the president and founder of Consejo Construccion Verde Espana (Spain Green Building Council) (www.spaingbc.org), established in 1998. Both the Spanish and Italian green building councils are members of the US Green Building Council and promote LEED as the rating system for green buildings. • Portugal does not yet have a GBC. • A new 100,000 m2 Madrid headquarters for Spanish lender BBVA is among the newest noteworthy green projects in the region. Swiss architectural firm Herzog & De Meuron was chosen to design the complex, which BBVA said would seek LEED certification. • Another green building is Torre Iberdrola in Bilbao, Spain. The 50,000 m2, 165-metre high building will be the new headquarters for Spanish utility Iberdrola and has been precertified LEED platinum. • Porta Nuova is a sweeping urban regeneration project in the heart of Milan, Italy which is drawing on the work of dozens of internationally famous architects. • The Prologis logistics facility Settimo Torinese in Italy is also seeking LEED certification. • Leading green property companies in Southern Europe include Portuguese shopping centre developer Sonae Sierra; Portuguese property developer Pelicano; Iberdrola Inmobiliaria, the real estate arm of Spanish utility Iberdrola; Acciona Real Estate, owned by Spanish utility Acciona; and Pirelli Real Estate.

see (green building) as a competitive advantage, not only in terms of good will but also in lower operational costs,’ says company spokesman Tiago Vidal. ❧

Country Watch Southern Europe

Green Thinkers page 52

Country Watch Southern Europe

Facts & Figures

Thinking verde By Heather O’Brian

Southern Europe is warming up to green building. The region still has a way to go compared to Northern Europe, but a number of leading developers are now jumping on the bandwagon.

The Gore Effect

While talk of green buildings is in vogue, so-called sustainable projects may lack substance. The sought-after Leadership

Green Thinkers page 53

Catch-up

International standards

see (green building) as a competitive advantage, not only in terms of good will but also in lower operational costs,’ says company spokesman Tiago Vidal. ❧

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GreenThinker 3 Coen van Oostrom

Lean And Mean

‘I

have good news for young professionals in the real estate business. Green real estate development is not difficult at all, but does require a totally different, next generation, approach. As a green real estate developer, we believe we must not only design a climate-neutral building, but also develop real estate for our clients in a way that is as ‘lean and mean’ as possible. We strongly believe that ICT is bringing about a revolution for sustainable design and building. We are investing in new building information and technology that will enable us to halve building time and budgets with the highest level of prefabrication that we can achieve. In our view of the future, sustainable development does not stop with an energy-efficient design. When you look at the entire supply chain, you can use virtual design and construction to build offices more intelligently. The assembly of prefabricated parts in modern on-site factories can, for example, offset higher labour costs, tighter regulations for transport and air pollution as well as higher financing costs. Green thinker networks such as the Clinton Global Initiative or the World Economic Forum give a high level entrance to local real estate markets, on the basis of a shared goal: the sustainable society.’

General findings OVG Projectontwikkeling is an interesting

contender. The company’s website is not as detailed as the listed developers and there is no CSR report, but OVG definitely has a sustainability strategy and is keen to promote itself as a leader in this field in the Netherlands. Until now, OVG has focused exclusively on its home market, but it is currently engaged in a number of high-profile tenders in Germany. OVG is a relatively young company but has gained a leading position in the Netherlands over the past couple of years due to a client-oriented approach, which includes innovative sustainable development initiatives. The company has committed itself to the Clinton Global Initiative, under which it pledges to invest $1 bn in the coming five years in the development of sustainable buildings comparable to LEED Gold and Platinum building requirements. During the total lifecycle of the buildings OVG will reduce CO2 emissions by 1 megatonne compared with traditional developments. Dutch logistics group TNT has asked OVG to implement TNT’s Green Buildings initiative, recently announced as part of TNT’s Planet

Coen van Oostrom, 38, graduated from the Erasmus University in Rotterdam in 1995 in Financial Management. During his studies, Coen was involved in developing real-estate projects. After graduating, he took up a position with Antwerp-based Wilma Groep, where he specialised in developing large corporate housing solutions. In 1997, Coen founded OVG Projectontwikkeling. Today OVG is a leading commercial developer in the Netherlands. Van Oostrom is also a member of the board of the Sophia Children’s Hospital Fund; a member of the supervisory board of the Rotterdam Philharmonic Orchestra; Young Global Leader of The World Economic Forum; as well as a member of the Clinton Global Initiative.

Me programme. TNT’s new head office in Hoofddorp will be the first of several green offices to be built across the Netherlands and will be the first real certified LEED Platinum office project in Europe. Dutch ethical bank Triodos and OVG will build and manage offices for TNT that are guaranteed to be 100% CO2 neutral during the entire life cycle. Last December, the

company appointed Marlon Huysmans as director of its new sustainability centre and earlier this year, OVG launched an opensource website (duurzaamgebouwd.nl) to share information on sustainable innovation in real estate in the Netherlands. In February 2008, the company invited 14 high-profile Dutch politicians, scientists, entrepreneurs, journalists and executives for a summit to exchange ideas and knowledge on sustainability, to discuss the possibilities for mitigating the risks associated with climate change and to inspire each other to contribute to a sustainable society. The company has also converted its own rental car fleet to more environmentally friendly vehicles and claims to be the first carbon neutral real estate company in Europe. CEO Conrad van Oostrom is also an active member of the Rotterdam Climate Initiative, a platform for the business community, the authorities, citizens and other parties to join forces in creating a better climate for people, the environment and the economy. The concrete target is a 50% reduction in Co2 emission by 2025 compared to 1990, with structural economic growth. The company already has a

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GreenThinker 3 Coen van Oostrom

Lean And Mean

‘I

General findings OVG Projectontwikkeling is an interesting

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OVG Projectontwikkeling the Netherlands

record for building projects with sustainable features and boasts a truly impressive pipeline of innovative projects including TNT’s Green Offices already referred to. It is also working on a mall in Tilburg, the Netherlands, which will produce more energy than it uses, and a number of innovative projects in Germany.

Sustainability strategy OVG aims to offer its clients a sustainable

alternative to traditional buildings, which includes measures to reduce CO2 emissions by 100%. It claims that green alternatives that are cost efficient, or even save clients money, are the key to success. Indeed, it aims to formulate fit-for-purpose solutions that reduce (energy) costs in the long run. OVG has also calculated the impact of its own business processes with regard to emissions. Approximately 90% of the CO2 emissions are directly related to the operation of the building, with over 75% attributed to ventilation, lighting, heating and cooling. The company offsets emissions from air travel and internal processes, making it a 100% CO2-neutral company. OVG claims it always opts for an innovative and proactive approach: it strives to redefine the sector and encourage fresh ways of thinking among its corporate contemporaries. OVG is a strong advocate of cooperation and is convinced that by sharing the ideas and resources of industry leaders, governments, academics and civil society as a whole, it can overcome the obstacles to a harmonious future. To this end, OVG participates in the Clinton Global Initiative and the World Economic

OVG is a Dutch privately-owned real estate developer headquartered in Rotterdam. The company was founded by Coen van Oostrom, who has been the head of the group since its creation in 1997. The company is currently active throughout the Netherlands as well as in the German cities of Hamburg and Berlin. OVG has around 60 employees and posted revenues of € 326 mln last year.

Forum. OVG also organises and hosts collaborative meetings between prominent politicians, CEOs, NGOs and academics. These meetings allow participants to transcend the boundaries of their individual fields of expertise and to explore refreshing perspectives on contemporary challenges. OVG encourages employees to make environmentally sound choices – by promoting alternative methods of transportation, by redefining meeting arrangements and by minimising paper usage.

Practical measures and projects

A prime example of a cost-efficient green solution is the introduction of movement sensors that control lighting levels in working environments. OVG claims that its research shows that the break-even point of such sensors is reached after only two years, allowing a company to realise savings in the years that follow. OVG has set up a sustainability centre to gather information and share insights with operative units and safeguard best practices at all organisational levels. Marlon Huysmans was appointed last December as director OVG has until recently been exclusively active

in the Netherlands. A selection of the projects that OVG regards as green and sustainable developments includes the company’s headquarters at Las Palmas in Rotterdam, the Netherlands. This innercity redevelopment includes a multifunctional penthouse, which is suitable for both offices and apartments, and a green roof garden. The Prefab design of the penthouse allowed for ‘lean and mean’ construction on site. The project has a surface area of 25,000 m2 and was completed in Q4 2007. IT company Centric’s headquarters in Gouda, the Netherlands, achieved carbon reduction of almost 50% compared to the baseline year of 1990. This places the building in the top 10 sustainable buildings registered and measured as such in the Netherlands. The project was completed in July 2008 and has a surface area of 17,000 m2. Office Laan op Zuid is another project in this category. Energy-saving measures include an underground heat-and-cold storage system and automatic daylight adjusting lighting dimmers and activity detection.

Pipeline OVG made a commitment to invest

$1 bn in the next five years in the development of sustainable buildings that meet the LEED gold or platinum standard. The company has been commissioned to develop logistics company TNT’s Green Offices in the Netherlands. tNT’s green offices represent that company’s commitment to creating CO2 emission-free buildings. These offices will not emit any CO2 emissions after being built and

occupied by TNT, and will aim to reduce emissions by cutting back on commuting traffic. Green offices will not be conventional office buildings but a collection of flexible meeting places available for use by all TNT employees and situated close to public transport. The green office concept will be introduced as a pilot in the Netherlands, where TNT currently occupies about 100,000 m2 of office space. TNT has signed an agreement with a consortium consisting of OVG and Triodos Bank to build a series of green offices, including a new office in Hoofddorp to be completed by early 2010. This office will be the first real certified LEED Platinum delivered office project in Europe. The company is also working on the MaasToren in Rotterdam. One of the many innovative features of the overall concept 1 2 3 4 5

Centric Headquarters Gouda, The Netherlands MaasToren Rotterdam, The Netherlands Las Palmas Rotterdam, The Netherlands The Rotterdam Rotterdam, The Netherlands Eneco Headquarters Rotterdam, The Netherlands

is the intelligent use of the proximity of the River Maas. Along with water circulated by ground source heat pumps (GSHPs), the river’s abundant water supply is sufficient to operate the buildings’ fire sprinklers and climate control systems. The new head office for energy company Eneco in Rotterdam will be the first carbon neutral energy company head office in Europe. The building will be strategically positioned towards the sun for natural lighting and uses sustainable materials, colours and planting. The first building is scheduled for Q4 2010 and will have a surface area of 25,000 m2. OVG also has an exclusive agreement with Deloitte to develop its sustainable office at Zuidas Amsterdam. The total building will be 45,000 m2. Another project that OVG is working on in the Netherlands is The Rotterdam. Designed by Rem Koolhaas, the 165-metre highrise project will combine offices, apartments, hotel, leisure and retail into one vertical city. The company also recently revealed plans for the Netherlands’ first megamall in Tilburg. The mall will produce more energy than it uses due to energyefficient design and the local production of renewable energy. It will also feature a biogas and electrical tank station for a new-generation environmentally friendly cars. OVG also has a pipeline of ecofriendly projects in Germany, but these were still under embargo at press time. ❧

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OVG Projectontwikkeling the Netherlands

Sustainability strategy OVG aims to offer its clients a sustainable

Practical measures and projects

Pipeline OVG made a commitment to invest

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GreenThinker 3 Carlo Puri Negri

Ecobuilding The Future

‘T

he claim “Building the Future” expresses Pirelli Real Estate’s commitment to act as an agent for quality growth by creating value for all its stakeholders through innovation, internal capitalisation of know-how and sustainability and by starting from an understanding of the trends and real needs of the market and the community. For us “Building the Future” means first and foremost assuming the responsibility arising from being a benchmark player in the real estate sector, in full knowledge of the importance that this sector has for the economic, social and environmental framework. Our Ecobuilding development programme is an eco-sustainable real estate concept for environmentally friendly construction. The project will involve the construction of residential and commercial buildings that will focus on four core standards: efficient energy, not only for winter heating but also for summer cooling; the use of eco-compatible materials; the use of renewable resources and comfortable living. The commitment to continuously improving the standards of energy efficiency and eco-compatibility is a priority for Pirelli RE whose objective is to be ahead of sector legislation by offering quality, highly efficient, environmentally friendly solutions.’

General findings Pirelli Real Estate (RE) launched an ‘eco-

building’ programme in 2007 aimed at reducing environmental impact through the reduction of energy use, use of renewable energy sources and eco-friendly materials in residential and commercial properties. Pirelli says it wants its new projects to qualify immediately for the A-rating under the energy certification, which exceeds legislative demands. The company has also set targets for the reduction of its own energy use which it measures and records as part of its Corporate Social Responsibility (CSR) policy. Pirelli RE has a well laid-out CSR policy, covering all the elements of such reports, from corporate governance to environmental impact, and social and economic responsibilities. The report was written in accordance with the Sustainability Reporting Guidelines of the Global Reporting Initiative (GRI), and sustainable performance is analysed according to Key Performance Indicators (KPIs) developed on the basis of GRI’s G3 guidelines. The CSR policy also includes good examples of green

Carlo Alessandro Puri Negri, 56, became chief executive of the real estate business of Italian tyre and cable group Pirelli in 1991. The company was then known as Milano Centrale, and had only a dozen or so employees. Real estate was then a marginal part of its business. He previously worked as a producer at the Venice Biennale from 1975 to 1977 and held various positions at the Espresso and Mondadori media groups until 1988, when he became director of the real estate company Carignano. In 1989 he joined the Pirelli Group as a member of the board of directors. In 2002, Puri Negri was voted Real Estate Maker of the year by the MIPIM trade fair organisation, making him the first Italian to receive the honour. He is also a board member of Italian real estate association Assoimmobiliare and a member of Harvard University’s Real Estate International Advisory board.

projects developed in accordance with the company’s ISO 14001-certified Environmental Management System (EMS). ‘Green’ characteristics of individual projects are well documented. The

website includes a separate section on the company’s eco-building programme, which lists a number of projects not found elsewhere in the CSR report or the website. These include residential, tourism, industrial, office and commercial projects. The company uses an energy labelling certification process to define energy use. Pirelli is included in the Dow Jones Sustainability STOXX and in numerous other sustainability indices, including the Axia Euro Ethical Index, the Axia Euro CSR Index and the Axia CSR Index. Pirelli RE is a long-time supporter of Fondo per l’Ambiente Italiano (FAI) the Italian Environmental Foundation, founded to foster the protection, conservation and enhancement of Italy’s environmental and artistic heritage.

Sustainability strategy Pirelli RE believes in finding a balance

between economic goals and deeply-held corporate values. Quality of development means sustainable development, not only for the enterprise but also for the ecosystem and the community as a whole.

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GreenThinker 3 Carlo Puri Negri

Ecobuilding The Future

‘T

General findings Pirelli Real Estate (RE) launched an ‘eco-

projects developed in accordance with the company’s ISO 14001-certified Environmental Management System (EMS). ‘Green’ characteristics of individual projects are well documented. The

Sustainability strategy Pirelli RE believes in finding a balance

between economic goals and deeply-held corporate values. Quality of development means sustainable development, not only for the enterprise but also for the ecosystem and the community as a whole.

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The Nominees

Pirelli Real Estate Italy

One of its slogans is ‘building the future’, which means having an innovative, longterm vision and the ability to engage actively in quality development. Pirelli RE’s Sustainability Model is based on the principles of the United Nations Global Compact, which the Pirelli Group joined formally in October 2004 with a letter addressed to former UN Secretary General Kofi Annan. The Global Compact requires companies to implement and support, within their sphere of influence, 10 basic principles in the areas of human rights, employment standards, environmental issues and the fight against corruption. The principles enjoy universal consensus and are derived from the Universal Declaration of Human Rights, the International Labour Organisation’s Declaration on Fundamental Principles and Rights at Work, the Rio Declaration on Environment and Development, and the United Nations Convention Against Corruption. In accordance with the first principle of the Policy for Health, Safety, Environment and Social Responsibility, Pirelli RE uses specific management systems to improve the quality, efficacy and efficiency of its procedures, in an effort to further reduce their impact on employees’ health and safety and on the external environment. All of Pirelli RE’s service provider subsidiaries have set up quality management systems. Starting in 1999, they have had their systems certified according to ISO 9001. In 2002, Pirelli RE Facility Management set up an environmental management system, which is ISO 14001 certified. Ingest Facility, acquired in 2007, is also

Pirelli Real Estate is an Italian real estate fund and asset manager listed on Milan’s stock exchange. Its foundation dates back to the beginning of the 1990s, when Italian tyre and cable group Pirelli & Co. took over Milano Centrale, which owned, among other things, a large real estate portfolio in Northern Italy. Today Pirelli RE has assets under management of almost €19 bn, comprising €16.5 bn in real estate and development projects and €2.2 bn in NPLs (Non Performing Loans) assets. The group’s strategy is to manage real estate funds and companies in which Pirelli RE co-invests through minority stakes. Its main activities consist of providing professional management services such as facility management, property management, and credit servicing as well as investing in residential, commercial and NPLs across Italy, Germany, and Eastern Europe. Around 50% of the group’s assets are located in Italy, with Germany representing a 48% share. Commercial properties make up the largest part of Pirelli RE’s portfolio (63%), with residential assets accounting for 22% and NPLs for 12%. The company is 55%-owned by Pirelli & Co.

certified to the standards of ISO 14001. In its approach to the environment, Pirelli RE follows the principles stated in the Ethical Code and in the Pirelli Group’s Policy on Health, Safety, Environment and Social Responsibility. The policy approved by the Pirelli Group in June 2004 has further improved the balance between environmental sustainability and economic growth. Pirelli RE considers the protection of the integrity, health and welfare of its employees and

of the environment as one of the primary needs to be respected in operating its business, and embraces the concept of sustainable growth. It aims, among other things, to use material resources responsibly, with a view to achieving sustainable growth that respects the environment and the rights of future generations; to establish and maintain appropriate procedures to evaluate and select suppliers and subcontractors based on their commitments to social and environmental responsibility. It also strives to monitor and reduce the environmental impact of its own operations; recommend environmentally-friendly building management solutions to customers who own properties; and plans new constructions with an emphasis on social, economic and environmental sustainability.

Practical measures and projects Pirelli RE’s care in limiting the environ-

mental impact of its own business has led it to focus on energy conservation. The Milan headquarters are now served by a district heating system: centralised heating provided by Azienda Elettrica Milanese (AEM) through a remote thermal power plant that produces hot and cold water distributed through substations. District heating will also be used for Headquarters 2, currently being designed. Another example of the company’s commitment to the more rational use of energy is the cogeneration plant at the Ivrea office park, where Pirelli RE companies work alongside companies such as Vodafone, Wind, Olivetti, and

Olivetti MS. The plant, owned by Pirelli RE and managed by Pirelli RE Integrated Facility Management, provides heat and electricity the company’s neighbours. A similar solution is being implemented at the Pozzuoli complex. Centralised coordination by its Quality & Processes department ensures that all group companies rendering services operate according to quality criteria and satisfy internationally recognised standards. The system is reinforced by quality

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Pirelli Re Headquarter Milan, Italy Mikroklimazonenhaus, Hanover, Germany Eastgate Park Portogruaro, Italy Edificio Tredici Competition Biococca, Italy Progetto Malaspina Milan, Italy

control procedures linked to the company’s IT systems and by customer satisfaction surveys. In 2008 Pirelli RE hopes to maintain its service providers’ customer satisfaction levels above 85% and to renew the environmental certifications already obtained. The company monitored the environmental impact and energy consumption of its main offices in 2007 and also monitored the quantity and type of special waste produced at its main offices. Energy certification gives a clear, immediate picture of a building’s energy needs based on the energy efficiency class assigned, ranging from A to G, and makes it possible for consumers to compare efficiency levels and understand the most efficient, cost effective improvements to make. Pirelli RE’s new developments are designed to higher standards than are required by legislation. New residential buildings under construction are already in Energy Efficiency Class A (30 kWh/year/m2) and exceed the standards provided for by law. In 2007, Pirelli RE launched Ecobuilding, an integrated real estate programme company for environmentally-friendly construction. The project involves new development projects in all market segments, from residential to commercial, and is based on four main drivers: energy efficiency; use of eco-friendly materials; use of renewable resources; and living comfort.  Pirelli RE calls Mikrokli-

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mazonenhaus in Hanover’s Kronsberg the benchmark for sustainable living. This residential project with a surface area of 9,000 m2 integrates an ecologically and economically sound approach. In Italy, it has developed Progetto Malaspina in Pioltello, just outside Milan. This project, which combines residential and office buildings, was developed together with Aedes and Banca Antonveneta and obtained Energy Efficiency Class B.

Pipeline Pirelli RE’s winning project for

the 2007 Edificio Tredici competition involves the conversion into offices of the former cafetaria and reception area of the Breda industrial complex in Biococca. Another project in the pipeline involves the expansion of Pirelli RE’s existing headquarters. The energy requirements of this building will be significantly less than the mimimum standards for certification by iiSBE Italia. The project will also facilitate reduced energy consumption during the summer, generating savings of up to 20–30% compared to conventional buildings. The 3M office building Pirelli RE is working on at the moment has external insulation that is designed to ensure effective control of natural light through a solar-shading system. The system is aimed at curbing the amount of energy needed for airconditioning. ❧

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The Nominees

Pirelli Real Estate Italy

Practical measures and projects Pirelli RE’s care in limiting the environ-

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Pirelli Re Headquarter Milan, Italy Mikroklimazonenhaus, Hanover, Germany Eastgate Park Portogruaro, Italy Edificio Tredici Competition Biococca, Italy Progetto Malaspina Milan, Italy

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Pipeline Pirelli RE’s winning project for

Country Watch Central and Eastern Europe

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Country Watch Central and Eastern Europe

developed and buyers have a wider range to select from. ‘Once tenants have choices they will choose buildings with superior comfort and performance,’ she says, adding that buildings without green features will quickly become obsolete. The tighter competition resulting from current market conditions will also play a role in steering international investors towards product with a more viable longterm life. International occupiers will play a role in changing the expectations of the local market as well. ‘CEE occupiers aren’t as demanding when it comes to the environmental performance of the building as in Western Europe. This will also change. We are already seeing demands from our multinational occupiers within the region,’ says Reece. Ultimately, green building is in the occupiers’ best interest. ‘At the end of the day there is a benefit; energy costs are lower so operational costs are going to be lower.’ ❧

Grey to Green By Michael Stein

Construction standards are changing rapidly in Central and Eastern Europe as East catches up with West.

ccording to Graham Reece, regional director of project management for Prologis in CEE, the region is ‘catching up very fast.’ While the further implementation of the Energy Performance of Buildings Directive (EPBD) in the EU’s newest members in 2009 will ‘drive developers and construction companies to consider energy efficiencies more than before,’ he nevertheless insists that the gap between East and West is not all that wide. ‘Green building initiatives in Western Europe have only been considered seriously by logistics developers in the last five years. The minimum national construction standards for environmental performance have increased rapidly during this period and are now quite demanding in Western Europe. In the same way, we expect construction standards to change rapidly in CEE.’ EU funding for sustainable development is also key. According to Romania’s Green Building Council, the country will be allocated a total of €4.5 bn from 2007 to 2013 for environmental initiatives, excluding the €30 bn ear-marked from EU structural funds.

Grass roots support

While initiatives from Brussels will play a role, they are only one among many aspects of the CEE’s green building movement. Furthermore, green initiatives are not confined to the region’s EU member

states. In June property consultants Colliers launched its Regional Initiative for Sustainability and the Environment (RISE) in Southeastern Europe, and is actively pursuing sustainable building practices in countries relatively new to the green movement, such as Montenegro, Serbia and Bulgaria, among others. According to Erin Inglish, regional sustainability advisor at Colliers in Sofia, the introduction of Green Building Councils will be a particularly significant factor: ‘Green building councils are grass roots movements and are playing a huge role in bringing in information.’ For Inglish knowledge of both the practices and benefits of green building is the key factor in bridging the gap with the greener west. ‘There isn’t a shortage of technology. There’s a shortage of implementation, information and expertise,’ she says. To counteract the lack of green building knowledge Inglish conducts online seminars in which over 200 consultants from the region participate. The seminars use the Leadership in Energy and Environmental Design green building rating system (LEED) developed by the US Green Building Council as a guide, and are intended to build up the long-term supply of people with a depth of knowledge about sustainable building practices. Increasing expertise, on the other hand, will only come through experience. As international experts begin to undertake green building projects in CEE in partnership with local architects, devel-

opers and construction companies, sustainability is bound to become less an abstraction and more of a standard practice.

New Markets

In the Albanian capital of Tirana, Colliers is involved in just such a project. The Tirana Business Park will not only be the first large-scale office development in the country, but will be Albania’s first certified green building. Designed by Japanese architect Shigeru Ban in cooperation with local counterparts, and developed with UK-based construction company Gleeds, the office will be built according to LEED standards. Ban was previously involved in a sustainable project with Colliers on Montenegro’s Velika Plaza, which will provide the country’s longest beach with a sustainable waterfront community. The project is currently up for tender, with companies such as Trigranit and Prufrock Investments having expressed interest.

More than just ecology

Green buildings will be making their mark in some of the region’s larger and more established markets as well. According to Rainer Kohns, global coordinator of Green Building Activities at Siemens Real Estate in Munich, the company’s new headquarters in Moscow is expected to be granted a Gold LEED certificate, which will be among the first on the Russian market, if not the very first case of the higher-tier certifica-

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Facts & Figures

tion. The project is due for completion in mid to late 2009. Siemens is also aiming to achieve the first LEED certificate for its headquarters in Turkey. Another factor in sustainable building which holds particular significance for the still transitional societies of CEE is its social dimension. ‘It’s not only energy saving but also social sustainability,’ says Guy Perry, president of design and development services company Investment Vision + Environments (IN-VI). Having participated in master planning some of the largest new town developments in the region, such as Budapest’s Corvin Promenade, Miasteczko Wilanow in Warsaw, and Centrop Valley in Bratislava, Perry considers it crucial to ‘allow the community to be more socially integrated,

more democratic, more transparent.’ For the developments this translates into a turn away from closed, gated communities to accessible spaces with residential space targeting a range of economic groups among other features. Even Russian new town developments, previously tending towards blocked-off exclusivity, are beginning to incorporate a socially sustainable approach.

Greener options

For all the progress being made on the CEE market, hurdles remain. The current tendency in emerging markets of building to sell does not lend itself to a commitment to sustainable building practices. According to Inglish, this will change as the markets become more

• Green Building Councils (GBC) are just beginning to emerge across the region. Poland’s GBC has come farthest, having been granted ‘emerging council’ status by the World Building Council (WBC), while Romania’s recently founded GBC is in the process of seeking WBC accreditation. • Without their own certification systems, one option is to use certification from elsewhere. Although LEED and BREEAM standards are both tailored to their countries of origin, the US and UK respectively, Erin Inglish, regional sustainability advisor at Colliers, maintains that certification will grant projects a level of respect unavailable to them until their country adopts systems of its own. Meanwhile both systems are branching out internationally. While some companies operating in CEE, such as Siemens, use LEED, others, such as AIG Lincoln use the BREEAM standard. Romania’s GBC is supporting projects using either system and is preparing a review to decide which certification to adapt. • According to Inglish, the office sector will be the main focus of the region’s green build.

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Country Watch Central and Eastern Europe

Grey to Green By Michael Stein

Construction standards are changing rapidly in Central and Eastern Europe as East catches up with West.

Grass roots support

opers and construction companies, sustainability is bound to become less an abstraction and more of a standard practice.

New Markets

More than just ecology

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Facts & Figures

Greener options

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GreenThinker 3 Gary Anderson

Brownfield Reclamation

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ur basic buildings are some of the most energy efficient in the business. We have pioneered the use of a range of renewable energy devices. We seek landscaping solutions that enhance biodiversity, provide flood mitigation and create pleasant environments for people to work. And to achieve the best possible standards, we are always keen to work with environmental experts in their respective fields. Prologis is committed to reclaiming underutilised or environmentally contaminated properties known as brownfields around the world. By reclaiming former industrial sites, military bases, airports and blighted real estate, brownfield redevelopment improves the environment by removing development pressure from open land, removing soil contaminants and reinvigorating wildlife habitats. As part of the land procurement and entitlement process, Prologis completes an Environmental Impact Assessment (EIA) for every project and identifies threatened or impacted species and habitats during the assessment process. We are currently working to formalise reporting for our environmental impact mitigation and, working in partnership with agencies and organisations, will go above and beyond where feasible.’

General findings

Prologis Europe is part of the US Prologis group which has demonstrated a very clear commitment to sustainability in recent years. The company has published a corporate responsibility report in line with GRI (Global Reporting Initiative) reporting standards since 2006 with a number of clear targets. The report and other sections of the company’s website lay down firm-sounding commitments for both the US and the UK, but are less clear on Europe, where there is no single certification system. In the US, Prologis is committed to LEED certification on all new projects, while all projects in the UK are submitted for BREEAM certification. In Europe, Prologis has said it will ensure its buildings comply with the highest possible standards in these countries. The corporate responsibility report and other material available on the website provides a good range of ‘green’ projects in Europe, the US and Asia. These include award-winning projects in the UK and France, plus innovative projects in the Czech Republic and Spain. The company makes extensive use of photovoltaic panels

Gary Anderson joined Prologis in 1996 with initial responsibility for developing Prologis’ global expansion strategy. In his current position as president and chief operating officer for Prologis’ operations in Europe, Anderson has overall responsibility for the company’s activities in the 14 European countries in which it is active. Anderson has an MBA in finance and real estate and a BA in marketing.

on its warehouses. It provides quantifiable targets for the reduction of energy use, waste and recycling and reports on progress and results. Prologis claims it is committed to reducing its own (office) carbon footprint to zero, but currently this is almost entirely via carbon offsets and carbon offsetting projects. Prologis is also committed to reclaiming underutilised or environmentally contaminated properties. The company is one of few entrants to have provided data on the economic benefits of sustainable developments, claiming that they improve occupancy rates and deliver higher returns on investment. Prologis believes warehousing and

logistics facilities offering innovative energy, emissions and waste solutions will lease more quickly and at higher rates. It has also started retrofitting energy-saving measures in the US, but does not say whether it will extend this to Europe and beyond.

Sustainability Strategy

Prologis claims it actively engages key stakeholders, such as customers, employees, investors and the local communities in which it operates to solicit feedback and further its understanding of the sustainability issues that are the most relevant to them. The company believes that environmentally-friendly facilities will become increasingly sought after by customers. By integrating these features in its developments and retrofitting existing infrastructure, Prologis says it is creating a class of environmentally superior buildings. Its aim is to produce buildings that are energy-efficient, cost-effective and highly desirable. The company has implemented waste diversion and potable water reduction strategies at various global projects and established a mechanism

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GreenThinker 3 Gary Anderson

Brownfield Reclamation

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General findings

Sustainability Strategy

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Prologis Europe the Netherlands

for tracking progress on these initiatives during 2007. Following the adoption of sustainability regulations in the UK, Prologis established a stringent vendor process throughout Europe in an effort to ensure that green building practices exist throughout the supply chain during construction and development. The additional due diligence required of developers in selecting sub-contractors and other vendors on a project helps to ensure that all aspects of the project meet with socially responsibly criteria. Prologis claims to be the first US-based real estate company in the world to release an annual GRI-based Sustainability Report.

Practical measures

Prologis conducts an Environmental Impact Assessment (EIA) for every project and identifies threatened or impacted species and habitats during the assessment process. The company has implemented a number of energy-saving technologies and renewable energy techniques at various projects throughout Europe. The new Sainsbury’s distribution depot at Prologis Park Pineham, Northampton is the first warehouse with a zero carbon footprint while the Prologis Park Chanteloup near Paris is one of the largest solar panel installations in France. The company’s most ambitious industrial sustainability project is its Sideway park located north of Manchester, England. The company continues to work on increasing its use of recycled materials and understanding the recycled content of steel and concrete – two of the largest

Prologis claims to be the world’s largest owner, manager and developer of distribution facilities with a presence in 118 markets across Europe, North America and Asia. The company has more than 47 mln m2 of industrial space in over 2,775 properties, representing over $36.3 bn of assets owned, managed and under development. Customers include manufacturers, retailers, transportation companies, third-party logistics providers and other enterprises with large-scale distribution needs. The company is headquartered in Denver, Colorado, and has approximately 1,500 employees worldwide. Prologis Europe is headquartered in Amsterdam. In Europe, Prologis owns and operates more than 10 million m2 of distribution facilities in 14 countries. The company’s Denver HQ is LEED-certified.

items used in warehouse construction. Prologis has established company-wide targets for new construction that it aims to achieve by 2010: – Install renewable energy sources that have a combined generation of over 25 mln kWh per year. – Reduce the use of potable water for landscape irrigation on all new projects by 50% in accordance with LEED. – Utilise 20% recycled content based on cost of all new projects. – Divert 75% of construction waste from disposal in landfills and incinerators on all new projects.

Projects

The new Sainsbury’s distribution depot at Prologis Park Pineham, Northampton

is the first warehouse with a zero carbon footprint and Prologis claims it is at the cutting edge of sustainable industrial design. Before practical completion in October 2007, it earned the first European Property Green Award, the IAS Sustainable Achievement Award, a BREEAM Excellent rating and the LEED Gold award. The park won the Green award for using a variety of advanced environmental features and technologies designed to significantly reduce energy consumption and carbon emissions. The heated structure is designed to use 25% of the energy of a typical UK distribution shed and emit 50% fewer carbon emissions than a Part L 2006 compliant warehouse. All suppliers to Pineham have signed up to a carbon credit system, valued at 110% of the construction process. These credits fund green initiatives around the world to reduce carbon generation. The process of carbon offsetting involves two steps. Firstly, Prologis undertakes a detailed cradle-to-grave assessment to establish the environmental impact of all elements of its buildings, process and management activities. During the construction of the Sainsbury’s buildings, for example, a tally was made of every road journey to site and the carbon implications added to the total carbon bill. The second step involves buying carbon offset credits from emission reduction projects. Such projects will already have prevented or removed an equivalent amount of carbon dioxide elsewhere. A raft of sustainable design features and carbon savers have been used at Pineham: a combined heat and power plant with

surplus heat driving refrigeration plant; onsite resource recycling unit; 15% roof lights; intelligent, low-energy lighting systems; innovative wallmounted photovoltaic panels; solar walls; energy-efficient light systems; extremely airtight construction. The new warehouse operates up to 75% more efficiently than the standard distribution shed. In addition, the installation of a rainwater harvesting system will save 16 million litres of water a year, to be used in a variety of processes. Located south of Paris, Prologis Park Chanteloup is one of the largest solar panel installations in France. The photovoltaic solar panels generate over 407,000 kWh annually. The park received the 2005 Logistics Innovation Award at Europe’s International Week of Transportation and Logistics conference. Wetlands restoration is one

way in which Prologis endeavours to minimise the impact on the environment of its distribution parks. At Prologis Chanteloup outside Paris, the company preserved 95 acres of wetlands and also developed a rainwater harvesting system to supply water for park landscaping. Prologis Park Penedes near Barcelona, Spain, is host to a Prologis photovoltaic solar panel installation. It is the first industrial facility in the country to participate in a government-sponsored ‘solarfarming’ programme. The company’s US headquarters in Denver is LEED-certified and contains a number of sustainable features including energyefficient glass and a precision lighting system.

Pipeline

Prologis Park Sideway, located north of Manchester in the UK, is the company’s most

tious industrial sustainability project. The Sideway Park is being built on a 64-acre reclaimed coal mine and will serve as a test bed for green warehouse construction practices. It will include solar panels, heat-absorbent walls, high-efficiency lighting and water systems, links to mass transit, and an internet-based carpooling system. In Bradford, Prologis has entered into a 50/50 joint venture with Marks & Spencer to co-own and develop a retail distribution centre. Practical completion is expected at the end of 2008 and the building will be internally retained and managed. The development will be constructed in line with Marks & Spencer’s Plan A sustainability agenda. The retailer’s five-year, 100-point eco-plan includes a commitment to make its stores in the UK and Republic of Ireland carbon neutral. ❧

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Prologis Park Chanteloup Paris, France Prologis Park Pineham Northampton, England Prologis Park Penedes, Barcelona Prologis Park Sideway Manchester, England

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Prologis Europe the Netherlands

Practical measures

Projects

The new Sainsbury’s distribution depot at Prologis Park Pineham, Northampton

Pipeline

Prologis Park Sideway, located north of Manchester in the UK, is the company’s most

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Prologis Park Chanteloup Paris, France Prologis Park Pineham Northampton, England Prologis Park Penedes, Barcelona Prologis Park Sideway Manchester, England

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GreenThinker 3 Jaap Blokhuis

Business in Balance

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edevco’s sustainability approach can best be summarised by our key principle: Business in Balance. We strongly believe that a balanced approach to business ensures the best results, both commercial and personal, in the long term. Business in Balance means combining People, Planet and Profit in a balanced way. In this vision, people and the world around them are inseparably connected. It is our ambition to rank among the best real estate organisations in terms of economic and environmental performance, whilst setting high ethical standards, and complying with and anticipating all legislation relating to our activities. We are convinced that we will achieve this by setting annual targets on key performance indicators and reporting on our progress compared to these indicators. Our sustainability policy can be characterised as a policy of small steps that gradually lead to concrete improvements. This makes more sense to us than idealistic requirements that can hardly be implemented locally in reality.’

General findings

Redevco has a small, but hard-to-find environmental section on its website, as well as a limited CSR section in which it claims sustainability is an integral part of how it does business. Following a fairly standard summing up of the impact of buildings on the environment and the EU’s moves to introduce energy labels, Redevco says it aims to assess its new development projects according to global green building standards. It says it will use green building standards as a guide and an objective tool in making its buildings green, taking into account land use, energy use, water, building materials, occupant health and wellbeing, transport, pollution, ecology and management. Redevco’s parent company, Cofra, has a separate environment section, also limited. Cofra claims to have been carbon neutral since 2005, albeit through carbon offsets and carbon credits. Cofra is also involved – along with the Good Energy Foundation - in the development of renewable energy sources. There is no reference on the Cofra website to environment policies specific to its real

Jaap Blokhuis has been the Chief Executive of Redevco Europe since late 1999. He previously worked for ING, which he joined in 1983 being responsible for market research, property and asset management. In 1990 he was appointed general manager of ING’s new London office and two years later moved to the US as vice president of ING Real Estate in Washington DC. He subsequently went back to the Netherlands to work as Director Real Estate Asset Management/Fund Management for five years until 1999. During this period he was responsible for establishing the first ING property funds. He has a degree in Social Geography and City Planning from the Vrije Universiteit Amsterdam.

estate activities. Redevco is building a socalled eco-store for retailer C&A (part of Cofra Holding), targeting a 50% reduction in energy use, plus the use of renewable energies to further reduce its carbon footprint. Further C&A eco stores are planned. The company is currently preparing 11 green projects in Belgium, France, Germany, the Netherlands, Turkey and the UK. However, this information was found in a news story

rather than on Redevco’s website. The only information on the website dealing with these issues is the press release outlining the plans for the C&A eco-store. It seems that Redevco is committed to green building, but the information on its ongoing projects cannot be found on its website. Like other real estate business units (most notably ING RE), the company relies heavily on the CSR stance taken by its parent company. The corporate brochure emphasises the company’s ethical and social responsibilities, but makes no specific mention of environmental policies or practices. Press releases about new projects may include the bald statement that buildings will be built to be environment friendly, but not much more. The Redevco Newsflash – on its website – includes an interview with COO Jaap Gillis who calls on more companies to adopt sustainable building standards. He says the company is committed to ‘green’ building on new projects and possibly for redevelopment projects. Redevco claims to have a separate sustainability report, part of Cofra’s sustainability report, but adds that this is ‘treated

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GreenThinker 3 Jaap Blokhuis

Business in Balance

‘R

General findings

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Redevco

The Netherlands

as confidential’. If Redevco is behaving in a sustainable manner, why the reluctance to disclose the details? It is a private company and the lack of compulsion to disclose financial details has spread into other areas. In the Green Thinker essay, the company says that it is against its ‘ethics’ to disclose detailed information on its corporate philanthropy. In the same essay, the company says its sees companies such as PRUPIM, Hammerson, Hermes Real Estate and Sonae Sierra as leaders and examples to follow in the field of sustainable development and reporting. More is the pity that it does not emulate them on the reporting front.

Sustainability strategy

It emerges from the answers to the Green Thinker Survey that Redevco’s sustainability report is for internal use only. The company claims to do a great deal to help employees incorporate social responsibility in their approach to their work and clients. This includes the publication of (internal) documents covering social responsibility issues on its intranet, together with articles on its business integrity policy and codes of conduct. The company also distributes an internal monthly newsletter on sustainability for all employees. The board informs all new employees of the firm’s corporate philosophy, including social responsibility and sustainability policies, during introduction days. The company has also set up sustainability working groups in each local office. And its list of requirements for external suppliers focuses strongly on sustainability.

Redevco began as the in-house real estate arm of the C&A empire. In 1999, this division was renamed Redevco, a distinct and completely independent real estate management company. Redevco manages and develops one of the largest retail real estate portfolios in Europe, with properties in top locations throughout its major cities. The company is active in 21 countries, mainly in Europe but also in Asia, where it recently opened an office in Hong Kong and is taking the first steps towards building a real estate portfolio of retail investments and developments in this region.

The company says it wants its new development projects to be assessed by an independent third party using an inter nationally recognised standard, BREEAM. Redevco considers a building to be green only when it has BREEAM certification and says it has all its buildings assessed according to BREAAM, at least for projects with an investment value of more than €10 mln. Nothing is mentioned about projects costing less than €10 mln.

Practical measures

In 2006, Redevco’s property at 40 Princes Street, Edinburgh, was certified according to the BREEAM assessment and initial assessments were made of 120 Moorgate and 1–4 Connaught Place, London. BREEAM assessments have been carried out on other new developments. Redevco Belgium has installed PV (photovoltaic) panels on the roofs of its development project in Wilrijk, where PV trackers have also been installed by

its car park to follow automatically the path of the sun throughout the day. Redevco Netherlands will develop both the prestigious Ravel project (at least 15,000m2 of retail space) on Amsterdam’s Zuidas according to green standards. Redevco is a supporter of local green building councils. In co-operation with ABN Amro, SBR and DuraVermeer, the company took the initiative to establish the Dutch Green Building Council. It is also a member of the German Sustainable Building Council and supports the launch of the Turkish Green Building Council. As a participant in the ICSC Sustainability Working Group, Redevco has taken the initiative to develop a pan-European BREEAM standard. Redevco also has appointed its first BREEAM assessor and Sustainability Manager in the Netherlands, Derk Welling.

Energies, also a member of the Cofra Group and a leading investor in renewable, wind and solar energy, and in power management technology for the building industry. Redevco is exploring the possibility of installing PV panels on

Projects and pipeline

Redevco says its pipeline is by definition green, since its policy is to carry out BREEAM assessments on all new developments projects with a construction cost in excess of €10 mln with the intention of obtaining a rating of at least ‘very good’. The company is currently preparing several green projects in France, Germany, the Netherlands and Turkey. Examples are shopping centres in Turkey (Ankara, Manisa and Erzurum), the first C&A Eco Store in Mainz, Germany, and a project in Bordeaux, France. In addition to its new developments, Redevco is also looking at ways to make its existing portfolio more sustainable. It says it does this in close co-operation with retailers and Good

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Gordion Shopping Centre Ankara, Turkey Erzurum Shopping Centre Erzurum, Turkey Princes Street Edinburgh, Scotland Wilrijk Commercial Centre Wilrijk, Belgium Magnesia Shopping Centre Manisa, Turkey

all its existing buildings, again in co-operation with Good Energies. In the second half of the 2008 trading year, C&A is scheduled to open its first eco store in Mainz in Germany. It is expected to achieve overall energy savings of approximately 50% compared with the current system. The eco store will buy green electricity and will be powered by renewable energy, which in turn will trigger carbon neutrality for the store. As part of Redevco’s commitment to introducing energysaving technologies, Redevco France is currently carrying out two pilot projects: an eco-community, including shops and housing, in the heart of Bordeaux’s historic centre, and a massive solar energy production unit in Pontault-Combault. Redevco France plans to build France’s most powerful solar power station embedded in the roof of its forthcoming Les Quatre Chênes retail park in PontaultCombault (43,000 m2). In addition to developing green buildings, Redevco aims to make its existing portfolio green. It will report and monitor progress against the BREEAM In Use certificate which is being developed in the UK. ❧

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Sustainability strategy

Practical measures

Projects and pipeline

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Gordion Shopping Centre Ankara, Turkey Erzurum Shopping Centre Erzurum, Turkey Princes Street Edinburgh, Scotland Wilrijk Commercial Centre Wilrijk, Belgium Magnesia Shopping Centre Manisa, Turkey

Country Watch Scandinavia

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Country Watch Scandinavia

Facts & Figures

A holistic approach By Heather O’Brian

Scandinavian countries are, perhaps unsurprisingly, ahead when it comes to green building, so much so that they do not simply plan for individual buildings to meet the standards, but entire communities.

ammarby Sjöstad, a sustainable community in the city of Stockholm, has become an obligatory stopping point for visiting foreign dignitaries and architects from around the world who are interested in green building. Erik Freudenthal, the project’s information officer, points to Hammarby’s ‘holistic concept’, with planners taking into account everything from the layout of green spaces to waste disposal, public transport issues and the creation of workspaces within the community to avoid the creation of a dormitory town. The project, which is slightly more than halfway completed, comes with a specially developed eco-cycle model for handling waste, water and energy known as the Hammarby model. The environmental goal is that the impact placed on the environment by emissions from Hammarby Sjöstad will be a massive 50% lower than the corresponding level for newly constructed housing areas dating from the early 1990s.

Eco-municipalities

In much of Scandinavia, the concept of sustainability has already moved past that of green buildings to that of eco-mu-

nicipalities. So it is not surprising that a number of Scandinavian countries were singled out in a recent note put out by Frost & Sullivan analysts on green building in Europe. Denmark, Sweden and Finland were mentioned along with Austria and Germany as being those countries furthest along in implementing the European Performance Buildings Directive (EPBD). Denmark leads Europe with 60% full EPBD implementation. Frost & Sullivan analyst Priya Chen notes that this is a result of an existing building labeling scheme ensuring green buildings since 1997. Denmark adapted its existing energy performance scheme to comply with the EU directive while Finland has also had compulsory energy performance certificates for new buildings since the start of the year. Certification will be required for new buildings in Sweden beginning 1 January 2009. In Norway, the plan is to start to work with energy performance certificates next year. The aim is for implementation to be completed by 2010. Although Scandinavia has no green building councils and maybe never will, there are a number of organisations working on sustainable development issues and numerous companies and municipalities promoting green building. ‘Denmark and Sweden

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are very active in developing green building initiatives,’ notes Chen.

Green Light House

While Sweden has Hammarby Sjöstad, an example of a sustainable community in Denmark is Albertslund. Awarded the 2007, Nordic Council Nature and Environment Prize, the city was praised for how it has promoted support for environmental action among the local community. The city has managed to nearly halve carbon dioxide emissions. Ahead of Copenhagen’s hosting of the United Nations Climate Change summit in December 2009, a number of green building projects have been commissioned, including the construction of a building known as the Green Light House at the University of Copenhagen. One example of Finland’s activity in sustainability is a €100 mln investment by the government’s Funding Agency for Technology and Innovation to develop sustainable and energy efficient areas and buildings. Another is a five-year innovation programme by the Finnish Innovation Fund focusing on energy savings and efficiency of communities. ‘Green building and sustainable building awareness in Norway have developed

parallel to international awareness,’ says Kristin Holthe, research manager at the country’s SINTEF Building and Infrastructure. Norway took strides forward with its sustainability know-how with a five-year programme launched in 1998 known as EcoBuild. ‘EcoBuild involved several hundred companies and enterprises in Norway regarding a variety of environmental enhancing initiatives,’ explains Holthe. While Scandinavia stands above most of the rest of Europe, Denmark’s best-of-theclass 60% figure for EPBD implementation is just one indication there is more to be done. Erkki Aalto of the Finnish Association of Building Owners and Construction Clients (RAKLI) points to the current challenge of renovating old buildings so they will be ‘green’. Aalto notes that greater economic wellbeing in Finland has also led to greater demand for lighting and cooling within buildings, complicating life for those seeking a sustainable construction industry.

Meeting standards

Many Scandinavian companies are seeking to overcome the obstacles to sustainability. Swedish construction company Skanska, which has gained a name for its ecologi-

cally-minded projects, is constructing an office building in the city of Gothenburg that is expected to be the first in the Swedish city to meet the requirements for the EU GreenBuilding label. This means its energy consumption will be at least 25% lower than that called for in the Swedish National Board of Housing, Building and Planning Standard for newly constructed properties. In January, Skanska’s Hagaporten III office property in Solna became the first in Sweden to receive the GreenBuilding certification. Also being built according to the principles of sustainable development, starting with the solar panels on its facade, is the Econia business park in the Aviapolis district in Vantaa. Finnish construction company Hartela is building that project, which is situated not far from Helsinki, while the developer is listed Finnish property company Julius Tallberg Real Estate. The first buildings in the 23,000 m2 business park are set to be completed next year. Finnish shopping developer Citycon was recently granted a €30 mln loan by the Nordic Investment Bank (NIB) to finance the development of a new Stockholm shopping centre meeting strict environmental standards that are part of a holistic approach to sustainable building. Citycon

• While no green building councils exist there are a number of organisations and municipalities promoting sustainability and green building issues throughout Scandinavia. • Denmark is the furthest along in Europe when it comes to implementation of the European Performance Buildings Directive (EPBD), according to Frost & Sullivan, while Sweden and Finland are among European companies with highest implementation rates. • Expansion of Lambertseter shopping centre in Oslo commissioned by Norwegian real estate company OBOS Foretningsbygg to be constructed by the Norwegian arm of construction giant Skanska. The 42,000 m2 expansion project is to have a ‘pronounced environmental profile’ and is scheduled to be completed in August 2010. • Skanska is planning to get the EU GreenBuilding label for a number of office buildings it is developing, including the 19,000 m2 Bassängkajen office to be constructed in the Universitetsholmen area of Malmö, Sweden and a 17,000 m2 office project (12,000 m2 in its first phase) in Gothenburg, Sweden. The EU GreenBuilding label designation means these buildings will have at least 25% lower energy consumption than that specified by the Swedish National Board of Housing, Building and Planning’s standard for newly constructed buildings.

aims to get the international LEED (Leadership in Energy and Environment Design) ratings for that mall, which is set to be inaugurated next year.

Pilot projects

The Liljeholmen shopping mall project, along with an extension to its Rocca al Mare shopping centre in Tallinn, Finland and the refurbishment of its Trio shopping centre in Lahti, also in Finland, make up the company’s pilot projects in sustainable construction. ‘We are intent on developing further and promoting sustainable thinking in our properties,’ commented Citycon CEO Petri Olkinuoara. ‘The shopping centre of the future is green.’ ❧

Country Watch Scandinavia

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Country Watch Scandinavia

Facts & Figures

A holistic approach By Heather O’Brian

Eco-municipalities

In much of Scandinavia, the concept of sustainability has already moved past that of green buildings to that of eco-mu-

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are very active in developing green building initiatives,’ notes Chen.

Green Light House

Meeting standards

Many Scandinavian companies are seeking to overcome the obstacles to sustainability. Swedish construction company Skanska, which has gained a name for its ecologi-

aims to get the international LEED (Leadership in Energy and Environment Design) ratings for that mall, which is set to be inaugurated next year.

Pilot projects

The Nominees

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GreenThinker 3 Alvaro Portela

Challenging The Status Quo

‘A

t Sonae Sierra it is our belief that no economic activity can take place in a vacuum, somehow unconnected from either people or the planet. On the contrary, doing business involves a constant evaluation of the interaction between economic, social, and environmental objectives, and business success requires a balance of all three. Our broad objective is to set an example in the shopping centre sector by demonstrating that integrating economic, social and environmental aspects in the business process can lead to greater economic profitability. In our strategy we have several Corporate Reponsibility (CR) actions not only for our staff but also to our service providers, tenants and shopping centre visitors. There is still much more to do and many challenges to overcome, for example compliance with the increasing requirements of environmental legislation aimed at improving resource efficiency in the built environment. Sonae Sierra’s goal is to be at the forefront of the industry in relation to corporate responsibility. It is committed to continuously challenging the status quo so as to find innovative and more sustainable ways of developing and managing shopping centres. It is devoted to being a learning organisation, testing its performance against demanding standards in order to achieve continuous improvement.’

General findings

Sonae Sierra has a comprehensive Corporate Social Resonsibility (CSR) report on its website with a detailed environmental section covering energy use, water use, waste systems, land use, recycling and standards applied to suppliers and tenants. The report also includes targets set, met and not met according to the company’s own Environmental Management System. It also provides information on environmental performance per country, and even per shopping centre, plus targets for 2008 and beyond. In addition, the CSR report contains an extensive section on the broader community impact of Sonae Sierra’s developments, plus sections on health and safety, employees and community engagement. Sonae Sierra is the winner of numerous development awards, including the inaugural ICSC ReSource award in 2007. The company is a member of the World Business Council for Sustainable Development (WBCSD) and is involved in the Energy Efficient Buildings project. It claims to be the only

Alvaro Portela was appointed CEO of Sonae Sierra in 1989. His particular responsibilities include safety and health, corporate communications, environment and institutional relations, and investments and asset management. Portela has a degree in mechanical engineering from the University of Porto, an MBA from the University of Lisbon and an AMP/ISMP from Harvard Business School.

shopping centre specialist to have signed the World Safety Declaration. Sonae Sierra was nominated campaign partner in the Sustainable Energy Europe Campaign of the European Commission.

Sustainability strategy

Sonae Sierra operates a cyclical Corporate Responsibility (CR) Management System aimed at continuous improvement in CR performance. The company’s CR policy, accompanied by economic, social and environmental CR commitments was first approved in January 2005 and last reviewed and updated in January 2007. The CR strategy focuses on:

climate change, water, waste, land use, business chain (suppliers and tenants), communities (including visitors), employees, and health and safety. Every year, Sonae Sierra sets itself a number of targets against each CR objective, which form the basis of the following year’s CR action plan and seeks to ensure that the company meets its goal of continuous improvement in both management and performance. It monitors performance across all eight CR Material Impact Areas on a continuing basis and reports annually against its headline key performance indicators (KPIs). The company has targets for eight key areas in 2008: – To ensure that all projects achieve at least 25% of the maximum possible points in relation to the applicable leadership standards of ESRD (Environmental Standards for Retail Developments). At the time of each centre’s opening day, to have achieved ISO 14001 certification for 100% of construction site. – To achieve ISO 14001 certification at

The Nominees

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GreenThinker 3 Alvaro Portela

Challenging The Status Quo

‘A

General findings

shopping centre specialist to have signed the World Safety Declaration. Sonae Sierra was nominated campaign partner in the Sustainable Energy Europe Campaign of the European Commission.

Sustainability strategy

The Nominees

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The Nominees

Sonae Sierra Portugal

a further 17 owned shopping centres in operation. – To reduce greenhouse gas emissions by 1% for each square metre of gross lettable area (GLA) in comparison with 2007 levels. – To reduce overall water consumption at all owned shopping centres that were operational during the full calendar year 2007 by 1%. – To achieve a minimum global recycling rate of 36% and to reduce the rate of waste sent to landfill by 2%. – To achieve 100% compliance with execution of Preliminary Environmental Evaluation – To ensure that 100% of bids and contracts signed during 2008 with main service suppliers (contracts above €2 mln) include clauses for minimum requirements in relation to safety, social and environmental standards. To ensure that 100% of bids and contracts signed during 2008 with main service suppliers (i.e. cleaning, security, maintenance and waste removal) include clauses for minimum requirements in relation to safety, social and environment standards (shopping centres in operation). To increase the proportion of paper purchased from recycled sources for use in Sonae Sierra offices in Spain, Germany, Greece, and Romania to 75%.

Practical measures

Sonae Sierra sets clear targets and then measures its performance against those targets at the end of each year. Some of the targets seem quite modest, for example, a 1% reduction in carbon emissions and a 1% reduction in water use for 2008. Others are more ambitious

Sonae Sierra ended 2007 with a portfolio of 47 shopping centres in operation spread throughout seven countries with a total gross lettable area (GLA) of about 1.9 million m2. The company is 50% owned by the Sonae Group and 50% by UK property company Grosvenor. In 2008, the company plans to inaugurate two shopping centres in Italy, one in Spain and one in Greece. The new developments represent an investment of €342 mln. These projects will bring the 2008 figure of GLA owned or co-owned to over 2 bn m2. The company booked a record operating profit of €300 mln in 2007 with total assets up €893 mln at €4.5 bn.

such as recycling and waste management targets. The company’s 2007 CSR report was drawn up according to the Global Reporting Initiative (GRI) Sustainability Guidelines and audited by accountancy firm Deloitte. As such, it attained compliance level B+ in 2007 compared with Level C+ in 2006. Its Environmental Management System is ISO 14001 certified and Sonae Sierra believes it is the first property company in Europe to achieve this across the entire business. The EMS aims to manage the main environmental aspects of the business including land use; energy and water consumption; emissions into the air; land and water; waste production and transport. In a bid to minimise environmental impact and costs, Sonae Sierra applies its EMS to the beginning of the value chain. Prior to a new investment in a plot of land or asset, an Environmental Site Assessment is first made to assess

potential problems, liabilities, effects and impact. In the next phase, an Environmental Preliminary Study is drawn up to evaluate the environmental aspects and potential impact of construction activities for the completed shopping centre and of demolition. Sonae Sierra has introduced a ‘green centre’ concept within its shopping centres known as Environmental Standards for Retail Developments (ESRD). This is implemented at the design phase with the aim of enabling future shopping centres to operate with the minimum environmental impact. The environmental standards for retail developments are based on the Best Available Solutions and were also inspired by international certification systems like LEED and BREEAM. ESRD covers several issues, such as energy, water (effluent and use), waste, transport, indoor and outdoor air quality, ecology and materials, and are revised periodically. In 2004, the company decided that all new developments should obtain ISO 14001 certification. Since then, it has received ISO certification for the 12 centres it has opened until now and for another 25 centres already under operation.

Covilhã has a surface area of 44,406 m2 and was opened in 2006. Meanwhile RioSul Shopping Centre in Seixal features some of the most sophisticated solutions in the field of sustainability including a waste treatment system. A system is also in place to monitor water and air quality while the energy savings system is fully computerised (BMS – Building Management System). In 2007, the shopping centre received two awards. It was distinguished with the ‘Real Estate Oscar 2007’ for the commercial sector by Spanish property magazine Revista 1 2 3 4

Serra Shopping Covilhã, Portugal RioSul Shopping Seixal, Portugal 8ª Avenida S.João da Madeira, Portugal

Alexa Berlin, Germany

Projects

Examples of shopping centres with ISO 14001 environmental certification for its construction phase include Serra Shopping, Covilhã, Portugal; RioSul, Seixal, Portugal; 8a Avenida, S. João da Madeira, Portugal; and ALEXA, Berlin, Germany. The Serra Shopping Centre in

Imobiliária as the finest real estate developments of the year. The centre was also awarded the Eurohypo Special Award by German bank Eurohypo. 8a Avenida in S. Joao da Madeira in Portugal, which has a gross lettable area of 28,268 m2 and was opened in September 2007, also won the Revista Imobilaria award. In May 2007, ALEXA became the first-ever construction site in Germany to be certified according to ISO 14001. The shopping centre is expected to be ISO 14001 certified in the course of 2009. Alexa is the first shopping and leisure centre developed by Sonae Sierra in Germany. In April 2008, it was distinguished with the ‘Silver Award’ at the ICSC Solal Marketing Awards 2008 in the category ‘Grand Opening, Anniversary, Refurbishment or Extension’, an International Council of Shopping Centres (ICSC) award. In September 2008, Sonae Sierra inaugurated the expansion of shopping and leisure centre Plaza Mayor in Malaga. In accordance with the measures established by Sonae Sierra’s Corporate Responsibility policy, the expansion of Plaza Mayor employed the best environmental practices during the construction stage. The process for certification according to the ISO 14001 standard for the construction stage and operational phase is underway. The Plaza Mayor is a ‘green shopping centre’ thanks to the Environ-

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mental Management System (EMS) which Sonae Sierra implements in all of its developments to save energy, reduce water consumption and manage waste.

Pipeline

In October 2008, the company was scheduled to open Pantheon Plaza, a new shopping and leisure centre area of 27,000 m2 in the city of Larisa in Thessaly, Central Greece. The project was developed in partnership with the Rockspring Property Investment Managers on behalf of its client, the PanEuropean Property Limited Partnership. This centre, too, has implemented an EMS according to ISO 14001 standards which allows the site under construction to evaluate, control and minimise its environmental impact. The implementation of the EMS has already facilitated the achievement of several best practice benchmarks including a 90% recycling rate of solid waste. Sonae Sierra also recently presented three new projects for future shopping and leisure centres in Leiria, Maia and Caldas da Rainha in Portugal, representing a total investment of €212 mln. The three malls, which are scheduled to open in 2010, were again designed according to Sonae Sierra’s EMS. The new developments will also feature sophisticated solutions for the separation and treatment of waste, the monitoring of water and air quality, and energy management and savings. ❧

The Nominees

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The Nominees

Sonae Sierra Portugal

Practical measures

Serra Shopping Covilhã, Portugal RioSul Shopping Seixal, Portugal 8ª Avenida S.João da Madeira, Portugal

Alexa Berlin, Germany

Projects

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mental Management System (EMS) which Sonae Sierra implements in all of its developments to save energy, reduce water consumption and manage waste.

Pipeline

The Nominees

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Green Thinker 3 Joost Bomhoff

Sustainability Roadmap

‘T

he Unibail-Rodamco International Environmental Performance Committee (IEPC) and Regional Environmental Performance Committees (REPC) were set up to shape a common environmental performance policy and make sure it is now firmly embedded in all thinking, planning and operating practices. A group-wide approach has been adopted to favour the dissemination of knowledge and best practices throughout the 14 countries in seven regional divisions where Unibail-Rodamco operates. The group has now laid the groundwork, including a governance structure and a system for base-lining present and future performance. In the future, the group will further shape the conditions required to embark on a process of continuous improvement and measure progress along the way towards ambitious yet realistic targets. Each of the five regional representatives of the IEPC contribute a specific area of competence. The IEPC aims to build a sustainability roadmap, identify opportunities and risks, and provide the necessary impetus, advice and encouragement to teams on the ground. The group meets every six weeks to discuss local initiatives and achievements, stimulate exchange of best practices and develop pan-European initiatives. The decisions are then conveyed by the members to local IEPC teams, in charge of disseminating and implementing in the operating units.’

General findings

Unibail-Rodamco is a strong contender with an impressive presentation of its commitment to sustainability with concrete examples, hard targets and case studies. In 2003, the Group affirmed its commitment to sustainable development by being among the first to join the United Nations Global Compact initiative and introducing an environmental charter for projects. The company has set up an international, regional and pan-European Environmental Performance Committee (EPC) to shape a common environmental performance policy. This committee meets formally every six weeks. The company’s first CSR report, produced in 2007, devotes seven pages to environmental responsibility. In 2007, the French team (covering 60% of the group’s assets in terms of value) assessed the energy efficiency of all the company’s buildings with the help of a specialised consulting firm. An environmental audit was carried out on six major projects according to the

Joost Bomhoff, 59, is Executive Director at Unibail-Rodamco. In 1982 he joined Rodamco Europe, where he was initially responsible for managing a portfolio in various continental European countries and later for building up the company’s shopping centre portfolios in Spain and France. He was formerly executive director of Rodamco Europe with a focus on investments-divestments (1990), and chief operating officer responsible for retail management. After the merger of Rodamco Europe and Unibail in 2007, Bomhoff was appointed chief development officer of the newly-formed group. In September 2008 he resigned as member of the management board to focus on the company’s sustainability strategy.

French HQE (high environmental quality) standards, the US standard LEED and the British standard BREEAM. The environmental guidelines for the group’s development projects were updated, and internal tools were developed to incorporate a sustainable

development approach at every level of the group’s activity. These tools will be rolled out across Europe in 2008. The company has formulated eight hard targets for 2008 and another seven for 2009, mostly relating to CO2 emissions reduction, reduced energy consumption and use of renewable energies. The hard targets include achieving ‘very good’ or ‘excellent’ BREEAM ratings for a minimum of three to five buildings in 2009. A pilot project aimed at creating a water management system will be developed in 2008. In 2007, a 2.3% energy reduction was achieved in Spain and 5% in the Nordic countries. In March 2008, Unibail-Rodamco started an audit of its CO2 emissions to reduce the group’s dependence on fossil fuels and provide strategic and operating recommendations. It is currently engaged in several pilot projects to embed an EMS (Environmental Management System) in new developments; assess the CO2 footprint of selected properties; and install photovoltaic panels at two shopping

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Green Thinker 3 Joost Bomhoff

Sustainability Roadmap

‘T

General findings

The Nominees

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The Nominees

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Unibail-Rodamco France/Netherlands

centres in Spain (Madrid and Valencia). The Donauzentrum retail centre in Vienna was awarded the Oko BusinessPlan prize by the city in 2007, in recognition of its commitment to sustainable environmental practices. The CSR report offers various case studies of ‘green’ shopping centres and the company also includes examples of existing, high-energy consuming buildings that it is renovating in a bid to reduce energy consumption. The only negative comment perhaps is that although the company is active in 14 different countries, its environmental/ sustainable strategy appears to focus on France, Spain and Austria.

Sustainability strategy

Unibail-Rodamco claims that preserving natural resources and finding ways to reduce greenhouse gas emissions has been a constant preoccupation for the last decade within both Unibail and Rodamco. The group acknowledges, however, that it must accelerate the pace of its environmental policy, to transform daily behaviour in order to save resources and decrease the impact of its business on the environment. The group also recognises the need to provide its teams with well-adapted tools, long-term goals and a suitable policy framework. It aims to raise awareness of the relevance of sustainability, provide training, stimulate desired behaviour and share knowledge within the industry and with key suppliers. It also aims to share knowledge with key tenants and work together towards sustainability improvements, for example,

Unibail-Rodamco is Europe’s largest listed real estate company. With a property portfolio valued at over €26 bn, the FrancoDutch group is active across three major business lines: shopping centres, offices and convention & exhibitions. The company was created in June 2007 from the merger of Unibail, owner of a large portfolio of office buildings in the Paris region, and Rodamco Europe, a company specialising in shopping centres across Europe. The group has activities in 14 European countries, with France representing about 61% of the group’s total assets and Central Europe making up another 9%. Unibail Rodamco’s portfolio includes some 90 shopping centres in Europe valued at around €19 bn.

through improved connections to public transport and by promoting green travel. Unibail-Rodamco believes that the first step towards reducing energy dependence involves monitoring energy consumption using solid, on-site indicators. This will provide a baseline for comparing the energy performance of all the regions in which it is active. Because the group operates in 14 different countries, it had first to adopt a common baseline with regard to key indicators, i.e. energy per square metre of managed area/visitor and water and waste ratio per visitor. To achieve a more effective reduction programme, more detailed metering systems will have to be put in place to differentiate and monitor the percentage of energy consumed by lighting, air conditioning, vertical transport and other infrastructure.

The group is also in the process of diagnosing and assessing its carbon footprint, starting with eight assets in France. Unibail-Rodamco’s goal is to develop a group-wide carbon strategy including specific actions, emissions and energyreduction targets and project management tools. In 2007, the company conducted an environmental assessment of six shopping centres in France to evaluate their environmental impact, work out improvement plans and learn lessons that will be applicable elsewhere. It aims to consult with a firm specialising in sustainable development strategy to structure the group’s corporate sustainability strategy, identify key issues for the group, address all stakeholders and broaden its scope by taking into consideration the best practices of companies both inside and outside the property industry. Another explicitly stated objective is to communicate the sustainability impact and measurement system of the company’s development projects.

Practical measures and projects

Unibail-Rodamco has formulated a number of hard targets for 2008–2009. For the immediate future, the group has two main objectives: monitor asset consumption and identify reduction opportunities; develop a group-wide action plan to lower consumption levels, including tools, training and new devices. To date, 85% of the total assets have water-saving devices, such as low-flush toilets and rainwater harvesting. A pilot project aimed at creating a water management programme will be developed group-wide in 2008.

Unibail-Rodamco is also planning a workshop with major tenants to identify common solutions to lower the impact of waste production. The company aims to have energymonitoring systems in place at 80% of its properties in 2009 and has also set targets for energy reduction for 2009–2011. It also plans to implement a separated waste collection system and recycling at all of its properties in 2009; and to implement an action plan to reduce water consumption to four litres per visitor a year. In 2009 it plans to organise workshops with five to 10 major suppliers and tenants to develop action plans to reduce the environmental impact of their activities. It also aims to implement an action plan to stimulate the use of green transport. With regard to developments and refurbishments, its goal for 2009 is to achieve three to five BREEAM Very Good project ratings and to implement green pan-European building design and construction guidelines. Other goals for 2009 include installing computerbased building management systems and efficient metering systems, and implement-

ing innovative energy pilot projects including renewable energies. The Nordic properties already enjoy a particularly efficient energy mix with 85% of supply generated by renewable sources. The company has created a pan-European International Environmental Performance Committee (IEPC) made up of five regional branches. The new structure tailors group-wide environmental initiatives to specific countries and regulations and promotes best practices among the group’s operating teams. The company is also involved in several pilot projects to embed an EMS (Environmental Management System) in new buildings. The pilot projects are intended to pave the way to introducing EMS in all its properties in the medium term. The company aims to conduct environmental impact assessment at all new projects of over 5,000 m2. The group has also launched a number of pilot projects in renewable energy production including solar, wind and trigeneration (the simultaneous production of electricity, heat and cooling from a single heat source.) Unibail-Rodamco is aiming to achieve the two-fold objective

of fostering innovation and building internal expertise in this field. From now on, ways of incorporating renewable energy will be studied for every new building project and implemented, wherever possible and relevant, in the group’s managed portfolio. Rivetoile shopping centre, located on the German border near Strasbourg, is a good example of the creation of a next-generation shopping centre on industrial wasteland that was revitalised into a new sustainable urban district. State-of-the-art technology and design has been implemented to save energy and reduce CO2 emissions. Carré Sénart was the first shopping centre in France to have a wind turbine installed (2001).

Pipeline

The group has a large pipeline of extensions, refurbishments and new projects. The group will adapt design guidelines in addition to the mandatory requirements under local regulations and have its major projects developed according to BREEAM standards, following the International Council of Shopping Centres (ICSC) recommendation. Prior to any major investment, environmental due

1 2 3

Carré Sénart, Paris, France Donauzentrum, Vienna, Austria Tour Phare, Paris, France

diligence is already standard practice, mostly to uncover problems such as asbestos, soil contamination and pending claims. The group will further expand its investment criteria to include longer-term environmental issues. A more extensive Environmental Impact Analysis will be developed for that purpose and incorporated into the process. In Los Arcos, Spain, a greywater recycling and black water treatment plant project is under way targeting significant production of recycled fresh water in 2008. The Tour Phare in Paris will adopt the French sustainable construction approach (HQE). The building will contain futuristic energy-performance features, with a double skin façade on the south side and maximised natural lighting on the north side. A three-year programme has been drawn up to equip 100% of the Spanish portfolio with solar panels, thereby reducing its CO2 emissions by 20%. Wind power is used in Spain and France where the group is reviewing opportunities to install additional wind turbines at a few of the shopping centres including Carré Sénart and Vélizy 2 in France. ❧

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The Nominees

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Unibail-Rodamco France/Netherlands

Sustainability strategy

Practical measures and projects

Pipeline

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Carré Sénart, Paris, France Donauzentrum, Vienna, Austria Tour Phare, Paris, France

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The Green Thinker Award is an initiative of Expo Real in association with PropertyEU. Green Thinkers is a publication of PropertyEU.

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