by Lisa Brown
SAN FRANCISCO—The Global Real Estate Sustainability Benchmark (GRESB) assessment is an investor-driven sustainability assessment for real estate portfolios covering $2.3 trillion in assets globally. Shorenstein Properties LLC, a national private real estate investment firm and fund sponsor engaged in the ownership of office and mixed-use properties, has ranked in the top 15% of 707 global participants in this year’s survey.
The firm improved its sustainability performance in 2015, achieving an overall score of 78 out of 100. This score elevated Shorenstein Properties to second place among a peer group of 22 other major investors active in the ownership of US office properties and 14th among 155 North American investors in all commercial real estate sectors. The average score for Shorenstein’s peer group was 59 out of 100.
Stan Roualdes, executive vice president, Shorenstein Properties, tells Globest.com: “We are constantly looking for ways to raise the bar within our portfolio when it comes to overall sustainability. To rank so highly in this global benchmarking assessment is extremely gratifying and shows us that we are on the right path for our properties, our investors and the environment.”
Globally, Shorenstein ranked 27th out of 145 global investors in office properties and 82nd in the full ranking of 707 investors. This is the second year Shorenstein has participated in GRESB and in its first year, it received GRESB’s Green Star, the highest designation the group awards and a rating it retains in 2015.
Shorenstein believes that properties operated efficiently and deliver desired amenities perform better financially. Shorenstein’s sustainability program differentiates properties in the market, supporting tenant acquisition, satisfaction and retention. Its strategy includes a three-pronged approach to improvement, including smart operation, investment in efficiency and tenant engagement. The company publishes an annual sustainability report.
Shorenstein tracks the environmental impact of its properties and has established the following performance targets: 20% reduction in greenhouse gas emissions by 2020 and the actual results are a 14.8% reduction since 2008; a 20% reduction in energy use by 2020 and the actual results are a 16.2% reduction since 2008; and 60% waste recycling by 2016 and the actual results are 50% waste recycling in 2014.
“We take very seriously our responsibility as stewards of our buildings and the broader environment,” said Roualdes. “Sustainability is not just a competitive edge or an optional business strategy–it’s a collective obligation.”
As previously reported, Shorenstein is renovating an office campus in North San Jose, CA.