Strategy

Our sustainability approach

Our sustainability strategy guides our environmental, social and business activities, helping us deliver on our purpose of creating connected communities and identify and reduce business risks.

Our refreshed strategy addresses the five sustainability priorities identified through our materiality assessment. By aligning our sustainability metrics, targets and initiatives with these priorities, we aim to drive meaningful progress across these key areas. This includes embedding sustainability into the heart of our operations and fostering a culture of resilience that supports our long-term success.

Priority one

Manage investments for sustainability performance

Managing our investments for sustainability performance means considering their environmental and community impacts throughout their lifecycle – from initial design and construction through to their ongoing operation, maintenance and enhancement in future years. The sustainability performance of our new and existing assets contributes to their long-term value, increasing their appeal to tenants while optimising operational efficiency and reducing their environmental impact to support long-term investor returns.

Targets

Wholly owned office buildings to target a minimum 4.5-star NABERSNZ rating
New office and retail buildings to target a minimum 5 Green Star rating
New residential buildings target a minimum 7 Homestar rating

Highlight

In 2025, Resido, our 295-unit build-to-rent apartment building was awarded a 9 Homestar Built rating – the first at this scale in New Zealand to do so. This rating recognises the development’s strong sustainability credentials, including energy-efficient appliances and lighting in apartments and a comprehensive waste management and recycling centre to support tenant recycling.

Priority two

Decarbonise and reduce our footprint

We create places with reduced environmental impacts and support stakeholders on their low-carbon journey. By integrating sustainable design and operations, we reduce greenhouse gas (GHG) emissions, conserve resources, and promote healthier spaces. This enhances our assets’ sustainability credentials, creating opportunities for collaborative partnerships with suppliers and tenants. These partnerships enable us to work with tenants to reduce operational emissions and our environmental impact. By supporting our tenants and fostering a culture of sustainability, we support stakeholder wellbeing and enhance our business’ long-term value.

Targets

20% reduction of operational (Scope 1, 2 and selected Scope 3) GHG emissions by 2030
Divert 85% construction waste (by weight) from landfill for new asset developments

Highlight

We reduced our consumption of grid electricity by 5% across our operations in FY25, driven by our commitment to energy efficiency. At Vero Centre, we have commenced the process to remove gas use in the common areas (base building), following similar efforts at Sylvia Park last year. This has led to a 13% reduction in GHG emissions at Vero, which supported the effort to increase its NABERSNZ rating to 4.5 Stars. These initiatives reflect our ongoing commitment to decarbonisation and energy efficiency.

Priority three

Demonstrate resilience

We demonstrate resilience by proactively addressing the increasingly complex and interconnected challenges posed by climate change. This is particularly important as climate-related weather events become more frequent, severe and unpredictable. By integrating climate resilience into our core operations and decision-making processes, we protect our asset value, reduce the risks of additional costs associated with climate-related disruptions, ensure the safety of our tenants and customers, and minimise financial risks.

Targets

100% of assets have climate risk mitigation and/or adaptation plans by 2027
100% of new asset developments to be designed for climate resilience

Highlight

Our Drury town centre development reinforces our commitment to mitigating the potential physical impacts of climate change through design and forward planning. Projected increases in rainfall intensity and storm events have been considered in stormwater design, and the site’s general elevation above the Hingaia Stream and Fitzgerald Road floodplains provides some natural protection. Elevated flood levels have been factored into planning, helping to prepare the site for higher-than-current flood risks in the future.

Priority four

Build a future fit workforce

We invest in our people, recognising that a strong and diverse workforce is essential for our success. We go beyond traditional health and safety measures by taking a holistic approach that prioritises employee inclusion, belonging, and mental health. We understand that a strong organisational culture thrives when every individual feels valued, respected and empowered to contribute their unique perspectives and experiences. By prioritising these aspects, we enhance employee engagement, retention and satisfaction, which in turn drive innovation, productivity and long-term business performance.

Targets

40:40:20 gender split in Board, Executive and Senior Leadership Team
Aspiration that the workforce more closely reflects the ethnic make-up of New Zealand
Achieve employee engagement better than the New Zealand companies median benchmark

Highlight

Our long-standing partnership with New Zealand’s charitable Keystone Trust supports students as they pursue tertiary studies in property-related fields. Since 2019, we've seen our Keystone Scholarship recipients excel in their university journeys and transition into meaningful roles within Kiwi Property, including Skylah Hewett, currently completing her conjoint Bachelor of Law and Bachelor of Property degree and working part-time in our busy Legal team, and third-year Bachelor of Property and Commerce student Bhavik Paragji, who works with us part-time supporting the Income and Leasing team.

Priority five

Live up to our role in communities

Our assets are community spaces, home to services, amenities and experiences that our tenants, customers and local communities use and enjoy. As the owner and operator of these spaces, we strive to live up to our role in communities by partnering with others to advance our sustainability goals, and providing spaces that are safe, welcoming and supportive of community wellbeing.

Targets

Work with key suppliers to integrate sustainability criteria into all new agreements
Zero fatalities at our assets due to our property management and health and safety practices

Highlight

To celebrate Mental Health Awareness Week in September 2024, as part of our ongoing support of the Mental Health Foundation of New Zealand, our team members volunteered to plant a new orchard with the Sylvia Park Primary Eco Warriors at our Sylvia Park community garden. Approximately 40 students, known as Eco Warriors, have participated in hands-on gardening sessions, learning about nature while sharing harvested produce with their families.