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Stewardship is an owner's job

We hold buildings for years and lend to businesses for the length of a cycle. Over that horizon, energy intensity, tenant welfare and governance quality stop being disclosure categories and become inputs to the valuation.

Our position

No separate ESG portfolio

We do not operate a distinct sustainable fund alongside a conventional one. We think that structure implies the conventional book is underwritten to a lower standard, which would be an odd thing to tell an investor.

Instead, the same factors are assessed on every asset in every strategy, and they are assessed because they affect price. A building that cannot meet the minimum energy standard in its jurisdiction is not an asset with a disclosure problem; it is a development project with a legal deadline. A borrower with governance failures is not a reputational risk; it is a credit risk that has not yet appeared in the numbers.

If a factor is material, it belongs in the underwriting. If it is not, it does not belong in the marketing either.

Framework

Three pillars, applied at underwriting

Environmental

Energy intensity, transition capital expenditure and physical climate exposure are priced into acquisition, not deferred to the business plan.

  • Retrofit cost deducted at day one
  • Physical risk screened per asset
  • Transition plan funded before purchase
  • Energy data collected monthly

Social

Occupier welfare and community impact are underwritten as retention drivers. Vacancy is expensive; buildings people want to occupy have lower vacancy.

  • Occupier satisfaction surveyed
  • Living wage across managed services
  • Community consultation on major works
  • Accessibility audited at acquisition

Governance

Borrower and counterparty governance is diligenced as credit risk. Every loan carries ESG covenants at origination.

  • ESG covenants on 100% of loans
  • Beneficial ownership verified
  • Sanctions and AML screening
  • Annual counterparty review

Reporting

Where the portfolio actually stands

Reported annually and assured by an independent third party. Prior-year figures are restated when methodology changes.

Metric 2023 2025 2026 Target 2030
Energy intensity (kWh/m²/yr, indexed to 2019) 74 66 62 45
Assets with funded transition plan 61% 84% 92% 100%
Portfolio covered by monthly energy data 70% 88% 95% 100%
Loans with ESG covenants at origination 88% 100% 100% 100%
Managed services paying living wage 76% 94% 100% 100%
Assets with accessibility audit 52% 79% 88% 100%

Figures are portfolio-weighted across assets under direct management and exclude the listed markets sleeve, where we are not the controlling owner. Metrics are illustrative of the firm's reporting framework.

Engagement

We vote, and we say how

In the listed sleeve we exercise every vote we hold and publish the record annually, including where we voted against management and why.

In private positions the equivalent mechanism is the covenant and the board seat. Engagement without leverage is correspondence; we prefer to hold the instrument that makes the conversation binding.

Request the voting record
1,284

Resolutions voted last year

11%

Voted against management

46

Formal engagements opened

9

Escalated to board level

Policies

Documentation

Responsible Investment Policy

How ESG factors enter underwriting, monitoring and exit across all four strategies.

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Stewardship & Voting Policy

Our approach to voting, engagement and escalation, including the published voting record.

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Climate Transition Plan

Portfolio decarbonisation pathway, capital allocation to retrofit, and physical risk methodology.

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Conflicts of Interest Policy

Partner co-investment terms, allocation between mandates, and the conflicts register.

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Exclusion Framework

Sectors and activities outside our mandate, and the process for reviewing them.

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Modern Slavery Statement

Supply chain diligence across managed services and construction contractors.

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