Building Better Communities Dream Corporate Sustainability Report

Building Better
Communities
Dream Corporate
Sustainability Report
December 2015
Table of
contents
Welcome letter - 3
Who we are - 4 - 5
Dream Sustainability at a glance – 6
Achievements – 7
Environmental Environmental initiatives – 8 - 10
Environmental performance – 11
Green building certifications – 12 - 13
Environmental case studies – 14 - 16
Social Our people & culture – 17 - 19
Dream in the community – 20 - 22
Stakeholder collaboration – 23
Sustainability management Governance practices – 24
Initiatives – 25
Moving forward – 26 - 27
Definitions & additional information – 28
Legal Notice – 29
2
Table of content
Welcome to Dream’s
first Sustainability Report
We are proud to present Dream’s first Corporate Sustainability Report. This report
showcases our sustainability commitment
to our stakeholders.
bourhoods. It also helps us foster a positive culture for our employees as well as
the people who live in our neighbourhoods
and work in our buildings.
Sustainability is ingrained in how we run
our business and how we manage our social and environmental obligations. It fits
naturally with Dream’s purpose to Build
Better Communities, from our individual operations in Canada and around the
world, to our master-planned residential
communities.
Sustainability drives innovation across
Dream. It is our lens into societal change
– it helps us understand our stakeholders
better and plots a course for the future. All
of these benefits add up to better value for
our tenants, customers, investors and the
communities in which we do business. In
short, sustainability makes good business
sense.
Focusing on sustainability across the
entire Dream platform helps us build
future-thinking
neighbourhoods
with
well-designed homes and retail spaces,
as well as create resource-efficient operations across our platform in Canada
and Europe. Whether we build new communities, invest in renewable energy, or
operate our existing buildings, we always
keep in mind the impact we have not only
on our customers and tenants, but anyone
who comes into our buildings or neigh-
In 2014, we established a Sustainability
Executive Committee comprising senior
managers from Dream Office REIT, Dream
Global REIT and Dream Asset Management
Corporation, a subsidiary of Dream Unlimited. This committee provides executive
oversight of our sustainability goals and
progress. We also created employee working groups, drawn from employees across
regions and functions. These groups are
focused on embedding sustainability
into key areas, including property operations, employee engagement and communications.
While this is Dream’s first formal sustainability report, we have been weaving
sustainability into our culture and the
way we do business for several years. For
example, we have been measuring greenhouse gas emissions as well as energy and
water consumption in Dream Office REIT’s
portfolio since 2011. This gave us the platform to report on our sustainability progress and to set new four-year targets.
2015 marks the beginning of a more structured and proactive approach to sustainability. We are implementing strategies
to manage our impact and measure our
performance in attaining targets. Dream
aspires to be a leader in sustainability in
Canada’s real estate industry.
Michael Cooper
President and CRO
Dream Unlimited Corp.
Jane Gavan
CEO Dream Office REIT
CEO Dream Global REIT
Welcome to Dream’s first sustianability report
We are excited about our sustainability
journey and look forward to sharing our
progress with you.
3
Who we are
We build better
communities
for people to
work and live in
Dream Unlimited Corp. [TSX:DRM, Dream Unlimited], is an award-winning
Canadian real estate investment, development and management company with over $15 billion of assets under management in North America and Europe. Our scope of business includes asset management and
management services for four TSX listed funds, land development, housing,
condominum and retail developement, investment in and management of
Canadian renewable infrastructure and commercial property ownership
and management.*
Dream Unlimited has grown substantially since its formation in 1994, becoming one of Canada’s leading
real estate companies with a diverse workforce of more than 1,000 employees working in Canada and
Europe. We are one of Canada’s largest developers, building communities to live in — developing land,
homes, condominiums, retail centers and renewable power projects. We also build communities to work
in, bringing office, industrial and retail spaces to life. We invest in and manage properties, enriching them
for the people who work there and the greater community.
Dream Office REIT [TSX:D.UN,
Dream Office], is Canada’s largest
office REIT . The REIT owns and operates a portfolio of approximately
24 million square feet of high-quality, well-located, central business
district and suburban office properties located predominantly in
Canada’s major cities.
Dream Global REIT [TSX:DRG.UN,
Dream Global], provides investors
with exposure to an international
real estate market through an established Canadian platform with
six European offices. Worth over
$2.5 billion, this portfolio consists
of more than 200 properties totaling over 13 million square feet in
key urban markets in Germany.
Dream Industrial REIT [TSX:DIR.
UN, Dream Industrial], owns and
operates approximately 17 million
square feet of geographically diverse light industrial properties in
key industrial markets across Canada. Our properties have consistently high occupancy rates.
Dream Hard Asset Alternatives
Trust [TSX:DRA.UN, Dream Alternatives], provides an opportunity
for investors to access diversified
hard asset alternative investments, including real estate, real
estate loans and infrastructure,
including renewable power.
Dream Development and Homes by Dream: Dream Unlimited is the
largest residential developer in Western Canada. We own or have under
contract 10,000 acres of land in Saskatchewan and Alberta, of which
approximately 8,500 acres are in nine large master-planned communities at various stages of approval. Our land development arm, Dream
Development, and residential development arm, Homes by Dream, work
together to create communities that cater to a variety of lifestyles in Canadian city centres.
4
*The Dream group comprises Dream Unlimited Corp., Dream Office REIT, Dream Industrial REIT, Dream Global REIT and Dream Hard Asset Alternatives Trust.
Who we are
Dream is a future-oriented organization
deeply connected to the communities we
build and the natural environment that
supports us. At Dream, sustainability is
part of what we do. “Building better communities” is our statement of purpose and
guides how we think, live and work.
We strive to integrate sustainability at
both the corporate and property levels, focusing on internal and external initiatives
to benefit all stakeholders. We believe
that a long-term, sustainable approach is
imperative to create value. Building and
managing high-quality, resilient buildings
allows us to protect our asset value and
sustain high occupancy rates – an environmentally sound building is a desirable
building. Being a sustainable organization
and great culture also helps us attract and
retain great people. Reducing our environmental footprint means reduced energy,
water and waste costs for ourselves as well
as our tenants.
holder relations, health, safety, and local
community impacts.
Sustainability Management refers to how
we ensure we maintain high ethical business standards, which includes how we
manage and mandate sustainability.
When we talk about sustainability, we
consider the environment, social fac- If we do a good job with all three, we can
tors and sustainability management. strengthen our connection with the communities in which we are present, establish
Environmental aspects include impacts a more productive relationship with our
on land, water, air and the atmosphere stakeholders, and create better opportunias our operations affect the environment ties for our employees.
through energy, water and resource use.
Social factors take into account people
and the community, focusing on stake-
The Dream brand has a natural link with sustainability which is
incorporated in our logo. Building better communities is our way
of thinking, living and working.
Dream’s values: integrity, teamwork, dealing with
stakeholders, social responsibility, opportunities
and fun provide the foundation for our corporate
culture and a strong platform on which to build
sustainability into Dream’s DNA.
Teamwork
Social
Responsibility
Integrity
→ Teamwork - Employee engagement and collaboration.
→ Integrity - Strong governance. Transparency and disclosure
Dealing with
Stakeholders
in all aspects of our business.
→ Dealing with Stakeholders - Strong relationships.
Opportunity
→ Fun - Employee fulfillment and positive experience for
Fun
everyone touched by our company.
→ Opportunity - Diversity. Equality.
→ Social Responsibility - Improving our communities.
Who we are
5
Sustainability at-a-glance
2014: A milestone year. Renewed strategic focus. Executive sponsorship. Cross-company actions.
2014 marked many milestones. It was the
year when we formally articulated how
sustainability is an integral part of how
we operate. It was also the year we put in
place executive oversight of our strategic
initiatives and the year we created an inventory of the sustainability work across
our business segments.
sustainability will only increase. We are
committed to setting sustainability targets
across the businesses and to dedicating
organizational resources to meet these
targets. We will strengthen our disclosure
through Dream Office’s participation
in the Global Real Estate Sustainability
Benchmark (GRESB) and Carbon Disclosure Project (CDP), with the ultimate goal
The overall intent of this Sustainability Re- of aligning our sustainability report, as it
port is to communicate our sustainability relates to Dream Office, with the Global
journey and targets to our stakeholders Reporting Initiative (GRI).
and showcase Dream’s milestones, and
achievements in 2014. We intend to high- About this report
light why sustainability is important to our
business and showcase processes and When we refer to Dream we are referring to
best practices that we have in place.
all of the entities within the Dream group,
including Dream Unlimited, Dream Office,
Our strategic focus and investments in Dream Industrial, Dream Global, Dream Al-
ternatives and their subsidiaries.
Environmental performance data reflects
the operations of Dream Office (unless
otherwise indicated) and covers the performance period from January 1 to December 31, 2014. Dream Office was the
first REIT we launched and has been collecting environmental data since 2011.
That data allowed us to develop key performance indicators of sustainability to
monitor our sustainability targets.
This report is divided into 3 sections: environmental, social and sustainability management. In each section we showcase
our accomplishments and progress.
Sustainability
Environmental
6
Environmental focuses on
the environmental impact of
our business activities, and in
particular our use of resources
such as water and energy as
well as our waste management
system.
Social Factors
Social factors focus on our
interactions at work and with
the community at large.
Dream Sustainability at a Glance
Sustainability
Management
Sustainability Management
focuses on how we mandate
our sustainability initiatives.
2014 Achievements
Environmental*
$13 M
$5 million
or 13%
invested in
sustainability
capital projects
reduction in cumulative
energy spending since 2011
dsf
80%
BOMA BESt
certification
rate based on
buildings over
100,000 square
feet
Largest
95%
participation of any
Canadian real estate
company in the BOMA
Toronto Earth Hour Portfolio
Challenge
participation
in Energy Star
rating
11%
67%
Reduced water use by
waste diversion rate in Ontario
58M litres
LEED®
certification
rate
Social
100%
of Dream Office employees
engaged in community
activities
Over
$600,000
donated to charities by
Dream employees
National sponsor
for the Shoebox Project,
62%
of Board Directors of Dream
Unlimited are female
6 of 8
Women’s College
Hospital sponsor
an organization that works to brighten the
lives of women living in shelters
Healthy work
environment
Board directors of Dream
Unlimited are independent
Sustainability Management
Established
Sustainability
strategy
implemented throughout
Sustainability
Executive
Committee
Formed
Sustainability
working groups
formalized
the company
100%
of our Dream office operations staff actively
engaged in enhanced building best practices
Diversity
Policy
Implemented
Operations Best Practices Training
*Environmental performance data reflects the operations of Dream Office REIT only (unless otherwise indicated) and covers the performance period of January 1 to December 31, 2014. Dream Office REIT was the first REIT we launched and has been collecting environmental data since 2011.
Archievements
7
Environmental
The foundation of our
sustainability initiatives
Buildings account for approximately 40% of all energy used
globally and 30% of all greenhouse gas emissions. Dream Office
spends approximately $75 million each year on electricity and
natural gas and this cost is expected to increase with rising costs
of energy. Moreover, most tenants now expect landlords to have
environmental programs in place to reduce energy consumption.
Landlords with such programs report higher tenant satisfaction
and lease renewals, which contributes to higher occupancy rates.
As one of Canada’s largest landlords, this is important to us.
and greenhouse gas emissions. Reducing our energy, water
and waste costs benefits the environment, our tenants and ourselves. This is simply good operational practice. Several years
ago, Dream Office recognized the need to monitor and reduce
our energy costs if we wanted to stay competitive. This was the
catalyst for us to formalize sustainability initiatives and to set
targets. With targets in place, Dream Office committed to monitor and evaluate our progress through the use of systems, formal
policies and practices.
Dream Office has been building best practices into its environ- In Germany, Dream Global participates in the mandatory EU Enmental platform since 2011 and has been working hard to reduce ergy labeling program launched in 2006.
its environmental footprint by minimizing resource consumption
Initiatives
To reduce resource consumption and lower our environmental impacts, Dream Office strives to establish best-in-class building operations practices. To ensure our practices are consistent across the Dream Office portfolio, all of our property management teams
receive regular training, including sustainability-specific education.
Dream Office’s operational initiatives include:
1
Increase our waste diversion
2
Increase water conservation
3
Decrease energy consumption
2014 consumption footprint
192
million ekWh
energy
578.1
million litres water
consumption
Waste
disposal:
200,000
tonnes CO2e
Greenhouse gas emissions
8
Environmental Initiatives
9,900
tonnes
“Ontario is the only province that has regulations
around waste audits and waste reduction work
plans. Dream Office has gone further and is
applying those regulations and standards across
the country.”
- Sharon Mitchell, President, Dream Office Management Corp.
Waste management
Waste management is one of the simplest
and least expensive ways we can demonstrate smart environmental practices. Providing recycling receptacles that are easy
to find and use enables everyone to do
their share and helps us build a responsible reputation. Dream Office’s waste
management system tracks all waste by
weight and recycling stream. At Dream
Office, we redesigned recycling processes
and measurement systems in 2014 based
on the regulations in Ontario. Dream Office then applied those standards across
the country.
Waste diversion
In 2014 we implemented mandatory waste
audits across the Dream Office portfolio.
Through our waste haulers we obtain consistent, high-quality waste stream data.
Based on this data, we continue to create
programs to divert waste from landfills.
Waste diversion is a lever for decreased
operational costs – either through reduced
waste haulage costs or revenues raised by
selling paper and other materials to recycling companies. We estimate that Dream
Office’s enhanced waste management
initiatives will save more than $1.4 million
over the next three years.
significant waste is construction materials
from refurbishments and tenant fit-outs.
To minimize waste from these processes,
Dream Office’s contractors are required to
maintain a minimum 72% waste diversion
rate for de-constructed material and provide proof of compliance.
6,600 tonnes
of waste is equivalent to 307
garbage trucks
Ontario benefited from a full year of this
program and as a result was successful in
diverting 67% of its garbage from landfills
– primarily paper and beverage containers. This figure is slightly above the Canadian average of 66% for pre-eminent office
properties and reflects improved practices
and behaviour of our employees, tenants
and building visitors. We are continuing
to make inroads on waste recycling in the
rest of the coutnry.
67% or
203 truckloads were
diverted and recyled in 2014
(in Ontario)
Starting in 2016, Dream Office aims to expand organics programs at major properties and continue to educate our tenants
about waste diversion. Another area of
Water conservation
As water conservation becomes increasingly important for many North Americans,
Dream Office is continuing to invest in water-efficient practices and technologies.
This includes low-flow toilets and faucets as well as water-efficient landscaping. We
are proud to report that Dream Office’s annual average water use of 73 litres per
square foot in 2014, is significantly lower than the 91 litres per square foot REALpac
benchmark. Between 2012 and 2014, Dream Office’s water intensity decreased by a
total of 13%.
Dream Office’s sustainable landscaping practices
1
Property teams are trained in sustainable, low-maintenance landscaping pratices
that minimize the use of water, pesticides and other resources.
2
Minimize exterior water use through drought-resistant plants and proper soil maintenance.
3
Avoid contaminating the water supply through run-off, with the use of alternative
pest control methods where possible.
4
Preferance for the use of electric or propane-powered motors.
Environmental Initiatives
Dream Office’s water intensity
2012
84
2013
77
2014
73
Decreased water intensity by
13% cumulatively since 2012
which is the equivalent of the
amount of water consumed by
231,000 people over one year.
9
º
º
º
Initiatives
Decreasing energy consumption
Reducing our energy consumption is a key initiative across all of the Dream entities. At
Dream Office REIT, we have been able to reduce energy consumption by over 13% between 2011 – 2014, saving tenants more than $5 million annually since the start of our
program and mitigating the effects of rising electricity costs. This is important across
all of our entities. Below are two such examples of our commitment to reducing energy
consumption.
Homes by Dream - focus on home energy efficiency
Homes by Dream delivers quality homes with superior energy efficiency. We are proud to lead the industry as the largest ENERGY STAR-certified builder in Saskatchewan. ENERGY STAR is an
initiative administered by Natural Resources Canada and promotes homes that are at least 20% more energy efficient than
those that are built to current building codes.
We take a number of steps to ensure that the homes we build are
energy efficient including:
Home design: Our homes are intentionally designed with raised
roof trusses, which not only make for greater aesthetic appeal,
but allow for more insulation and protection against wind uplift.
Dream Industrial - harnessing solarpower
Re-imagining space that is otherwise single-purpose is another way of putting sustainability into action. Dream Industrial is
converting suitable rooftops on many of its buildings to full solar
coverage. Currently, eight Dream Industrial buildings have been
repurposed with solar panels.
These projects take advantage of unused rooftop space, while
contributing clean, solar electricity to Ontario’s power grid. They
also fit well with the growing trend towards distributing power directly where it is needed, thus reducing the need for large transmission lines.
Windows: Every unit we build is equipped with triple pane windows. In colder climates, triple-glazed windows can save an additional 2-3% on a homeowner’s heating bill, compared to double-glazed windows.
Lighting: We are upgrading lighting solutions to compact fluorescent bulbs or LED lighting wherever possible.
Appliances: We provide ENERGY STAR appliances and furnaces
to our customers, enabling reduced electricity and water consumption.
10
Environmental - Initiatives
Measuring performance
Targeting exemplary energy performance
Energy intensity, which is the average annual energy consumption per square foot of property, is our primary performance
indicator. Dream Office was able to reduce its energy intensity
by 3.4% in 2014, compared to 2012 levels. The average intensity of 31.5 ekWh/sf remains slightly above REALpac’s national
benchmark of 29.5. However, REALpac represents the average
energy consumption per square foot of the highest-performing
(AAA) office buildings in Canada, while the Dream Office portfolio is comprised of a wide variety of well-maintained buildings, some of which are of an older vintage. We will continue
to drive performance improvements through strategies such
as implementing operational best practices, conducting midnight audits and rolling-out energy management training in
order to drive a reduction in energy intensity.
Lowering Dream Office’s energy intensity
2012
32.6
2013
32.6
2014
31.5
3.4%
Decreased energy intensity by 3.4% cumulatively
since 2012 which is equivalent to the amount of
energy used by 3,000 homes in one year.
Investing in systems to monitor consumption
Midnight energy audits
Since 2011, Dream Office has been tracking its energy, water
and greenhouse gas emissions. We have invested in third -party utility data collection and management system that verifies usage and reports on consumption data. Our system is
certified by the Canadian Standards Association CSAE 3416.
Dream Office uses this data to analyze energy and water consumption, identify improvement opportunities and develop
reduction programs – either through changing behaviours or
capital investments. For example, Dream Office has already
rolled out multiple energy audits, HVAC recommissioning and
Real-time operating service
lighting retrofit programs. These are expected to save the company and its tenants millions of dollars each year in reduced
Monitoring energy consumption is key to identifying efficiency operating expenses.
opportunities at any property. At Dream Office, our properties
employ a Real-time Operating Service (RTOS) which allows our
property managers to view electricity data in 15-minute intervals.
This provides them with a picture of what is actually happening
in the building at all times. Analyzing electricity data provided
by RTOS allows management teams to correct scheduling issues,
identify energy “spikes” and operate the property at a lower level
when demand is highest, reducing the building’s environmental
impact and stress on the grid. Dream Office also uses Energy
Advantage, a third party service, which verifies all energy consumption and invoices.
The Dream Office property management teams perform after-hours energy audits at least once a year. On a physical walkthrough, our teams review the after-hours energy consumption
of building mechanical systems, lighting and tenant equipment
and appliances. These audits provide valuable insight into how
buildings “truly” operate when they are unoccupied, which helps
us identify opportunities to increase energy savings during offpeak times.
Environmental - Measuring Performance
11
Green building
certifications
Affirming strong sustainability practices.
Responding to market demands.
Dream is working hard to integrate sustainability into every
aspect of our operations. Green building certifications help us
incorporate a range of sustainability features into our physical
properties and our daily practices.
Sustainability initiatives increase occupancy and rental rates, ultimately increasing rental income. Studies have shown that certified buildings produce higher capital and income growth relative
to industry benchmarks. See competitive advantage sidebar.
We are very proud of the fact that the Dream Office portfolio,
which was only 11% BOMA BESt certified at the beginning of
2014, was over 80% BOMA BESt certified by the end of the calendar year. This achievement speaks to our building operations
teams’ commitment to sustainability initiatives.
Additionally, four of our flagship properties are LEED certified.
Totaling 3 million square feet, this represents 11% of our Dream
Office portfolio. For 2015-2016, we are working to bring green
building certification to all of Dream Office’s Canadian regions.
In Germany, three of our properties, in the Dream Global portfolio
are DGNB certified. This German building certification comprises a variety of certification schemes for different building uses
including new, existing offices, residential properties, healthcare
facilities, education facilities, hotels, retail properties, industrial
buildings, tenant fit-outs and industrial buildings. It evaluates the
key sustainability aspects of a building: environmental, economic, sociocultural, functional aspects, technology, processes and
site. See the definition section for more information.
Air Miles Tower, Toronto
LEED EB: OM Gold
Cologne Tower, Germany
LEED EB: OM Gold
12
Environmental - Building certifications
LEED AND BOMA Facts
LEED
The Leadership in Energy and Environmental Design (LEED)
Green Building Rating System is a third-party green building
certification program and internationally accepted benchmark for the design, construction and operation of high-performance green buildings. It is administered by the Canada
Green Building Council (CaGBC) and can be applied to
both newly constructed and existing buildings.
BOMA BESt
BOMA BESt is the leading environmental certification program for existing buildings in Canada. Launched in 2005 by
BOMA Canada, the certification is available for six building
types: offices, shopping centres, open-air retail plazas, light
industrial buildings, multi-unit residential buildings, and
healthcare facilities. Over 3,500 buildings, totaling nearly
one billion square feet of Canadian commercial real estate,
are BOMA BESt certified.
For additional information, please see the definitions section
at the end of the report.
The competitive advantage of green buildings
Distillery District, Toronto
(LEED CS: Silver)
Evidence is mounting about the benefits of green
buildings. A study recently published in the Journal
of Portfolio Management has added to the case for
green building certification. In reviewing 300 North
American office buildings, the study found that buildings with green certifications (LEED or BOMA BESt
Level 3 or higher) achieved:
ºº 7% higher tenant satisfaction
ºº 6% higher tenant renewal rate (BOMA BESt-certified properties)
ºº Almost 4% higher net rents (LEED-certified properties)
ºº 19% higher occupancy rates (LEED and BOMA
BESt-certified properties)
ºº 14% lower energy consumption (LEED-certified
properties
According to the study, “The evidence suggests that
BOMA BESt certification results in more instances of
lease renewal. This increases a building’s stability
by limited added re-leasing costs, both in terms of
broker commissions and new tenant buildout and by
limiting the landlord’s exposure to periods of higher
vacancy and expense carry.”
Scotia Plaza, Toronto
LEED EB: OM Gold, Targeting Platinum
Source: Green Certification and Building Performance: Implications for Tangibles and Intangibles
by Dr. Nils Kok, Maastricht University and CEO of
the Global Real Estate Sustainability Benchmark
(GRESB) and Dr. Avis Levine, University of Guelph
Environmental - Building certifications
13
Environmental
case studies
Cologne Tower - a leader in its community
The Distillery District - preserving history and natural resources
Cologne Tower is a landmark property in its namesake city in
Germany that was certified LEED Gold in 2013. The certification Toronto’s Distillery Historic District is one of the most impressive
emphasizes that older buildings can also be excellent environ- examples of adaptive re-use in Canada. The 120-year-old Goomental choices.
derham & Worts distillery had been unused for almost 10 years
when the owners put it on the market in 2001. Criteria for selectTo support its LEED EB:OM certification, Cologne Tower imple- ing a purchaser went beyond price; more important was how the
mented a variety of sustainability best practices in both the site’s heritage would be preserved and how it would become a
physical building and its operations:
part of the community. Dream Unlimited became a partner in this
transformation.
Highlights include:
Giving heritage wood a new life
ºº Increased energy efficiency as a result of sub-metering, perimeter daylight controls and occupancy sensors
There was a large amount of high-quality 19th and early 20th
century heritage wood left in the district from the distillery plant.
ºº Reduced light pollution at night
It was used to build new furniture when original furniture could
ºº Water-efficient tenant washrooms and kitchens
not be repurposed. The wood was also made available as an opºº 50% of all waste recycled
tion of flooring in the new condominium units that were built. To
ºº Responsible disposal of hazardous waste, such as batteries this day there is still wood available to re-use, and the Distillery
team plans to use every last bit.
and light bulbs
ºº More than 88% of occupants take public transit, cycle or walk
Sustainable development, brick-by-brick
to work
ºº Sustainable purchasing, where supplies are sourced from re- Another example of sustainable and adaptive re-use is the way
purposed, recycled sources or local sources and paper prod- the district was paved. The easiest solution would have been to
ucts are Forestry Stewardship Council (FSC)-certified
use asphalt and concrete to pave over the existing pavement and
ground. Instead, the Distillery team unearthed and used a lot of
ºº Green office cleaning
the original bricks and tiles, leading to an authentic and respectful plaza – perfect for one of Toronto’s biggest pedestrian-only
“Associating Dream Global with sustainable
communities.
landmark properties like Cologne Tower in
Germany puts us on the map among blue chip
tenants and investors.”
—Rene Gulliver, CFO, Dream Global REIT
14
Green buildings in a historic setting
Both condominium buildings in the Distillery District are LEED Silver-certified. As a result, over 1,000 Torontonians live in sustainable buildings in this historic and high-profile area of Toronto,
which sends the important message that history and sustainability can mix.
Environmental - Environment case studies
The Canary District - built with LEED Gold in mind
Arapahoe Basin
The Canary District is a part of Toronto’s new waterfront, where
brownfield lands are transformed into beautiful, sustainable
mixed-use communities. The development is aligned with Toronto’s Mandatory Green Building requirements to create a neighbourhood in which residents can live, work and play.
As stewards of an exceptional mountain environment, Dream’s
Arapahoe Basin Ski Area (“A-Basin”) in the Colorado Rocky
Mountains is providing a quality outdoor recreation experience.
Our team strives to continually improve A-Basin’s environmental
performance in order to provide enjoyment of this natural treaSince the Canary District’s inaugural residents were the 2015 sure for future generations of snow and mountain enthusiasts.
Pan / Parapan Am Games athletes, this joint venture development
project began with a vision of wellness and sustainability. With Key sustainability initiatives include:
a LEED Gold certification in mind for the entire mixed-use development, Dream Unlimited hired a full-time sustainability expert to Recycling policy – wherever there is a garbage receptacle, there
focus on key actions such as sustainable materials purchasing is a recycling receptacle
and construction and procurement processes that involved local Composting policy – for all kitchen and dining areas as well as
businesses:
most office and on-mountain locations
ºº Ensuring at least 50% of the wood used was FSC certified
Vehicle idling policy - a “No Idling Policy” was adopted in
2010/11
ºº Making sure contracts and tenders utilized regional suppliers Reusable tableware and cutlery – if not reusable, it is recyclable
and materials to support the local economy
Guidelines – for resource reduction and purchasing from enviºº Encouraging the use of recycled building materials, including ronmentally responsible companies
drywall, flooring and concrete, saving on the consumption of Snowmaking – Arapahoe Basin’s snowmaking system includes a
new products
water storage pond and minimized impacts to aquatic habitat,
wetlands and stream ecology.
ºº Continuous inspections to confirm contractors’ compliance
ºº Installing building electrical systems that are 40% more efA-Basin’s future commitment to the environment is to expand and
ficient than normal systems, using occupancy sensors that
improve the sustainability program with attainable goals and the
allow lights to dim to minimum code level when nobody is in
plans to effectively implement them. The success of these goals
the corridors or stairwells
will be measured by continually inventorying resource usage
ºº Installing heating systems with fresh air recovery units, reduc- and by changing policies, operations, and systems accordingly.
ing energy consumption
ºº Designing water systems with fewer pipes and low-flow water
fixtures, reducing not only water usage but also the energy
required to heat water.
For further information on A-Basin’s sustainability initiatives,
please go to http://arapahoebasin.com/ABasin/document-library/2013%20A-Basin_Environmental_brochure.pdf
15
Environmental
case studies
Investing in renewable energy reaps broad benefits
Firelight Infrastructure Partners (“Firelight”) is a joint-venture between Dream Unlimited and a Canadian pension fund. Through
Firelight, Dream Unlimited has been directly investing in renewable power projects since 2006. Together with its partners,
Dream Unlimited has developed a $1.3 billion portfolio of wind
and solar projects in Ontario and Nova Scotia, two provinces
focused on reducing greenhouse gas emissions from coal-fired
power generation. This portfolio is now fully invested and encompasses over 220 MW of Canadian wind and solar projects, which
is equivalent to the amount of power required for 45,000 average
sized Canadian homes.
Dream Unlimited’s investment in renewable power has had a positive impact on local economies. For example, Dream Unlimited
has been an active participant in Nova Scotia’s community feedin tariff program. The program requires local communities, including investment co-operatives, not-for-profits, or First Nations
groups, to own a direct interest in the renewable power project.
To date, Dream Unlimited has partnered on several Nova Scotia
wind projects that have joint ownership with the local community. As well as sharing in the profits, local communities benefit
from the construction and on-going operations and maintenance
jobs associated with these projects.
Dream Alternatives continues Dream’s goal of expanding
investments in renewable power and infrastructure
Currently, all new energy and infrastructure investments identified by Dream Unlimited are placed in Dream Alternatives.
Through this new mandate Dream Alternatives has commited to
invest in an additional 15 MW of renewable power projects.
Dream Alternatives is a fund with $1 billion in total assets that
provides an opportunity for investors to access diversified hard
asset alternatives investments including energy and infrastructure.
Through Dream Alternatives, Dream Unlimited continues to be active in investing in projects that produce clean electricity which
improve the environment while providing value to stakeholders.
“Discovering the sustainability links across our
businesses means we can do more. Our partnerships
with local developers contribute to economic
development while reducing carbon emissions directly
in the communities. ”
—Adam Reeds, VP Energy and Infrastructure, Dream Unlimited
16
Environmental - Environment case studies
Social
Our people and culture
Building a thriving, people-centric The Dream U Lunch & Learn series is one of first day at Dream, employees receive a
organization.
our leading initiatives, which takes place box of office supplies with a helium-filled
Dream’s business is about great people
and great assets. With more than 1,000
employees in 23 cities across North America and Europe, we depend on a strong
culture to achieve our business objectives.
Culture can be defined as an intangible
set of behaviors and stated values that
are exhibited in an organization. At Dream,
our culture is rooted in our values. The
core values that make up the foundation
of our culture are integrity, teamwork,
dealing with stakeholders, social responsibility, opportunities and fun.
Our values guide us in our day-to-day
business activities and help us make decisions when faced with an unfamiliar situation. We are committed to treating all
of our colleagues and business partners
with fairness, dignity and respect. We introduce these values to all new employees during onboarding and orientation,
and they are a key part of our annual
employee performance review process.
every few weeks at head office. The program is an opportunity for Dream employees to learn about specific topics, particularly about what other departments in the
company are working on. Presenters are
most often our own employees who share
their work and projects, but we also feature special guests and some of our community partners. All Dream U sessions are
streamed live for all employees, and videos are available on an internal site for all
to access.
welcome balloon. This unique touch has
received overwhelmingly positive feedback. In order to make their transition as
easy as possible, new employees have
regular check-ins with our Human Resources department (re-branded as the People
& Culture department in 2015) to ensure a
smooth first few months.
2) Training
We are also very proud of our Wall of Awesome – in many of our offices, we have a
wall that is dedicated to positive, handwritten messages from one employee to
another. This is just another way that we
live our values every day and foster a positive and rewarding culture for our people.
Training and continuing education is key
to our company’s growth and improvement. Each employee is entitled to an annual education budget of $2,500. In 2014,
34% of our workforce participated in external training and development initiatives.
We reimbursed employees $135,000 for
professional designations, certifications
and specialty courses.
Investing in people
3) Performance reviews
In 2014, our team grew by approximately
7%. To welcome, engage and challenge
Internal initiatives
our people, we invest significantly in employee development initiatives. The followWe recognize that having a rewarding, ing is a summary of some of our processes
fun and feel-good environment allows us and initiatives.
to attract and retain the best people. We
enhance our culture through diverse en- 1) Onboarding
gagement initiatives, many of which were
designed based on employee feedback. Our onboarding process is designed to
We hold regular social events across the welcome, successfully integrate and educompany and showcase the accomplish- cate new team members on our values and
ments of our team members on the com- distinct culture from their very first day.
pany intranet.
Managers reach out to employees prior to
their starting date to check in and, on their
Social - Our people & culture
To fully support our employees in their
careers and to help them grow personally
and professionally, we undertake regular
reviews. This provides employees regular
feedback and dialogue with their manager. We are also introducing development
assessments, where employees perform
qualitative self-evaluations.
17
Teamwork
Travis Vokey was first drawn to Dream through a unique and compelling
online job posting. Then, when he visited Dream’s head office for an
interview, he was struck by the bright, open-concept environment and the
fact that even the CEO’s desk was out in the open and no different from
any other employee’s work station. “To me, that sent a clear message
that everyone at Dream, regardless of their role, is approachable,”
recalls Travis.
As Program Leader for Business Transformation, Travis leads a team
of internal change consultants dedicated to improving processes and
managing change across all of Dream’s entities – no small task, given
that Dream has been growing rapidly. His first year with Dream has
been a whirlwind, but Travis enjoys that his role is constantly evolving to
meet the company’s needs.
Healthy workplaces & lifestyles
Employees’ health and wellness are important to Dream and there is a large number of initiatives and programs to encourage employees to lead healthy lifestyles.
We provide free fresh fruit in all our offices,
and selected healthy snacks are available
for purchase at an affordable price.
A key event in 2014 was Wellness Week,
when we organized health-related activities and provided wellness education and
resources. This involved a smoothie day
across offices, a workshop by renowned
personal trainer Melissa Tucker, and a
session on stretches employees can do
18
“Working at Dream is both challenging and fun, and I really appreciate
Dream’s commitment to social responsibility, especially the opportunities
that my colleagues and I have to contribute regularly to the community.”
—Travis Vokey
VP Business Solutions
Dream Unlimited Corp.
at their desks. Some offices even provided Health & safety is a priority
massages.
Ensuring the health and safety of our em2014 was also a year during which Dream ployees, tenants and others on all our sites
employees took part in the TriFit challenge is something we never compromise on: we
– recording their physical activity for one target zero injuries. We also seek to exceed
month and competing as teams for the health and safety regulatory requirements
highest level of physical activity.
by implementing programs focused on accident investigation and prevention and
Throughout the year, Dream also supports other types of health and safety training.
fundraising events that encourage em- In 2014, the injury rate as defined by lost
ployees to be active for a good cause – days in relation to number of employees,
bike rides, stair climbing, runs and walks – was 4.4% which was a 74% reduction from
and sponsors employee teams so they can 2013.
play soccer, hockey, or volleyball together
in corporate leagues.
Social - Our people & culture
Reflecting our communities.
Diversity
We believe that an organization’s success depends on how well it embraces
and adapts to different ideas. Dream is
committed to being a leader in diversity,
which includes gender, sexual preference,
disability, age, ethnicity, business experience, functional expertise, culture and geography. We are proud to bring together a
multitude of perspectives, experiences and
personal stories, and we work with our employees to help them develop their careers
and skills, regardless of who they are or
what their background is.
Leader in gender diversity
We rely on various means to embed diversity at the very highest level of Dream. The
Dream Unlimited Board of Directors has
recently adopted a formal Diversity Policy.
Under the policy, the Board has targeted a
composition in which women comprise at
least 30% of the directors. Similar policies
have also been adopted by each of the
Boards of Trustees of Dream Office, Dream
Global, Dream Industrial and Dream Alternatives. Dream Unlimited has been a
leader in gender diversity, demonstrated
by the fact that 62% of the directors of
the Board of Dream Unlimited are female.
In comparison, a 2013 study by Catalyst
Census found that only 16% of directors
on boards of publicly traded companies
were female and approximately 40% of
companies had no female directors*.
In order to further address the advancement of women both on the Board of
Dream Unlimited and within our organization, a Leaders and Mentors Committee
has been established to:
ºº Identify, mentor and champion exceptional talent within the organization
ºº Oversee Dream’s commitment to being
a leader in diversity and inclusion at all
levels of the organization
ºº Work with the Governance and Nominating Committee to identify excellent
candidates for Board positions who
are most likely to help Dream Unlimited
achieve its goals irrespective of prior
board experience
ºº Provide mentorship to new Board members
Women in senior management
We recognize the important role that women have in senior management within the Dream entities. Our CEO of Dream Office and Dream Global, Jane Gavan, is a frequent speaker on leadership panels, and in 2014 she was recognized among
“Canada’s Top 100 Most Powerful Women” by The Women’s Executive Network. As well, Dream Unlimited and Dream Alternatives CFO Pauline Alimchandani was selected as one of Real Estate Forum magazine’s “50 Under 40” in 2014.
Pauline Alimchandini
CFO, Dream
Anne Braun
Managing Director, Dream
Global Advisors Germany
Jane Gavan
President, Asset
Management, Dream
Unlimited + CEO Dream
Global and Dream Office
Sharon Mitchell
President, Dream Office
Management Corp.
Lenis Quan
CFO, Dream Industrial
Employees by age
Employees by gender
56%
44%
In our Canadian workforce, 44% of employees are women and they have the opportunity to be mentored by these senior
employees both on a formal and informal
basis; we also encourage employees to
participate in industry mentorship programs. Dream is also a long-term sponsor
of the Toronto chapter of CREW - Commercial Real Estate Women, and Dream
Global REIT sponsors a similar initiative
in Germany.
70+
60-69
Under 20
20-29
50-59
40-49
30-39
*http://www.catalyst.org/catalyst-ac¬cord-women-corporate-boards-canada
Social - Our people & culture
19
Dream in the
community
“Dream and Women’s College Hospital have
embarked on a journey that can change the way
corporate citizens and non-profits work together.”
—Jane Gavan, CEO Dream Global and Dream Office REITs
Supporting local communities.
Enabling volunteerism.
“Building better communities” is our way of thinking, living and working at Dream. We are present in 23 communities, and we provide
workspaces to 125,000 people. Our local presence contributes significantly to local business. In all that we do, we think of the people
in and around our buildings and how we can be a better landlord and neighbour. For example, to contribute to the social good and
support entrepreneurship and local economic growth, we are looking at the possibility of renting spaces to non-profit and start-up
organizations at an affordable rate in some of our buildings.
We invest in the communities where we are present by supporting select organizations through monetary and in-kind donations. We
encourage our employees to become involved with our partner organizations or other charities in the community. In 2014, 100% of
Dream Office employees participated in community volunteer activities. Dream also contributes up to $500 per employee per year
to an organization of the employee’s choice.
We are proud to have official partnerships with these organizations:
Right to Play is an international organization that uses the power of sports and play
to give children around the world, and in
Canada, a childhood, help them engage
with other children, teach them health lessons, and show them how to build peaceful communities. Through a three-year
partnership, Dream is helping Right to
Play run their international programs. It
is providing our employees with another
excellent volunteer opportunity, and Right
to Play representatives have also participated in our Dream U lunch series to raise
awareness on their programs.
20
Women’s College Hospital, an innovative world leader in women’s health, has
built a new, state-of-the-art facility that
will deliver a new model of care for women. To support the hospital’s new facility
and services, Dream and Michael Cooper
have committed $1 million over five years.
Through our partnership with WCH, we are
holding workshops to learn from each other’s approach to innovation and to explore
ways to work together for our communities.
Social - Dream in the community
The Shoebox Project works to brighten the
lives of women living in shelters by giving
them shoeboxes filled with small gifts they
would not typically buy for themselves.
The shoeboxes are filled by volunteers, including Dream employees: in 2014, we collected shoeboxes in six cities, including in
Regina and Saskatoon, where the Project
had never been before. As The Shoebox
Project’s first and only National Corporate
Sponsor, Dream is providing the Project
with the means to hire administrative resources, such as a national coordinator
who will oversee the organization’s growth.
Habitat for Humanity
Habitat for Humanity
“Sustainability is embedded in our strategic
objectives. This includes everyone in the team
committing community volunteer time.”
—Sharon Mitchell, President, Dream Office Management Corp.
ALS Ice Bucket Challenge
The Shoebox Project
Building better communities.
Employees volunteering with Inn from the Cold
In Calgary, Dream has been providing financial support to Inn
from the Cold, the city’s original and largest emergency family
shelter providing support and programs to homeless children,
their families, and others in need. In 2014, wanting to go beyond Dream’s financial contributions, local employees decided to buy and serve lunch once a month. The response was so
positive that after a year, they have increased their support to
serving lunch twice a month.
Community Living employment program
We are working with Community Living Toronto to identify and
explore employment opportunities at Dream or at our various
service providers for individuals with intellectual disabilities. We
hope to provide 20 placements in the next year.
2014 Community engagement
Company
donations:
Dream Office:
$82,600
Dream Unlimited:
Dream Industrialemployees at Ronald McDonald House
$521,500
$500
donation per employee
per year, from Dream to
the charity of employees’ choice
Social - Dream in the community
2,400 Hours
Volunteer time
by Dream Office
Employees
21
Dream in the community
over the holidays
The Shoebox Project
The Christmas Tree - Make a Wish Come True
In 2014, Dream Global’s team in Germany, in co-operation
with one of its tenants, launched a program to make a child’s
Christmas wish come true. The program, which was launched
in five office buildings in Germany, focused on 150 orphaned
or hospitalized children. The children were able to submit a special Christmas wish, which was put on a Christmas ornament
and displayed on a Christmas tree in the lobbies of the five
buildings. Our tenants and employees picked an ornament and
bought the present on the child’s wish list, which they returned
beautifully wrapped. These presents were then delivered to the
children.
The Shoebox Project works to brighten the lives of women living in shelters by giving them decorated shoeboxes filled with
small gifts. Dream is a national sponsor and our employees
across Canada support The Shoebox Project by donating shoeboxes or volunteering to help fill them. In 2014, a total of 445
shoeboxes were donated by Dream employees to women in our
communities.
The program was a major success in Germany in 2014 and a
similar program has been expanded in Dream’s Canadian offices for the 2015 Holiday season.
22
Social - Dream in the community
Stakeholder
collaboration
Strong, productive relationships.
As a major landlord and with many landmark buildings that act as city hubs, we understand our responsibility to act as a model
citizen and positively influence our communities. All our programs support our business objective of being a premier community
partner. We aspire to uphold our positive reputation in the communities where we are present and actively seek out partnership opportunities. This also helps us to become a builder and landlord of choice. We collaborate with our stakeholders in a number of ways:
Sustainable procurement program
We provide guidance to our properties to
select products and services that are locally made and delivered and that have
environmentally beneficial attributes. Our
procurement program and procedure documents help properties identify sustainable suppliers and products. Furthermore,
our Contractors’ Environmental Health
and Safety Handbook informs contractors
of best practices and ensures regulatory
compliance. Homes by Dream is a good example of how sustainable procurement is
applied as the business targets 50% local
trades and sources raw building materials
originating from within an 800 kilometre
radius. 100% FSC-certified wood is used
in all homes and condominiums, which
encourages sustainably managed forests.
Tenant engagement
Each Dream Office property receives
an Environmental Management – Good
Practices for Tenants Handbook to help
engage tenants on sustainability topics.
Many properties have also established
joint property management and tenant
committees. This ensures we have effective
partnerships with one of our most important stakeholder groups to drive joint initiatives and address concerns that may arise.
Tenant surveys
Many of Dream Office’s properties and
regional senior leaders conduct satisfaction surveys with key tenants and
put programs in place to respond to
requests and suggestions. Moving forward we plan to increase the coverage
of our tenant surveys. We are also implementing new technologies to better
serve our customers, such as Dream Plus,
Dream Office’s tenant response system.
Community consultations
For each major construction or refurbishment project, we consult with representatives from the local community
to ensure that community concerns are
understood and effectively mitigated.
We have a community hotline to address
ongoing concerns. Throughout each project, we work closely with our contractors
to minimize nuisance in our neighbourhoods and any negative impacts on the
environment. Dream Development engages with community residents through
“Dream Days” and polling on a variety
of topics. We are introducing comment
boxes into many of our parks to maintain constant communication with the
people that live in our communities.
sure and Reporting Requirements consultation process. Dream Global leads
the Real Estate Data Exchange of the
German Society of Property Researchers and contributed to the release of
an international standard for data exchange in the German real estate sector.
Academic research
Dream works with academic institutions,
such as the University of Applied Science
in Berlin and the University of Applied Science in Worms, Germany to help transfer
industry practice into academic context.
Industry initiatives
We participate in our industry associations’ sustainability committees and
provide feedback on public policy development. Dream Office is a member of
the REALpac Corporate Responsibility
and Sustainability Committee and actively participates in the BOMA Energy
Reporting and Benchmarking Group. Our
Sustainability Director has participated in REALpac’s response for the recent
City of Toronto Building Energy Disclo-
Social - Stakeholder collaboration
Tenant Appreciation Day
23
Sustainability
Management
Governance
practices
Strong corporate governance
Leading practices
Governance best practices
As one of Canada’s leading real estate
organizations, Dream is committed to
maintaining the highest ethical standards
through a strong governance framework.
All our public companies have diverse and
experienced Boards of Directors, with a
high ratio of independent Directors and
Trustees.
Each of the Dream entities has adapted a formal code of business conduct and ethics.
These codes set out guidelines for behaviour and practices. The codes emphasize four
“keystones” - integrity, respect, fairness and accountability. All Directors, Trustees, officers and employees are required to confirm in writing their familiarity with the applicable Code of Conduct and their compliance with it.
Our strong governance practices and high
ethical standards at both the corporate
and asset level mean reduced risk for the
organization and support for our goal to
be transparent with our stakeholders under all circumstances. Each of the Dream
entities’ corporate governance practices
are reviewed regularly to ensure they are
aligned with best practices.
At Dream, we are proud of our high disclosure standards and strong governance
practices. We encourage you to read more
in our management information circulars
which are available in the Investor sections
at www.dream.ca
24
Code of Business Conduct and Ethics
Whistleblower Policy
The policy allows officers and employees to bring forward, on a confidential and
anonymous basis, concerns or complaints regarding potential unethical or fraudulent business practices or any activity that could give rise to a financial concern. An independent service provider is available seven days a week, 365 days
a year and reports directly to the Audit Committee of Dream Unlimited Corp.
Independent Directors/Trustees
Our Boards of Directors and Trustees have high rates of independence.
Board composition
75% independent
86% independent
88% independent
67% independent
100% independent
Sustainability management - Governance practices
Sustainability
management initiatives
Cross-company executive committee and working groups
Sustainability oversight is one element of good governance, crucial to the success of any sustainability program. Dream’s Sustainability Executive Committee comprises senior management
at Dream. The Committee provides oversight of sustainability
strategies across all Dream business units, monitoring environmental, social and governance performance at both the corporate and asset level.
In order to systematically consider and manage sustainability efforts and
coordinate throughout Dream, in 2015, we established cross-company and
cross-functional Sustainability Working Groups. These employee-driven
Working Groups promote, develop and track progress of our sustainability
initiatives. You can find details about each of the groups in the sidebar on
this page.
Real estate companies are often at risk of being “divided” between the corporate level and the asset level. The Sustainability Executive Committee and
Sustainability Working Groups provide seamless coordination of sustainability efforts across the organization and work to bridge the gap between
people and efforts at our corporate office and those at our properties –
across Canada and key locations in Europe.
Green Property Operations Working
Group
Mission: integrate sustainability into Dream
property operations
Key Responsibilities:
ºº Implement sustainability policy, programs,
guidelines and training
ºº Support sustainability measurement and
tracking versus targets
ºº Achieved 100% engagement of all building
operators.
Sustainability Reporting and Communications Working Group
Mission: integrate sustainability into Dream
communications
Key Responsibilities:
ºº Build sustainability into Dream brand
through external communications
ºº Develop processes and tools to track sustainability performance and success stories
Environmental regulatory compliance
To maintain our well-known and respected brand, good corporate management practices of environmental risks and regulatory compliance is very important to us. Dream monitors its environmental performance and impacts
at properties through regular internal environmental audits and annual
environmental surveys completed for every property. This information is
tracked through data management systems to ensure we are familiar with
and mitigate environmental risk. For example, we performed 40 Phase 1 and
2 environmental risk assessments in 2014. Our property management teams
have regular training on compliance topics such as hazardous materials. All
of these practices add up to a low occurrence of environmental incidents.
Dream’s Governance and Nominating Board Committee has final oversight
of Environmental Risk Assessments. This committee reviews the environmental state of any real property owned by a Dream company and establishes
policies to ensure that our environmental exposure is minimized.
ºº Participate in initiatives to strengthen
Dream’s reputation as a responsible company
Employee Engagement Working Group
Mission: integrate sustainability into Dream
culture
Key Responsibilities:
ºº Integrate sustainability into current employee communications, engagement and development programs
ºº Encourage full employee participation in
sustainability initiatives
ºº Measure and track engagement
Sustainability management
25
Moving forward
Our objectives
work. We look forward to continuing our
community relationships and providing
At Dream we take sustainability very seri- our employees with opportunities to make
ously and we are demonstrating our com- a difference. As we grow, we will continue
mitment to sustainability by showcasing to attract the best people to our team.
the initiatives we have taken throughout
the years. We are proud to have produced The work of our Sustainability Executive
our first Sustainability Report which will Committee and employee working groups
become our foundation as we continue will ensure that our initiatives stay on
to increase our focus on corporate social track. We look forward to measuring and
responsibility, making it an integral part reporting on our successes. In future
of how we do business across the orga- years, we are also planning to strengthen
nization. We will continue to invest in our our sustainability disclosures in Dream
people, systems, and new technologies to Office by participating in the Global Real
improve our sustainability performance Estate Sustainability Benchmark (GRESB)
and to achieve our targets.
and CDP (formerly Carbon Disclosure
Project) surveys and moving to align our
We take great pride in the people on our report with the Global Reporting Initiative
team and in their ability to have a positive (GRI) standard.
impact on our tenants, the environment
and the communities in which we live and In the future, we plan to complement our
Social and Culture
We are proud of what we’ve done so far
and are excited about what’s next. The report serves as a window into how we operate as an employer, a community member
and as an environmental steward. We are
committed to providing updates on our
progress in subsequent Sustainability Reports.
Dream Global employees in JP Morgan run
At Dream we employ over 1,000 diverse employees. We believe our employees are our biggest
asset and therefore employee engagement and
work satisfaction is a key priority. In 2015 we
will focus on the following initiatives and their
impact on employee engagment:
1 Employee volunteer hours: Commitment to assess & improve employee well-being and develop
a strong employer brand.
2 Employee development: Commitment to encourage employee development through training and continuing education.
3 Mentoring: Developing a company-wide mentorship program to help develop empoyees.
26
energy conservation strategy with a more
complete carbon management strategy.
This will help us to prepare for the upcoming cap and trade system that will be put
in place in Ontario. We will collaborate
on this strategy with Dream Alternatives
which manages our renewable power business. Using renewable power provides opportunities for us to reduce our net greenhouse gas emissions either by developing
our own renewable sources or purchasing
offset credits.
Dream - Moving Forward
Dream Office environmental targets
As the largest Canadian office REIT, Dream Office has a responsibility to manage and mitigate our overall impact on the environment. 2015 marks the start of our four-year Dream Office 10% environmental improvement targets.
By the end of 2018 we aim to:
If we succeed in reaching these goals, we will have:
1
Decrease electricity and natural
gas use by 10%
Reduced our use of electricity
and natural gas by the equivalent of the amount used on
average by
2
Decrease water consumption by
10%
Reduced our water consumption
by the equivalent of the amount
used on average by
3
Increase waste diversion to 70%
Reduced the amount of waste we
send to landfills on average by
4
Obtain green building certifications for 100% of all office sites
larger than 100,000 square feet
4,500
homes in one year
226,000
households
322
truckloads
Increased the percentage of
buildings in the Dream Office
portfolio with BOMA BESt certification to
100%
Improve our key sustainability performance targets
Dream Office energy intensity
target 2018
Dream Office water intensity
target 2018
2012
32.6
2012
84
2013
32.6
2013
77
2014
31.5
2014
73
2018
28.4
2018
66
10%
10%
Energy and water intensities are the annual consumptions divided by the square footage of a property or portfolio. They
are common primary performance indicators.
Dream - Moving Forward
27
Definitions
and information
Adaptive-reuse: Reusing an old site or ekWh: equivalent kilowatt hours. This metbuilding for a purpose other than for ric allows different energy sources to be
which it was built or designed.
compared by equating them to the standard measure of electrical energy. StanBOMA BESt: The Building Owners and dard conversion rates for common fuels
Managers Association Building Environ- is available through Natural Resources
mental Standards program. This rates ex- Canada.
isting buildings based on energy, water,
waste, emissions, indoor environment and FSC certification: Certification system
environmental management system per- for paper and wood products that ensures
formance. Based on their performance, that products come from responsibly manbuildings are awarded levels from 1 to 4.
aged forests that are evaluated to meet
strict environmental and social standards.
CaGBC: The Canada Green Building Certification is administered by the Forest
Council. The CaGBC is a national, not- Stewardship Council, an international cerfor-profit organization that has been work- tification and labeling system dedicated
ing since 2002 to advance green building to promoting responsible forest manageand sustainable community development ment of the world’s forests.
practices in Canada.
LEED: Leadership in Energy and EnvironCO2e: carbon dioxide equivalent. This mental Design is the internationally recmetric calculates the total global warming ognized third-party certification standard
impact of different greenhouse gases by administered in Canada by the Canadian
converting them to the standard measure Green Building Council (CaGBC). The sysof carbon dioxide. It is often displayed in tem rates buildings in 6 areas: sustainable
metric tonnes (1,000 kilograms) or tCO2e. sites, water efficiency, energy and atmosphere, materials and resources, indoor
DGNB: German building certification sys- environmental quality, and innovation in
tem administered by the German Sustain- design process. Certification levels include
able Building Council which provides an Certified, Silver, Gold and Platinum.
assessment of the sustainability of buildings and urban districts. Certification in- REALpac: The Real Property Association of
cludes fulfilment of up to 50 sustainability Canada. This is a national association of
criteria from the ecology, economy, so- large owners and developers of commercio-cultural aspects, technology, process cial real estate. It develops and maintains
work flows and site categories. Certifica- national real estate standards and contion levels are Bronze, Silver, or Gold.
ducts research into the Canadian real estate industry including sustainability.
Energy Star: (trademarked ENERGY STAR)
is an international standard for energy Waste diversion rate: The percentage
efficiency. It was created in 1992 by the of total waste that is diverted away from
Environmental Protection Agency and the landfill disposal through recycling or comDepartment of Energy. Since then, Austra- posting.
lia, Canada, Japan, New Zealand, Taiwan,
and the European Union have adopted the
program.
28
Definitions & Information
Data information
Environmental performance data reflects
the operations of Dream Office (unless
otherwise indicated) and covers the performance period from January 1 to December 31, 2014.
Reporting period: The reporting period for
this report is January 1, 2014 to December 31, 2014.
Normalization: Energy and water data
has not been normalized for occupancy or
weather.
Performance data presented in this report
is compiled by a data management system that complies with Canadian Standards Association CSAE 3416 standard,
a standard that assesses internal control
objectives of service organizations.
Greenhouse gas emissions reporting:
Greenhouse gas emissions are calculated
from actual and estimated natural gas,
steam and electricity consumption from
all buildings. Emission factors are sourced
from Environment Canada’s National Inventory Report: Greenhouse Gas Sources
and Sinks in Canada 2014. Greenhouse
gas emissions reporting does not currently
comply with a recognized standard.
Third-party collaboration:
This report was developed and produced
in collaboration with Quinn & Partners.
For further information on our sustainability initiatives please see Dream Office’s
Management Information Circular on
dreamoffice.ca.
Legal Notice
Forward-Looking information
Dream’s 2014 Corporate Sustainability Report contains or incorporates comments that constitute forward-looking information
within the meaning of applicable securities legislation. Forward-looking statements generally can be identified by words such
as “outlook”, “objective”, “may”, “will”, “would”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “should”, “could”, “likely”,
“plan”, “project”, “budget” or “continue” or similar expressions suggesting future outcomes or events. Forward-looking information
is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Dream’s
control, which could cause actual results to differ materially from those disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, general and local economic and business conditions; the financial condition of tenants; our ability to refinance maturing debt; leasing risks, including those associated with the ability to lease
vacant space; our ability to source and complete accretive acquisitions; and interest rates.
Forward-looking statements in this Corporate Sustainability Report include references to: goals, objectives and key performance
targets including but not limited to electricity, natural gas, water, waste diversion, green building certifications and renewable
power commitments.
Although the forward-looking statements contained in this Corporate Sustainability Report are based on what we believe are
reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements.
Factors that could cause actual results to differ materially from those set forth in the forward-looking statements and information
include, but are not limited to, general economic conditions; local real estate conditions, including the development of properties
in close proximity to the Trust’s properties; timely leasing of vacant space and re-leasing of occupied space upon expiration; dependence on tenants’ financial condition; the uncertainties of acquisition activity; the ability to effectively integrate acquisitions;
interest rates; availability of equity and debt financing; our continued compliance with the real estate investment trust (“REIT”)
exception under the specified investment flow-through trust (“SIFT”) legislation; and other risks and factors described from time to
time in the documents filed by the Trust with securities regulators.
All forward-looking information is as of 2015. Dream does not undertake to update any such forward-looking information whether
as a result of new information, future events or otherwise, except as required by applicable law. Additional information about these
assumptions, risks and uncertainties is contained in our filings with securities regulators, including the latest Annual Reports, Annual Information Forms and Management’s Discussion and Analyses of Dream Unlimited, Dream Office, Dream Industrial, Dream
Global and Dream Alternatives. Certain filings are also available on our website at www.dream.ca.
Contact:
For more information on sustainability at
Dream, please contact Michael Ytsma at
[email protected].
Corporate Offices
30 Adelaide Street E.
Toronto, Ontario
Telephone: 416.365.3535
Facsimile: 416.365.6565
Website: dream.ca
Legal Notice
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