Policy and System for Environmental Initiatives

Policy and Concept

Tokyo Tatemono Group has formulated the Group Environmental Policy to contribute in building a sustainable society through business activities that consider the environment.

Creating a pleasant city and living with greenery
We will create a rich and comfortable environment for earth and people by utilizing the strength of greenery as much as possible with consideration to biodiversity.
Climate change prevention that leads the community
We will actively implement environmentally-friendly technologies and ideas into our products and services to lead the community in building a low-carbon city.
Resource-saving activities that are kind to the earth
We will strive to reduce the use of resources and environmental impact through all available opportunities and contribute in creating a recycling-oriented society.
Developing employees with high environmental awareness
We will comply with laws related to the environment and educate and raise the awareness of our employees about the environment.

Established January 2011

System

Tokyo Tatemono Group has built a management system that matches the characteristics of each business, an office buildings business that engages in the construction and management of buildings, and a development business that engages in the development of the Brillia brand and other housing under the Group Environmental Policy. In other businesses and Group companies, business is conducted considering the environment by formulating environmental guidelines for each business based on the Group Environmental Policy.

Environmental Promotion Structure

Environmental Promotion Structure

Environmental Management of Office Buildings

In the business activities of Tokyo Tatemono, the Office Buildings Business that operates and manages office buildings (commercial) uses the most energy. The ratio of energy use makes up 93.9% of Tokyo Tatemono (calculation based on the Energy Conservation Act*). Therefore, reducing the amount of energy used in the Office Buildings Business largely contributes to the reduction of the total amount of energy use at Tokyo Tatemono.
In the Office Buildings Department, we have formulated an environmental execution plan based on a high awareness of energy conservation with consideration to the issue of climate change and strive daily in energy-saving activities. We actively adopt environmental energy-saving technologies in the development of new buildings for the purpose of building environmentally-friendly buildings praised by society. In existing buildings, we promote energy savings by strategically renewing the buildings with energysaving equipment in addition to efforts to save energy from an operational perspective and reduce the environmental impact with the help of tenants.
Moreover, in the reduction of energy consumption, we have defined unit consumption based on floor area as an indicator and set 1% unit reduction every year on average over five years as a target in accordance with the Act on the Rational Use of Energy (per unit basis also applies to GHG emissions)

  • *
    Act on the Rational Use of Energy

Ratio of Energy Use at Tokyo Tatemono by Business (2018)

Ratio of Energy Use at Tokyo Tatemono by Business (2018)

Environmental Execution Plan

Field of Initiative Target Description of Initiative
1. Energy savings through development

Acquire one of the top two levels in either certification or recertification for the third-party certifications listed in (1) to (3) in new longterm retention buildings; if the certification has already been acquired, the certification shall be maintained and acquired through subsequent certifications.
(1) 4 or 5 stars in the CASBEE for Buildings (New Construction) certification*1
(2) S-rank or A-rank in the CASBEE for Building (New Construction)*2
(3) 4 or 5 stars in the BELS certification*3

When formulating plans for new buildings, we carefully consider the matching, cost, and appeal with the characteristics of a property to incorporate environmental energy-saving technologies in design specifications (rooftop greening, reuse of rain water, visualization of tenant's energy usage, etc.)
2. Energy savings through renewal and operational improvements
Renewal of equipment
(4 years between fiscal 2016 to 2019)
Energy reduction target
Reduce the average over five years by 1% unit load each year as a crude oil equivalent
Update of equipment related to energy savings (Transition to LED lighting, update of equipment to high-efficiency heat pumps, etc.)
Awareness of environmental investment value and the amount of energy savings Use a construction history management system to aggregate investment value and energy savings every year
Energy management (1) Manage energy each month by introducing energy management systems
(2) Comprehensively manage the air-conditioning temperature in common areas
(3) Use BEMS*4 at offices that have implemented BEMS
(4) Share information to realize management that leads to maximum design performance
(5) Analyze and review the energy usage status of the previous year
(6) Execute energy diagnostics through external institutions
Cooperation with tenants (1) Save power in summer and winter seasons
(2) Distribute informational power saving pamphlets
(3) Regularly distribute information about the environment and energy
(4) Hold an energy-saving promotion conference once a year at offices that are part of the total reduction policy
3. Promotion of recycling waste Waste reduction target
Reduce the unit load of waste emissions 5% by fiscal 2022 compared to fiscal 2017 (equivalent to 1% reduction each year)

(1) Adopt recycle and reuse products
(2) Maintain a recycling rate through comprehensive management and the provisions of bins to separate garbage
(3) Consider new recycling methods
(4) Regularly inspect treatment plants
(5) Hold conferences to promote the separation of garbage with tenants

4. Water-saving measures Water reduction target
Reduce the unit load of water 5% by fiscal 2022 compared to fiscal 2017 (equivalent to 1% reduction each year)

(1) Upgrade to water-saving equipment
(2) Promote use of rain water and greywater

5. Measures to prevent global warming GHG*5 emission reduction target
Reduce the average over five years by 1% unit load each year

(1) Reduce the amount of CO2 emissions
(2) Consider power with a low CO2 emissions factor
(3) Proper management and processing of air-conditioning fluorocarbons

  • *1
    The DBJ Green Building Certification is a system established by the Development Bank of Japan to evaluate initiatives for environmental and social awareness of real estates.
  • *2
    CASBEE for Buildings (New Construction) is a system to evaluate the energy savings and environmental impact of general buildings, excluding detached housing, based on the design at the time of new construction. This system is managed by the Japan Sustainable Building Consortium and Institute for Building Environment and Energy Conservation.
  • *3
    The BELS Energy Efficiency Certification is a system to evaluate and label the energy efficiency of non-residential buildings based on guidelines issued by the Ministry of Land, Infrastructure and Tourism. This system is managed by the Jutaku Seinou Hyouka Kyoukai.
  • *4
    Building Management System (BEMS): Building energy management system.
  • *5
    GHG is an acronym that stands for Green House Gases. A generic name used for the various greenhouse gases.

Environmental Management in the Residence Business

In the Residential Development Department, we are formulating Environmentally Conscious Housing Guideline that systematized our environmental measures to promote considerations toward the environment and improve the brand value of Brillia. We design individual properties based on these guidelines for residential development and strive to reduce the environmental impact. These guidelines continue to be revised according to social changes and technological advancements.

Brillia Environmentally Conscious Housing Guideline

Three Concepts Underlying All Things

Condominiums are diverse in size, life of the building, and the materials used, which have a large impact on the environment and a wide range of distinct countermeasures. Therefore, we have put in place three concepts to Think Green, Think Lifestyle, and Think Future to incorporate in the entire Brillia series.

  • I Think Green ― Green & Cool residential spaces filled with greenery: Setting up green spaces acts as a heat island countermeasure and brings about a rich natural environment friendly to the ecosystem.
  • II Think Lifestyle ― Introduction of high-efficiency green residential equipment: High-efficiency equipment comfortably saves energy and contributes to disaster prevention in case of an emergency.
  • III Think Future ― Eco Life Cycle Improvement Plan for Energy and Greenery: Resident participation in operation and management as well as community development will continue in a cycle with concepts I and II.

Ratings for Environmental Performance

Level 1 and Level 2 have been set as two levels for environmental performance to objectively judge at what level a condominium satisfies environmental performance.
Each level is equivalent to housing performance evaluation systems and evaluated by acquiring CASBEE® and the Tokyo Green Labeling System for Condominiums.
We also put in place optional specifications for even greater consideration toward the environment.

Tokyo Green Labeling for Condominiums.

Supply Chain Initiatives

The Tokyo Tatemono Group actively incorporates environmentally-friendly technology and ideas into its products and services in every stage of its business activities in accordance with the Group Environmental Policy, and it strives to save resources and use materials that reduce the environmental impact.

Compliance with Environmental Laws and Regulations

Tokyo Tatemono follows the Group Environmental Policy and adheres to all environmental laws and regulations.
There were no violations to environmental laws or regulations or any environmental accidents in 2018.

Item Unit 2014 2015 2016 2017 2018
Violations of Environmental Laws and Regulations Incidents 0 0 0 0 0
Environmental Accidents Incidents 0 0 0 0 0
Environmental Fines Yen 0 0 0 0 0

Highly Evaluated by the World's Benchmark in Real Estate

Tokyo Tatemono has been highly evaluated by the Global Real Estate Sustainability Benchmark (GRESB)*, which is a benchmark to evaluate efforts in environmental, social, and governance (ESG) performance of real estate centers, with the highest honor of the "Green Star" for four consecutive years. We also earned the high praise of "5 stars" (out of 5 stars) in the GRESB Real Estate Rating that provides a comparative assessment based on a comprehensive score that was introduced in 2016 for two consecutive years.

  • *
    Global Real Estate Sustainability Benchmark (GRESB): ESG benchmark that specializes in real estate established through European superannuation funds and other financing.
GRESB

Acquisition of DBJ Green Building Certification Certifying Environmental and Social Awareness

Currently six properties from offices to commercial buildings owned and managed by Tokyo Tatemono have acquired the DBJ Green Building Certification Four Stars or Five Stars and received high praise.
The DBJ Green Building Certification is a system established by the Development Bank of Japan to evaluate initiatives for environmental and social awareness of real estates. The certification is ranked* from One Star to Five Stars based on a comprehensive score from five perspectives of environmental performance in the building, comfortability of tenants, risk management, consideration for the surrounding environment and community, and collaboration with stakeholders.
Tokyo Tatemono will continue to respond to social requests related to real estate from its stakeholders, respond to the diversification of tenant's needs, and develop real estate considering the environmental and social impact.

  • *
    Evaluation by rank -- Five Stars: Building with the top class environmental and social awareness in Japan; Four Stars: Buildings with exceptionally high environmental and social awareness; Three
    Stars: Building with excellent environmental and social awareness; Two
    Stars: building with high environmental and social awareness; One
    Star: Building with satisfactory environmental and social awareness

Properties Certified by the DBJ Green Building Certification

Properties Certified by the DBJ Green Building Certification

Acquisition Rate of the DBJ Green Building Certification

Acquisition Rate of Certifications for the Leasing Floor Area of Office Buildings
Acquisition Rate of Certifications for the Leasing Floor Area of Residential Buildings

Issuing Green Bonds

Tokyo Tatemono will contribute to the expansion of a sustainable society through its businesses while furthering the environmental considerations it has placed focus on up until now. It has also issued public hybrid corporate bonds (green bond) of 50 billion yen based on the Green Finance Framework in March 2019 to diversify its financing methods.
Public hybrid corporate bonds issued as green bonds were first case in Japan and its scale was also the largest in history.
Eligibility as a green bond was evaluated as the highest Green 1 of JCR Green Bond Evaluation*1 by Japan Credit Rating Agency, Ltd. (JCR).
All capital acquired through the green bond are planned to be used for the acquisition and refinancing construction capital for Hareza Ikebukuro and Nakano Central Park South, which are green buildings that fulfill the criteria of the green finance framework.

  • *1
    Third party evaluation of green bonds based on green bond principles formulated by International Capital Market Association (IMCA) and green bond guideline 2017 edition formulated by the Ministry of Environment of Japan by JCR. The evaluation evaluates whether the use of the capital is for green projects and also management, operating structure, and transparency of the bonds. These evaluations are then evaluated comprehensively to decide the JCR Green Bond evaluation.
  • *2
    Acquired or plans to acquire one of the top two levels in either certification or recertification for the third-party certifications listed in (1) to (3):
    (1) 4 or 5 stars in the CASBEE for Buildings certification
    (2) S-rank or A-rank in the CASBEE for Building (New Construction)
    (3) 4 or 5 stars in the BELS certification

Overview of the Green Bonds

Conceptual drawing of completed Hareza Ikebukuro