Kenedix Real Estate Fund Management, Inc. contributes to society through investment management activities and creation of real estate value.
We have positioned initiatives on ESG (Environmental, Social and Governance) awareness as an important business management issue. To promote initiatives on ESG, we have established the following Sustainability Policies.
Contribution to sustainable environmentWe make positive contribution to sustainability by reducing the negative impact to the environment through continuously reducing energy and water consumption, CO2 emission and waste; and by eliminating and managing of hazardous materials to carry out the social mission of improving the environmental performance of properties we manage.
Commitment to diverse society
We contribute to realize the diverse society, considering the social impact of our properties. We endeavor to deliver built environment where safety, health and wellbeing and diversity of tenants and local community are secured.
We manage our properties as a responsible real estate asset management company by stressing the importance of engagement with our stakeholders such as investors, tenants, business partners, local communities and property management companies.
Attractive working environment
We aim to deliver attractive working environment by implementing measures to promote employees' health & wellbeing and diversity & equal opportunities. We develop capabilities of employees to help them achieve the best performance by providing various educational opportunities such as trainings.
We ensure compliance and sound risk management in our entire business activities. We are committed to responsible property investment by a responsible organization by aligning with global ESG initiatives and proactively disclosing ESG information.
The officers and employees of Kenedix Real Estate Fund Management, Inc. ("KFM") will undertake investment management operations in accordance with the following environmental policies.
Compliance with Environmental Laws and RegulationsKFM will promote environment-friendly investment management operations by adhering to environmental laws and regulations.
Promotion of Energy Conservation MeasuresKFM will systematically advance energy conservation measures at its managed properties, maintaining a strong awareness of the importance of natural and energy resources.
Reduction of Environmental BurdenKFM will undertake initiatives to reduce CO2 and waste emissions as well as promote recycling at its managed properties, underscoring its commitment to alleviating its environmental burden. In addition, KFM will take sufficient care when handling harmful substances and environmental pollutants.
Disclosure of Environmental InformationKFM will work to disclose necessary information to a variety of concerned parties, including investors, tenants and business partners, in such areas as its environmental policies and measures.
Environmental EducationKFM will take steps to improve the environmental consciousness of its officers and employees through internal education.
Converting emergency guide lights and lighting to LED
We are encouraging reduction of electricity consumption at each of our owned properties from the perspective of environmental consideration and cost reduction. Our efforts include converting emergency guide lights, lighting in common-use areas/leased areas, etc. to LED for actively promoting reduction of light bulb replacement costs and electricity expenses.
Cooperating with communities in bicycle sharing
We have offered portions of our property sites to serve as bicycle parking for bicycle sharing introduced in various locations in Tokyo. Such cooperation enhances convenience for tenants and local residents as well as serves the public interest.
Entering into Green Lease (Note) Agreements
KDO has executed Green Lease Agreements with some of its tenants.
KDO conducted LED lighting installation works for tenant office spaces at the expense of KDO based on the agreements. A certain ratio of a reduced amount of electricity charges and maintenance costs (costs for exchanging fluorescent bulbs) has been paid by the tenants in return.
(Note) Green Lease means one of the environment-conscious initiatives to reduce environmental burden through sharing the economic merits generated as a result of energy-saving renovation works among building owners and tenants in order to lessen building owners' investment burden and thus promote such renovations to create more environmentally-friendly office buildings.
A "SATOYAMA Unit" is a group planting unit of conventional seeds and plants remaining dormant in deserted village forests (called "satoyama"). We have installed the units at the entrance of KDX Residence Okachimachi. Through the installation of the "SATOYAMA Units," we contribute to activities for restoring satoyama, as well as provide a comfortable living environment and help prevent bicycles from being left in no-parking areas.
Installation of LED lights in common areas
We implement a variety of initiatives to conserve energy from the viewpoints of environmental awareness and cost reduction. As one measure in this endeavor, we replace lighting fixtures in common areas, etc. with LED lights. By doing so, we work to reduce the costs for replacing lights as well as electricity charges.
We promote installation of LED lighting to reduce replacement costs and to conserve energy. We also make efforts to reduce environmental burden by undertaking initiatives to reduce CO2 and waste emissions.
Collaboration with local communities
We are making efforts to enliven local communities by holding community-participating events at our properties and cooperating in disaster prevention.
Social contribution activities
We support the activities of Japan for UNHCR (United Nations High Commissioner for Refugees) by providing use of the common areas of our properties for their fund-raising campaigns.
GRESB (Global Real Estate Sustainability Benchmark) is an annual benchmark that measures the environmental, social, and governance (ESG) considerations in the real estate sector. Many institutional investors use GRESB assessments when selecting investment targets and for dialogues with companies where they have made investments.
Kenedix Real Estate Fund Management, Inc., is a participant member of GRESB.
For more information on GRESB, visit the GRESB website from the link to the right.
Signing on to the PFA 21
The PFA21 (the Principles for Financial Action for the 21st Century) is the guideline of financial institutions to fulfill their responsibilities and roles required for the formation of a sustainable society. Signing financial institutions will implement initiatives based on the seven principles as much as possible based on their own businesses.
Kenedix Real Estate Fund Management, Inc. has signed on to the PFA21 and is ambitious to become a real estate asset management company that commits to responsible investment through the practice of the PFA21.
For more information on the 21st Century Principles of Financial Action, visit the PFA21 website from the link to the right.
Human Capital Development
As part of the engagement process with its employees, the Kenedix Group takes measures and adopts programs for developing employees' capabilities and enhancing their professional skills, as described below.
Employees receive their evaluation every six months. Management holds interviews with each employee to discuss his/her career opportunities.
Talent pipeline development strategy
Kenedix Real Estate Fund Management constantly accepts experienced professionals from a pool of talent from Kenedix, Inc., its sponsor.
Training and capacity development programs
Implementation of various education and training sessions
The company provides its employees with various programs to enhance their skills and capabilities such as the training for new employees, specialized teach-in sessions for sustainability and compliance, management/leadership development trainings, and English-speaking programs, etc.
Encouraging to obtain professional qualifications
The Kenedix Group supports the careers of its employees. Employees are encouraged to obtain professional qualifications, and the costs for these qualifications are covered by the company. The number of licensed employees are as follows.
Real estate notaries
ARES certified masters
Licensed senior architects
Real estate appraisers
Certified building administrators
Certified real estate consulting masters
Chartered members of SAAJ
Certified public accountants (Japan)
Certified public accountants (US)
(Note) As of December 31, 2019.
Childcare leave and nursing-care leave systems
In addition to the requirement by laws and regulations, the company provides financial support for its employees travel to and from childcare facilities during their commute, and allow employees to take special leave for nursing care.
The company provides a formal grievance procedure, where employees are allowed to report any personal issues or issues regarding the company to external counselors, without being noticed by the company.
The company adopts various measures to improve the workplace environment so that employees can work continuously over a long period of time. The company and its sponsor, Kenedix, Inc. have never conducted lay-offs or other employment adjustment since their establishment. For reference, the latest employee turnover rate at Kenedix Real Estate Fund Management was 4.4% for 2017, 3.9% for 2018 and 2.9% for 2019.
(Note) The turnover rate figures do not include employee transfer within the Kenedix Group.