(HOUSTON) – Hines, the international real estate firm, is honored to announce it has won the 2021 PREA Real Estate Investment Management ESG award for its Hines European Core Fund (HECF) in the Open-End Fund category.
The prestigious annual awards recognize PREA members at the forefront of Environmental, Social and Governance (ESG) matters within real estate investing and provides the industry with associated examples of best practice. The urgency of ESG implementation continues to gather momentum worldwide given the mounting evidence of the scale of the environmental problem, and these issues are increasingly becoming central to investment decision making. Properly implemented ESG programs help foster a sustainable and socially responsible future, without sacrificing investment performance.
The HECF is an investment fund which acquires and manages a diverse portfolio of real estate assets across Europe. With a current AUM of over €2 billion spanning 30 assets, HECF has investments in 15 cities across nine countries, and strives to improve the built environment and communities it invests in.
The Fund’s ongoing actions include:
- A rigorous utility consumption monitoring program to drive optimization of building operations.
- 100% of the portfolio is covered with sustainability certificates including 14 BREEAM certified buildings, four DGNB Gold building certifications and two HQE Building Certifications (as at year-end 2019).
- Each of the Fund’s directly managed buildings, 15 in total, are using 100% renewable electricity contracts.
- Adopting a science-based target of reducing greenhouse gas emissions by 42% by 2025, and 60% by 2030 across the portfolio, against a 2018 baseline. These targets are reduced to 4% and 22% respectively for landlord-controlled areas once green tariffs are considered.
- Commitment to carbon reduction including putting in place a Net Zero target by 2030 for the Fund.
- Utilizing on-site renewable solar thermal panels providing hot water. Two of the Fund’s assets Caleido in Stuttgart and Via Crespi in Milan have already implemented.
- A focus on the human and social impact of the built environment. This includes engaging with tenants through the Hines GREEN OFFICE™ and Hines GREEN RETAIL™ Tenant Programs, voluntary schemes to encourage sustainability in the tenant’s premises.
- Active community engagement. For example, HECF makes the most of its membership with Business Improvement Districts (BIDs) to improve communities associated with its operations.
Peter Epping, Senior Managing Director and HECF Fund Manager at Hines, commented:
“It is a real privilege to win the PREA Award for our Hines European Core Fund and is testament to our team’s fantastic ongoing work, rooted in sustainable investing and local ESG-focused asset management. Our ethos is that strong sustainability management and financial performance goes hand-in-hand and creates long-term value. To be the winner in such a highly sought-after category with 59 competing funds, highlights how far our Fund has come. That said, we will not rest on our laurels as there is a lot more we want to achieve including carbon neutrality by 2030. We look forward to pushing the boundaries in ESG while creating a positive and long-lasting impact on the cities and communities we serve, while delivering strong financial returns.”
Hines is a privately owned global real estate investment firm founded in 1957 with a presence in 225 cities in 25 countries. Hines has approximately $144.1 billion¹ of assets under management, including $75.5 billion for which Hines serves as investment manager, including non-real estate assets, and $68.6 billion for which Hines provides third-party property-level services. The firm has 165 developments currently underway around the world. Historically, Hines has developed, redeveloped or acquired 1,426 properties, totaling over 472 million square feet. The firm’s current property and asset management portfolio includes 576 properties, representing over 246 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most-respected real estate organizations in the world. ¹AUM includes both the global Hines organization as well as RIA AUM.
Since entering Europe in 1991, Hines has grown its European platform to include offices in 16 cities as well as a presence in 55 cities in 13 countries, with €22.7 billion of assets under management, including €19.8 billion for which Hines serves as an investment manager and €2.9 billion for which Hines provides third-party property-level services, in Austria, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Netherlands, Poland, Spain and the United Kingdom.
Visit www.hines.com for more information.