Acquisition of External Certification
Acquisition of External Certification
DBJ Green Building Certification* Awarded
ADR has 6 properties which was awarded the DBJ Green Building Certificate.(As of August 25, 2023).
There were 8 properties that had acquired the same certification. (5.5% of total floor space, 2.9% of total number of property as of July 2023)
* DBJ Green Building Certification is a certificate developed by Development Bank of Japan Inc. (DBJ) to identify and certify real estate properties that satisfy various social needs including environmental quality. Please refer to the following sites for details.
Development Bank of Japan Inc.
Four Stars ★★★★ Properties with exceptionally high environmental and social awareness
Three Stars ★★★ Properties with excellent environmental and social awareness
Awarded “ CASBEE” Certification
ADR has 17 properties which was awarded the CASBEE Certificate.(As of August 25, 2023).
There were 15 properties that had acquired the same certification. (23.2% of total floor space, 5.4% of total number of property as of July 2023)
* Comprehensive Assessment System for Built Environment Efficiency (CASBEE) is a method for evaluating and rating the environmental performance of buildings. It is a comprehensive assessment regarding the reduction of environmental loads such as conservation of energy and resources as well as the quality of a building including interior comfort and scenic aesthetics. The CASBEE rankings include “S”, “A”, “B+”, and “B,” in descending order.
S Rank ★★★★★
A Rank ★★★★
Awarded “Building-Housing Energy-efficiency Labeling System (BELS)” Certification
ADR has 2 properties which was awarded the BELS Certification.(As of November 16, 2023).
*BELS (Building-Housing Energy-efficiency Labeling System) is a third party certification system in Japan that displays the energy saving performance of buildings. Real estate companies (and others) are required to strive to display the energy-saving performance of buildings based on the Act on the Improvement of Energy Consumption Performance of Buildings (“Building Energy Efficiency Act”). BELS is evaluated based on the guidelines for energy saving performance display of buildings set by the Ministry of Land, Infrastructure, Transport and Tourism, and the certification rating is represented by the numbers of stars on a five-tire (one star “★” to five stars “★★★★★”) evaluation scale.
For details about BELS , please refer to the URL below (Japanese only) :
Participation in GRESB Assessment
In 2014 ADR became the first residential J-REIT* to participate in the GRESB** Real Estate Assessment.
In the FY2023 GRESB Real Estate Assessment, ADR has been selected as a “Sector Leader” in the Listed Residential sector in Asia for the fourth consecutive year and first time selected as “Asia Sector Leader” for all listed and unlisted participant.
In addition, ADR received a high “4 Stars” rating for second consecutive year, the higher rank out of five levels in the GRESB rating which indicates a relative evaluation based on the global ranking of the overall score,and has been awarded the “Green Star” rating, which is given to operators that are evaluated as excellent in both the “Management Component,” which evaluates ESG promotion policies and organizational structure, and the “Performance Component,” which evaluates the environmental performance of properties owned and initiatives for tenants, for the eighth consecutive year.
Furthermore, ADR received the highest rating of “A” in the ESG disclosure component (“GRESB Disclosure Assessment”) for sixth consecutive years for its efforts in ESG information disclosure.
By continuing to participate in the assessment ADR and its asset manager ITOCHU REIT Management Co., Ltd. (IRM) will strive to improve their quality of the measures they will take in regards of sustainability and score higher in the assessment.
*Residential J-REIT is an investment corporation listed on the Real Estate Investment Trust Securities Market of the Tokyo Stock Exchange whose principal investment is in residential properties and whose portfolio investment ratio in residential properties is 50% or more.
**GRESB is an industry-driven organization established by European pension funds committed to assessing the sustainability performance of real estate portfolios (public, private and direct) around the globe. The dynamic benchmark is used by institutional leading investors in Europe, the U.S. and Asia to engage with their investments in an aim to improve the sustainability performance of their investment portfolio, and the global property sector at large.
Acquisition of SBT Certification
ADR obtained SBT* certification in March 2023 for our GHG emissions reduction target by FY2030 (reducing the total amount by 51% from the FY 2018 level), as Science Based Targets, which is consistent with the level required by the Paris Agreement.
*SBT (Science Based Targets: emission reduction targets based on scientific evidence) is GHG emission reduction targets set by companies that are consistent with the levels required by the Paris Agreement (which aims to limit the global temperature increase to well below 2°C above pre-industrial levels and and pursuing efforts to limit warming to 1.5°C). The SBT Initiative is an international initiative of CDP, the United Nations Global Compact (UNGC), the World Resources Institute (WRI), and the World Wide Fund for Nature (WWF) to certify companies that set SBT.
MSCI Japan ESG Select Leaders Index
Advance Residence Investment Corporation (ADR) was the only residential J-REIT to be selected as a constituent of “MSCI Japan ESG Select Leaders Index*” by MSCI** on the launch of the index in 2017.
Although in 2018 ADR was excluded from the index, IRM were able to improve ADR’s ESG rating for this index from BB to A since 2021..
The index selects companies in the “MSCI Japan IMI Top 500 Index” that have high “Environmental,” “Social” and “Governance” (ESG) profile relative to their sector peers.
Furthermore, the Government Pension Investment Fund (GPIF) announced that it has selected the index for their ESG investment strategy.
ADR has been managing its assets with ESG performance in mind, and it will endeavor to further increase its value by improving its long-term ESG performance.
For further information on the “MSCI Japan ESG Select Leaders Index”, please refer to the website listed below.
MSCI is one of the largest investment information provider and has been providing investment information to institutional investors for more than 40 years.
Participation in RobecoSAM's CSR Rating
In 2018, ADR became the first residential J-REIT to be rated on its CSR performance by RobecoSAM, This CSR rating is used to determine constituent companies of Dow Jones Sustainability Diversified Index Series.
Participation in Japan Climate Initiative
ADR and IRM subscribes to the fundamental principles of Japan Climate Initiative (JCI) and became a member in July 2019.
Following the establishment of the “Paris Agreement” for the prevention of global warming in 2015, JCI was established by a coalition of Japanese corporations, municipalities NGOs. Members of JCI aims to voluntarily and actively engaged in climate change countermeasures to realize a decarbonize society.
For more information on this issue, please visit the Japan Climate Initiative website.