Materiality, Targets & KPIs

Materiality, Targets & KPIs

We have identified materiality as an important issue to be solved as a priority in promoting sustainability, and has established targets and KPIs. While working on these goals, we will strive to achieve medium- to long-term growth.


(sustainability-related important issues)

Targets and KPIs

Results References

Climate change-related initiatives (contribution to low-carbon society)
Management and reduction of energy consumption, CO2 emissions, water consumption, and waste emissions

FY2030 to date (vs. FY2018)
・Energy consumption: 20% reduction (intensity)
・CO2 emissions (GHG)
Scope 1 & 2: 51% reduction (total)
Net zero by FY2050
Scope 3: Identification of corresponding categories and scope determination and calculation
・Water consumption: Do not increase (common areas)
・Waste: Recycling rate 65% (emissions related to construction of exclusive use areas)

Targets and Results
Acquisition of environmental and energy-saving certifications ・Proportion of environmental and energy-saving certifications acquired by FY2030
30% or more (by total floor space)
Certification Status
Collaboration with stakeholders on environmental considerations ・Conduct periodic supplier (PM / BM / contractors) training, exchanging opinions, and monitoring.
・Conclude green lease clauses for all newly contracted units
・Raise sustainability awareness through regular training for investment management company employees
Supply Chain Management
Initiatives for stakeholders
Improvement of tenant satisfaction, engagement with tenants ・Conduct periodic tenant satisfaction surveys
・Install disaster prevention maps in all properties
・Make disaster prevention goods available at no charge for all
・Distribute sustainability guidelines to all units
・Conduct education on sustainability and disaster prevention at all properties
Initiatives for Tenants
Contributing to local communities ・Promote installation of AED equipment at all properties
・Promote installation of donation vending machines
・Support employees' volunteer activities, donate to charitable organizations, etc.
・Participate in regional activities,Local revitalization through dialogue with local communities
Contributing to Local Communities
Pursuit of unitholders’ profit through customer-oriented business conduct ・Establish system for managing conflicts of interest in the oversight of multiple funds
・Conduct honest, transparent disclosure
・Pursue unitholders' interests through the establishment of an asset management fee structure linked to investment performance
Basic Policy on Customer-Oriented Business Conduct

Initiatives for officers and employees

Promoting diversity and talent development ・Average years of service: 5 years or more
・Proportion of female employees: 30% or more
・Proportion of female managers: 15% or more
・Organize and encourage employees to attend training and acquire qualifications for continuous employee skill development
Key Human Resource Data
Creating a work environment for Decent Work ・Leave acquisition ratio: 70% or more
・Zero turnover due to life events, including use of childcare and nursing care leave systems
・Percentage of employees taking childcare leave: 50% or more
・Frequency rate of occupational accidents: Zero
・Conduct employee satisfaction surveys and undertake improvements
・Average monthly overtime / Less than 45 hours (Compliance with 36 agreements)
Work-Life Balance
Strengthening of governance
Strong corporate governance structure ・Development of governance structure
・Increase in the number of fund officers and appointment of female officers comprising 25%
・Conduct in-house compliance training, achieve 100% participation rate
・Maintain and improve the effectiveness of committees and the Board of Directors
・Conduct an internal audit once a year to ensure the feasibility of internal controls.
Corporate Governance
Risk management for sustainable business growth
Strengthening of resilience ・Response to severe disasters (earthquakes, floods, etc.)
・Response to TCFD (assessment and calculation of climate change-related risks and opportunities)
・Acquire CDP and SBTi certification
・Conduct annual BCP training
Climate Change Initiatives

Materiality Identification Process

We have identified our materiality using the following methodology.


We have identified issues for consideration from wide range of issues concerning economy, environment and society by referring to guidelines from GRI Standards and external evaluations (GRESB, DJSI, MSCI ESG, etc.)


We determined nine issues to be material among the identified issues, for consideration by evaluating and ranking the potential impact on ADR and the level of stakeholder’s concern regarding the issues.


The nine issues that have been identified as material at our sustainability committee, have been authorized by our Representative Director as issues material to ADR’s initiatives in promoting sustainability.


In order to flexibly address to changing challenges, reflect stakeholders expectations and improve our disclosure transparency we will periodically review our materiality.