Public HTML RI reports - PRI reporting framework 2020

Nuveen, a TIAA Company

PRI reporting framework 2020

Basic information [OO 01 - 09] Asset class implementation gateway indicators [OO 10 - 12] Peering questions [OO LE 01 - HF 01]

Strategy and Governance

Investment policy [SG 01 - 04] Objectives and strategies [SG 05 - 06] Governance and human resources [SG 07 - 08] Promoting responsible investment [SG 09 - 11] Outsourcing to fiduciary managers and investment consultants [SG 12] ESG issues in asset allocation [SG 13 - 15] Asset class implementation not reported in other modules [SG 16 - 17] Innovation [SG 18] Communication [SG 19]

Direct - Listed Equity Incorporation

ESG incorporation in actively managed listed equities [LEI 01 - 10] Implementation processes [LEI 01 - 10] (A) Implementation: Screening [LEI 04 - 06] (B) Implementation: Thematic [LEI 07] (C) Implementation: Integration of ESG factors [LEI 08 - 10] ESG incorporation in passively managed listed equities [LEI 11] Outputs and outcomes [LEI 12 - 13]

Direct - Listed Equity Active Ownership

Overview [LEA 01] Engagement [LEA 02 - 08] Outputs and outcomes [LEA 09 - 11] (Proxy) voting and shareholder resolutions [LEA 12 - 21]

Direct - Fixed Income

ESG incorporation in actively managed fixed income [FI 01 - 12] Implementation processes [FI 01 - 03] (A) Implementation: Screening [FI 04 - 06] (B) Implementation: Thematic [FI 07 - 09] (C) Implementation: Integration [FI 10 - 12] ESG incorporation in passively managed fixed income [FI 13] Fixed income - Engagement [FI 14 - 16] Outputs and outcomes [FI 17 - 18]

Direct - Property

Overview [PR 01] Fundraising of property funds [PR 02 - 03] Pre-investment (selection) [PR 04 - 06] Overview [PR 08] Property monitoring and management [PR 09 - 10] Property developments and major renovations [PR 11] Occupier engagement [PR 12 - 13] Community engagement [PR 14] Outputs and outcomes [PR 15 - 16]

Direct - Inclusive Finance

Context [IFD 01 - 06] PIIF Principle 1: Range of services [IFD 07 - 10] PIIF Principle 2: Client protection [IFD 11 - 13] PIIF Principle 3: Fair treatment [IFD 14 - 17] PIIF Principle 4: Responsible investment [IFD 18 - 24] PIIF Principle 5: Transparency [IFD 25 - 27] PIIF Principle 6: Balanced returns [IFD 28 - 31] PIIF Principle 7: Standards [IFD 32 - 34]

Indirect - Inclusive Finance

Context [IFI 01] Selection [IFI 02] Contractual agreements and mandate design [IFI 03] Investment manager monitoring and reporting [IFI 04 - 05] Disclosure [IFI 06 - 07]

Confidence building measures

Confidence building measures [CM1 01 - 07]

Export Public Responses

You are in Direct - Property » Post-investment (monitoring and active ownership)

Post-investment (monitoring and active ownership)

Overview

PR 08. ESG issues in post-investment activities

08.1. Indicate if your organisation, and/or property managers, considers ESG issues in post-investment activities relating to your property assets.

Yes

08.2. Indicate whether your organisation, and/or property managers, considers ESG issues in the following post-investment activities relating to your property assets.

We consider ESG issues in property monitoring and management

We consider ESG issues in property developments and major renovations.

We consider ESG issues in property occupier engagements

We consider ESG issues in community engagements related to our properties

We consider ESG issues in other post-investment activities, specify

08.3. Describe how your organisation, and/or property managers, considers ESG issues in post-investment activities related to your property assets.

Nuveen Real Estate's Tomorrow's World Sustainability approach places a significant focus on the consideration of ESG issues in post-investment activities. Nuveen Real Estate has a whole programme dedicated to the effective management of ESG risk and opportunities during the post-investment process, referred to as the Sustainable Property Management programme. A core part of this initiative is the monitoring and management of ESG issues for existing assets, developments and major renovations, and occupier and community engagement.

With regards to monitoring and reporting, a reporting framework has been established which involves the quarterly review of key requirements as outlined in the Property Management Agreement. This primarily includes the review of asset-level environmental performance data and sustainability action plans in the context of asset-, portfolio-, and house-level targets. The Sustainability team, working with a sustainability consultant, reviews and reports on performance metrics for all properties on a quarterly basis, directly distributing this information to asset managers and portfolio managers and incorporating the data into the investor quarterly reports. Beyond this formal review which is undertaken at quarterly intervals, there is of course the expectation that property managers manage the day-to-day ESG aspects via their dedicated Environmental Management Systems.

In relation to property developments and major refurbishments, Nuveen Real Estate has a set of clear development principles and guidelines for all property managers and principle contractors to ensure that the standards are followed. Where appropriate, this can include the targeting of particular certification (e.g., all new construction and development projects located in the United States must be designed and built to achieve LEED certification), operational efficiency benchmarks, and the need to participate in industry assessment initiatives such as the Global Real Estate Environmental Benchmark New Construction and Major Refurbishment module.

Occupier engagement continues to be an important issue for Nuveen Real Estate. The approach and drivers for occupier engagement are sector specific, with a greater focus on the Health and Wellbeing agenda for the office sector, as compared to the themes of waste management and tenant fit-out in the retail sector. An area of interest for Nuveen Real Estate in the immediate future is engaging with tenants in order to access energy consumption data outside of Nuveen Real Estate's operational control and how to account for this within the context of target setting. In the U.S., the Kingsley Survey is distributed annually to occupiers to assess their satisfaction with various aspects of property management at our properties (including Sustainability programs); the results are compared with the Kingsley Index as well as across peer firms, and they inform how we shape the Property Management Policies and Procedures.

Finally, community engagement forms a significant part of our post investment activities for retail assets in particular. Recognising the role that Nuveen Real Estate's assets can play in supporting the community, Nuveen Real Estate encourages a number of initiatives in its shopping centres, outlet malls, and retail parks. This includes the sponsorship of local community groups and adjusting the customer journey/experience of our assets to ensure they are sensitive to local needs (for example, the accessibility requirements of an ageing population).

Property monitoring and management

PR 09. Proportion of assets with ESG targets that were set and monitored

09.1. Indicate the proportion of property assets for which your organisation, and/or property managers, set and monitored ESG targets (KPIs or similar) during the reporting year.

>90% of property assets

51-90% of property assets

10-50% of property assets

<10% of property assets

(in terms of number of property assets)

09.2. Indicate which ESG targets your organisation and/or property managers typically set and monitor

Environmental

Target/KPI

Progress Achieved

          Improve energy performance of portfolio

          Target operational and 'as designed' green building certificates

          Undertake environmental risk assessments as part of standard due diligence process for all acquisitions

          Good

          Good

          Good

Social

Target/KPI	Progress Achieved
Enhance occupier engagement Enhance community engagement Integrate sustainability requirements into standard leases and monitor compliance	Good Good Good

Governance

Target/KPI

Progress Achieved

          Disclose sustainability performance in investor reports in line with INREV best practice reporting standards and GHG  Protocol Standards

          Monitor Property Managers' compliance with sustainability specific requirements

          Good

          Good

We do not set and/or monitor against targets

09.3. Additional information. [Optional]

PR 10. Certification schemes, ratings and benchmarks

10.1. Indicate whether your property assets are assessed against certification schemes, ratings and/or benchmarks

Yes

10.2. List the certification schemes, ratings and/or benchmarks your property assets are assessed against and what proportion of your property assets they apply to.

Add certification scheme, rating and benchmark 1

Specify	BREEAM
Proportion of property assets these apply to	>90% of property assets 51-90% of property assets 10-50% of property assets <10% of property assets (in terms of number of property assets)

Add certification scheme, rating and benchmark 2

Specify	ENERGY STAR
Proportion of property assets these apply to	>90% of property assets 51-90% of property assets 10-50% of property assets <10% of property assets (in terms of number of property assets)

Add certification scheme, rating and benchmark 3

Specify	LEED
Proportion of property assets these apply to	>90% of property assets 51-90% of property assets 10-50% of property assets <10% of property assets (in terms of number of property assets)

10.3. Indicate if your organisation uses property specific reporting standards to disclose information related to your property investments’ ESG performance.

Global Reporting Initiative (GRI) Construction & Real Estate Sector Supplement (CRESS)

Other property reporting standards, specify

          INREV Sustainability Reporting Recommendations

No property specific reporting standards are used

10.4. Additional information.

Property developments and major renovations

PR 11. Proportion of developments and refurbishments where ESG issues were considered

11.1. Indicate the proportion of active property developments and major renovations where ESG issues have been considered.

>90% of active developments and major renovations

51-90% of active developments and major renovations

10-50% of active developments and major renovations

<10% of active developments and major renovations

N/A, no developments and major renovations of property assets are active

(by number of active property developments and refurbishments)

11.2. Indicate if the following ESG considerations are typically implemented and monitored in your property developments and major renovations.

Environmental site selection requirements

Environmental site development requirements

Sustainable construction materials

Water efficiency requirements

Energy efficiency requirements

Energy generation from on-site renewable sources

Waste management plans at sites

Health and safety management systems at sites

Health and wellbeing of residents

Construction contractors comply with sustainability guidelines

Resilient building design and orientation

Other, specify

11.3. Additional information. [Optional]

Occupier engagement

PR 12. Proportion of property occupiers that were engaged with

12.1. Indicate the proportion of property occupiers your organisation, and/or your property managers, engaged with on ESG issues during the reporting year.

>90% of occupiers

50-90% of occupiers

10-50% of occupiers

<10% of occupiers

(in terms of number of occupiers)

12.2. Indicate if the following practises and areas are typically part of your, and/or your property managers’, occupier engagements.

Distribute a sustainability guide to occupiers

Organise occupier events focused on increasing sustainability awareness

Deliver training on energy and water efficiency

Deliver training on waste minimisation

Provide feedback on energy and water consumption and/or waste generation

Provide feedback on waste generation

Carry out occupier satisfaction surveys

Health and wellbeing of residents

Offer green leases

Other, specify

12.3. Additional information. [Optional]

PR 13. Proportion of green leases or MOUs referencing ESG issues

13.1. Indicate the proportion of all leases signed during the reporting year that used green leases or the proportion of Memoranda of Understandings (MoUs) with reference to ESG issues.

>90% of leases or MoUs

50-90% of leases or MoUs

10-50% of leases or MoUs

<10% of leases or MoUs

0% of leases or MoUs

N/A, no leases or MoUs were signed during the reporting year

(in terms of number of leases or MoUs)

13.2. Additional information.

Nuveen Real Estate has a green lease framework which establishes the thematic expectations of its occupiers. This forms the basis of Nuveen Real Estate’s negotiation position. Nuveen Real Estate then works with its external counsel to ensure that this negotiation position is protected. In the event that leases are inherited from a prior owner that do not include green leasing, provisions are included, where possible, in renewals.

Community engagement

PR 14. Proportion of assets engaged with on community issues

14.1. Indicate what proportion of property assets your organisation, and/or your property managers, engaged with the community on ESG issues during the reporting year.

>90% of property assets

50-90% of property assets

10-50% of property assets

<10% of property assets

(in terms of number of property assets)

14.2. Indicate if the following areas and activities are typically part of your, and/or your property managers’, community engagement.

ESG education programmes for the community

ESG enhancement programmes for public spaces

Research and networking activities focusing on ESG issues

Employment creation in communities

Supporting charities and community groups

Other, specify

14.3. Additional information.

Community engagement initiatives are encouraged through the delivery of asset-specific sustainability action plans and many of our assets and property management teams have strong links with local charities and community groups. Activities include fundraising, staff volunteering, hosting events, offering vacant units for local charities and organisations to use, partnering with local authorities and organisations on ESG topics and events, and facilitating educational programmes with local schools and community groups.

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