PREI® issues Sustainability Report

Firm adds $56.4m to portfolio value through sustainable initiatives, commits to adding $100m over next 12 to 24 months

International Place (Photo: Business Wire)

MADISON, N.J.--()--Prudential Real Estate Investors today released its annual Sustainability Report outlining its achievements during 2011 and goals for 2012 and beyond. PREI® adopted a socially responsible investment policy and added $56.4 million to the value of its global portfolios through sustainable initiatives, exceeding its self-imposed $50 million goal. It also committed to adding an additional $100 million in value over the next 12 to 24 months. PREI is the real estate investment and advisory business of Prudential Financial, Inc. (NYSE: PRU).

“Our primary responsibility as an investment advisor is to add long-term economic value to our clients’ portfolios. Making a habit of incorporating sustainable practices, appropriate social policies and corporate governance into our decision-making process allows us to align our fiduciary responsibility with our goal of being good corporate citizens,” said Allen Smith, CEO of PREI. “Adopting a new socially responsible investment policy and exceeding our $50 million goal of added portfolio value demonstrates our commitment to our clients.”

PREI added investment value to many of its properties around the globe through a variety of initiatives. For example, at Tiong Bahru Plaza, a suburban mall in southern Singapore, the company is installing variable speed drives for air conditioning chillers and water pumps, replacing chilled water pumps, condenser water pumps, cooling towers and a fan coil unit. The company projected these energy efficiency improvements will add more than $2.1m to the value of the asset.

With an investment of $26,200 at the BHP Tower in Krakow, Poland, the firm determined it added more than $300,000 in value by replacing less efficient mechanical system components, reducing the operating hours of the mechanical system through a high-tech building management system, installing LED light fixtures in common areas, installing a more environmentally-friendly refrigerant, and other energy saving measures.

By improving energy and water efficiency with improved lighting and plumbing fixtures the company estimates more than $3 million in value was added to a portfolio of retail properties in Latin America.

In the United States, the company calculated it added $9.6 million in value through solar roof leases, $5.4 million through a bidding process for power procurement, $3.4 million through more efficient parking lot lighting and $24.9 million through energy efficiency improvements such as lighting, motors and mechanical equipment. Some specific examples include an industrial warehouse in New Jersey where the company leased 871,200 square-feet of roof space to a solar developer, generating 6,800 kilowatts of electricity and adding $3.9 million in value to the property. It also leased 420,000 square-feet of roof space across 18 self-storage facilities, generating 3,270 kilowatts of power and adding $5.1 million of value to the portfolio.

PREI’s global strategy proved so successful that the Global Real Estate Sustainability Benchmark 2011 survey included PREI’s Asian Retail Fund among its top five private funds in Asia. It also awarded the firm’s Latin America Fund, PLA Retail Fund I, the prestigious “Green Star” designation from the GRESB Foundation.

PREI’s report outlines efforts within its business, as well. The company is currently seeking LEED Platinum status for its new corporate headquarters in Madison, N.J., which opened on May 14, 2012, and recently achieved LEED Silver status for its new regional Atlanta office.

Other achievements highlighted in the 2011 Sustainability report include:

  • Completing more than 450 green building assessments
  • Measuring the carbon footprint of 167 buildings in 16 countries
  • Total green building certifications valued at nearly $8billion

Click here to read the full report

PREI is a leader in the global real estate investment management business, offering a broad range of investment vehicles that invest in private and public market opportunities in the United States, Europe, the Middle East, Asia, Australia and Latin America. Headquartered in Madison, N.J., PREI has other offices in Atlanta, Chicago, Miami, New York, San Francisco, London, Lisbon, Luxembourg, Madrid, Munich, Paris, Istanbul, Abu Dhabi, Mexico City, Rio de Janeiro, Sao Paulo, Beijing, Hong Kong, Seoul, Singapore, and Tokyo. In addition, PREI has representatives in Milan and is establishing a presence in Sydney (pending regulatory approval). As of March 31, 2012, PREI managed approximately $51.1 billion in gross real estate assets ($33.4 billion net) on behalf of more than 490 clients worldwide. For more information, visit http://www.prei.com.

Prudential Financial, Inc. (NYSE: PRU), a financial services leader with approximately $943 billion of assets under management as of March 31, 2011, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds, investment management. In the U.S., Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit http://www.news.prudential.com/

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Contacts

Prudential
John Chartier, (973) 802-9829
john.chartier@prudential.com

Contacts

Prudential
John Chartier, (973) 802-9829
john.chartier@prudential.com