Since commercial buildings account for about 40% of greenhouse gas emissions in the developed world, the real estate industry has a key role to play in tackling climate change. One of the most important ways that a business can improve sustainability performance is through the management of their real estate.JLL manages 3.4 billion square feet of space globally for our clients, so we can contribute by developing industry-leading strategies, tools and technologies that help clients improve energy efficiency and control associated costs. We have a significant opportunity to have a meaningful effect on the impacts of climate change while also remaining profitable for our clients and shareholders.To reduce the impact of the buildings we occupy and manage while acting as a good corporate citizen, JLL established a
Global Sustainability Commitment in 2008.
Energy management – Whether for a single asset or a complex portfolio, we help our clients develop comprehensive energy management programs that provide measurable savings. Our holistic approach considers not just how facilities are built, operated and maintained, but their location and productivity of their employees as well.Renewable energy – We advise clients across a range of renewable technologies including photovoltaic, wind and biomass. Our capabilities in renewable energy allow us to provide local and worldwide solutions designed to meet each client’s unique objectives.
Other sustainability services – We are a leader in providing energy and sustainability services to clients around the world. For more information on our services in this area, see our global Energy and Sustainability Services (ESS) page for
investors and developers. The client energy savings tables below demonstrate our success in this area.
Data note: All figures relate to our U.S. managed portfolio and are based on extrapolated data from ENERGY STAR.
Data note: These figures assume: 1) the annual savings from prior years occur each subsequent year in perpetuity and at the same rate 2) these savings are then added to new savings for each year 3) our clients' buildings exist in perpetuity with all energy reduction measures still in place 4) savings are recognized regardless of whether JLL continues to manage our clients' buildings 5) 2007 is the baseline. For example, $171M in cumulative energy savings = $38M + $38M + $95M.
‘A Cleaner Tomorrow’ (ACT) – ACT is a firm-wide initiative established in 2008 to drive reductions in our own use of energy, waste and water at home and in the office. ACT encourages behavioral change among employees and emphasizes how individual behaviors go a long way in contributing to a more sustainable workplace.Energy and carbon reduction – Prior to 2012, JLL focused on 15 sustainability targets. When renewing our ambitions, we chose to narrow our focus to three operations-based targets. This allows us to focus our efforts, reduce our environmental impact, and meet the needs of our stakeholders. Using 2012 as our baseline, we commit to the following by the end of 2017 in JLL’s offices:
• Reduce building greenhouse emissions* per employee by 10%
• Reduce building energy* per employee by 10%
• Reduce rented area per employee by 8%
*Includes directly billed and estimated energy for JLL’s global portfolio.
IT solutions – Across our global operations, we have established video conferencing and online meeting facilities to increase connectivity and reduce emissions from business travel. If travel is necessary, we aim to reduce emissions from travel through selecting more sustainable forms of transport i.e. rail rather than flight.
Regional programs – There are numerous regional and local programs that aim to reduce our own footprint. For example, Building for Tomorrow is JLL’s UK sustainability program that focuses on reducing the environmental footprint of our own offices through its workplace agenda.
JLL reports externally on its sustainability performance through the firm’s annual Global Sustainability Report, CDP response, and through application of integrated reporting principles in our financial documents (see our
Downloads and Links and
Investor Relations pages). JLL has elected to report in line with the Global Reporting Initiative (GRI) G4 sustainability reporting guidelines, according to the Core ‘in accordance’ level.
As a global company with clients in over 80 countries, JLL is subject to a range of environmental legislations. JLL’s business is affected by federal, state and/or local environmental laws in the countries where we manage properties for clients. We may face liability with respect to environmental issues occurring at properties that we manage, or in which we invest. We may face costs or liabilities under these laws as a result of our role as an on-site property manager or a manager of construction projects. For example, in Australia it is an offence under the NSW Protection of the Environment Operation Act 1997 for an owner of waste to cause or permit the transportation of waste to a place that cannot lawfully be used as a waste facility. In its capacity as building managers, JLL has a duty of care to manage the waste appropriately through cleaning and waste management to avoid prosecution for non-compliance.
Current and future legislation mandating specific building energy performance levels may pose a risk for investments made on behalf of clients. For example, under the UK Energy Act of 2011, it will be unlawful to let the worst performing commercial buildings (with F- and G-ratings) after April 2018. Therefore there is now a higher degree of risk associated with F and G-rated properties compared to buildings with better ratings.
Policy and commitments