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Let's Build Sustainable Communities Let’s build sustainable communities 2014 Sustainability Report Let’s build sustainable communities 2014 Sustainability Report 1 Makati Central Business District 2 Let’s build sustainable communities Our Company Ayala Land is the leading, most diversified property developer in the Philippines today, with a proven track record in developing large-scale, integrated, mixed-use communities that become thriving economic centers in their respective regions. To achieve this, we pioneer standards and practices that reflect an understanding and respect for the importance of sustainability. Following the success of the Makati Central Business District (Makati CBD), Ayala Alabang, Cebu Park District, Bonifacio Global City (BGC), and Nuvali, we continue to increase our footprint in building estates that benefit more people nationwide. With over 8,000 hectares of land bank, we are now present in 45 growth centers across the country, offering a balanced and complementary mix of residential spaces, shopping centers, offices, hotels and resorts, convenience stores, and healthcare facilities. Our Vision and Mission Our vision is to enhance our standing and reputation as the Philippines’ leading real estate developer, and to be a strong partner in nation-building. By developing integrated, masterplanned, and sustainable mixed-use communities in vibrant growth centers all over the country, we strive to continually elevate the quality of life for all of our customers. We shall be a responsible corporate citizen and act with integrity, foresight, and prudence. We shall empower our employees to deliver products that exceed our customers’ expectations and build long-term value for our shareholders. Our Core Values At Ayala Land, we value integrity, long-term vision, empowering leadership, and commitment to national development. Let’s build sustainable communities 2014 Sustainability Report 3 Eco-efficiency Creative use of passive design and technology to minimize energy, water, and waste footprint Pedestrian-Transit Connectivity Facilities that promote walkability, ease street congestion, and improve the pedestrian experience Local Employment Developments that provide opportunities for job creation Site Resilience Open spaces, parks, and resilient landscapes provide respite and refuge Greenbelt Mall Makati 4 Let’s build sustainable communities About this Sustainability Report This is Ayala Land’s eighth sustainability report. This report complements our 2014 Annual Report where our financial results and corporate governance practices are discussed. This year, we adapt a new approach where we report our sustainability performance in terms of our Four Focus Areas: Site Resilience, Pedestrian-Transit Connectivity, Eco-efficiency, and Local Economic Development. This approach enables us to provide a comprehensive discussion on how we embed sustainability in the way we conduct the business. We also recognize that an empowered organization is critical to the growth and sustainability of the Company. We include a section on our efforts in enabling our people to integrate sustainable practices in their line of work. This report covers the economic, environmental, and social performance and impact of Ayala Land and its wholly owned subsidiaries. The specific boundary and business units for which certain performance indicators are most material and applicable is specified in the GRI Content Index. This covers performance data from our operations in the Philippines from January 1, 2014 to December 31, 2014. For comparison, data from previous years are included where available. (G4-18) Contents This report was prepared in accordance with the Core GRI G4 guidelines, and was externally assured by DNV-GL using the DNV-GL Report Verification Protocol (VeriSustain) 6 President’s Message covering economic, environmental, governance, and social indicators. (G4-33) 10 Sustainability Framework This report is available online for download at 16 Site Resilience www.ayalaland.com.ph/sustainability. 22 Pedestrian-Transit Connectivity 28 Eco-efficiency 38 Local Economic Development 47 Notes, Appendix, and GRI Content Index Let’s build sustainable communities 2014 Sustainability Report 5 President’s Message G4-1, G4-2 It is my pleasure to introduce an enhanced reporting approach designed for better communication of Ayala Land’s sustainability performance to our diverse stakeholders. As the country’s pioneer developer of business districts and catalysts for enduring economic growth, we have long recognized that continued financial success is supported by our healthy adherence to the precautionary principle (principles of responsible corporate citizenship, prudence, and due diligence). Our dedication to improvements for society and the enhancement of built and natural environments finds expression in the sustainable communities we develop. For these reasons, sustainability has and always will be a significant part of Ayala Land’s identity, values, and operating principles. In 2014, I enjoined our units to focus on four areas that would make the most difference for the Philippine economy, society, and environment, as well as represent our brand’s continued commitment to nation-building. It is our fundamental belief that these four areas—site resilience, pedestrian and transit connectivity, eco-efficiency, and local economic development—embody the characteristics of sustainable communities. To determine these four focus areas, we reviewed our risks and opportunities, as well as our impacts on real estate development. We gathered stakeholder insights and undertook iterative discussions with our sustainability committee and company veterans in our project development process. By embedding these sustainability features into communities that we develop, we create long-term value, and provide Filipinos all over the country with distinctive spaces that minimize their impact on the environment, address vulnerabilities to climate change, promote healthy lifestyles, and promote economic growth in their host localities. 6 Let’s build sustainable communities Through our masterplanning exercises, we are able to I am truly grateful for the continuing recognition of give due respect to the balance between natural and built Ayala Land’s efforts in sustainability, and for the environment. We not only create value for the long term, foundation laid by my predecessor Tony Aquino, who we also provide spaces for refuge, water absorption, and received for us the Green Luminary Award from Channel healthy social interaction. More than 50,000 recorded NewsAsia Awards in the early part of 2014. This award native trees populate the green spaces of our managed recognized Ayala Land’s attention to sustainability in each properties, providing much needed respite to thousands of step of our project development cycle, inspiring us to work urban dwellers who use our gardens and landscaped areas. for consistency throughout our units. We have also started to promote a culture of walking in our We recognize that measurement, tracking, and refining various developments, starting with our mature estates, of our sustainability metrics continue to be our challenge. the Makati Central Business District and Bonifacio Global I am, however, confident that our empowered organization City. We look forward to raising the bar on pedestrian and is composed of men and women who possess values and transit connectivity in our future estates. competencies that will uphold sustainability for years to come. Our design, planning, and property management teams Finally, we thank all our stakeholders for continuing to be with continue to develop and implement ways to use energy, us all the way in our sustainability journey. We appreciate water, and materials efficiently, while lowering our carbon their feedback and willingness to continue to dialogue with dioxide emissions per square meter. us, for we recognize that leadership in sustainability requires that we share a common vision with the We estimate that our P109 billion worth of construction communities we operate in. projects has generated additional employment for 286,000 people. We look forward to fostering increased productivity in different locations, creating more jobs in the construction, retail, tourism, and health sectors through our various estates. In the short term, we will continue to refine indicators that are appropriate for the Philippine property development situation. In the medium and long term, we look forward to continuing to work with scientists, the academe, and other experts to add to the increasing knowledge base for sustainable development in the Philippines. As we learn and benchmark with global best BERNARD VINCENT O. DY practices and covenants, we also work toward responding President and CEO to unique conditions in our geographic location. Let’s build sustainable communities 2014 Sustainability Report 7 Large-scale Sustainable Estates Each Ayala Land estate has the attributes of our Four Focus Areas that make it a sustainable community. By embedding these features, we create long-term value for our stakeholders, provide distinctive developments that benefit more people, and minimize impact on the environment. worth of savings due hectares of open spaces to energy conservation in our mature estates P93.62M initiatives 318 Eco-efficiency Site Resilience 8 Let’s build sustainable communities Around people walk along spent on construction Ayala Avenue’s manpower and related costs 210,000 pedestrian facilities daily P1.6B Pedestrian-Transit Local Economic
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