Materiality (Key Issues) and Related SDGs

Materiality and SDGs

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Materiality Specific Initiatives Related SDGs
1. Promoting climate change countermeasures(E)
GHG reduction
Efficient use of water resources
Waste management
2. Introducing renewable energy and continuously improving usage rate(E)
Receiving support and collaboration from The MIRARTH HOLDINGS Group with respect to promoting initiatives to introduce renewable energy
Evaluating and implementing the introduction of various forms of renewable energy, including green certificates, PPAs (power purchase agreements), and micro-hydroelectric power generation
3. Reducing environmental footprint and enhancing resilience(E)
Enhancing resilience of portfolio through efficient use of CAPEX
Promoting green leases
Implementing comprehensive BCP
4. Improving health and comfort of employees and tenants(S)
Conducting employee satisfaction surveys on an ongoing basis and ensuring regular opportunities for dialogue with senior management
Promoting flexible work styles
Conducting tenant satisfaction surveys on an ongoing basis
5. Respecting human rights and promoting diversity and career development(S)
Promoting human rights-related education and awareness activities
Establishing a work environment that diversity, equity, and inclusion conscious
Promoting career development, implementing a training system, and encouraging the acquisition of qualifications
6. Establishing a disciplined organizational structure and engaging with stakeholders(G)
Prohibiting political gifts and preventing corruption
Establishing a viable internal control system
Comprehensive disclosure

Materiality Definition Process and Promotion of Initiatives

The Asset Manager defines materiality based on the following selection process and strives to resolve the identified issues.

Step1:Identification of risks and issues by the Sustainability Office, referring to TLR's investment policy, the main sponsor MIRARTH HOLDINGS Group Sustainability Basic Policy, and the opinions of external professionals.

Step2:In addition to the risks and issues identified in Step 1, risks and issues are clarified by the Asset Manager's department heads, and the priority issues to be addressed are determined at management meetings.

Step3:For the issues determined in Step 2, KPIs will be set by each department going forward, and at management meetings, managers will verify that efforts are being made on a continuing basis to meet departmental targets.