The Manager
The Manager

Board Statement

The Board of Directors (“the Board”) is pleased to present MNACT’s fourth Sustainability Report in accordance with the Global Reporting Initiative (“GRI”) Standards – Core Option.

The Board and Management firmly believe that integrating sustainable and responsible environmental, social and governance (“ESG”) factors in its business strategy are key to the success of MNACT and its ability to deliver long-term returns. In addition to having considered sustainability as part of its long-term strategy formulation, the Board continues to maintain oversight of sustainable practices across the business. As a commitment to the global agenda for sustainable development, we also strive to create a positive impact aligned with the United Nations’ Sustainable Development Goals (“SDGs”). This report describes how the Manager and the Property Manager continue to manage ESG factors and set out our intention and direction for sustainability in the near future.

The Board has reviewed the eight material sustainability factors as highlighted in FY18/19 and determined their continued relevance to MNACT and its stakeholders for FY19/20. Considering the rapidly evolving business environment and perceiving new challenges going forward, we will conduct a reassessment of key factors in FY20/21 in tandem with stakeholder feedback.

In the light of COVID-19, the Manager took immediate steps to implement precautionary measures across the entire portfolio of properties to protect the health and safety of our tenants, staff and visitors, and focused on supporting the business of our tenants (including extending rental reliefs).

We remain committed to reduce MNACT’s environmental footprint. During the financial year, we implemented a number of initiatives at MNACT’s properties to more effectively manage the usage of water and energy, which has resulted in an improvement of both water intensity and energy intensity by 14.9%1 and 1.7%1 respectively compared to a year ago.

Beyond greening our properties, we have also integrated sustainability into our corporate financing activities. We secured a S$174 million sustainability-linked loan in the financial year, which is tied to our energy and water intensity improvements as a testament to our commitment to sustainability.

The safety and well-being of our employees, tenants and visitors remains a key priority for us, even more so in these times. The safety management committee that was set up in FY18/19 at Festival Walk continued to focus on occupational health and safety issues and provided continuing training opportunities for operational and technical staff during the year. Emergency response drills are conducted every year across the portfolio properties to prepare our employees and tenants for such events.

We also continue to invest in our employees to build a workforce for the future. Courses covering functional, technical and management competencies were conducted during the year, to equip staff with future-ready skills and knowledge. To promote employees’ health and well-being, wellness initiatives including group exercise sessions and health talks were organised throughout the year.

Our social responsibility efforts extend to our communities. We have been actively supporting charities as well as nonprofit organisations in our communities through venue sponsorships and staff volunteerism. In the spirit of giving back to the community, employees at Festival Walk’s ice rink provided free skating sessions for the beneficiaries from the Hong Kong Sports Association for Persons with Intellectual Disability, while our colleagues in Shanghai cleaned and tidied the storeroom and garden at the Children’s Health Hospital to provide a clean and green environment for the young beneficiaries. As a strong supporter of education, the Sponsor also established the Mapletree Endowed Fund during the year, with a donation of HK$2 million to the City University of Hong Kong (“CityU”) to support scholarship schemes.

At MNACT, we have zero tolerance for any unethical behaviour, fraud, bribery and corruption. Our employees are well-versed with our expectations of conducting business with integrity, and various corporate governance policies and measures are in place to promote consistent ethical behaviour.

We recognise that integrating sustainability into MNACT’s business is a journey, intrinsically tied to our ability to grow MNACT and to ensure we are future-ready. The events in FY19/20 have reshaped the environment we operate in and heightened the importance of staying relevant and competitive as we address global uncertainties and disruptions. Building on our sustainability fundamentals, we will seek to further leverage technology to drive improvements in our operations, streamline workflow processes and explore sustainability solutions for the future. For example, at Festival Walk, we will continue to harness data to enhance shopper experience and support our tenants in embracing an omni-channel business model to stimulate sales amidst the challenges in the retail market in Hong Kong SAR.

To adapt to the rapidly changing business landscape, we will look to effective engagement with our stakeholders to understand and respond to their ESG needs through greater direct interaction and stakeholder surveys. As a commitment to our stakeholders, the Manager has plans to participate in the GRESB2 Real Estate Assessment that will serve as a useful benchmark for improving sustainability performance and engaging with investors.

We thank all our stakeholders for their continuing support as we strive towards our sustainability goals. Together, we can improve the economic, environmental and social well-being of the communities we operate in, creating shared value for all. The Board MNACTM

The Board

The latest Sustainability Report can be found here.


1 To provide a more reflective comparison of our performance, we have excluded the mall closure period for FY19/20 and also the corresponding period for FY18/19.

2 GRESB was formerly known as Global Real Estate Sustainability Benchmark

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