ltitude CSR REPORT RETAIL I HOUSING I OFFICES AND HOTELS I CSR

Transcription

1 2013 ltitude CSR REPORT RETAIL I HOUSING I OFFICES AND HOTELS I CSR

2 &Getting Involved THROUGH ITS ALTAGREEN APPROACH, ALTAREA COGEDIM AIMS TO PROMOTE A MORE SUSTAINABLE LIFESTYLE AND MORE RESPONSIBLE DEVELOPMENT FOR ITS STAKEHOLDERS. The Group s number one priority is setting out the most significant CSR initiatives for using a Materiality Matrix. Maxime Lanquetuit, Head of Sustainable Development, explains the purpose of this new tool (page 72). Professional development and employee fulfillment is another priority for the Group, as presented by Bruno Poulain, Director for Sustainable Development, Communication and Human Resources (page 76). Strong employee involvement is crucial to rise to the challenge of achieving certification for Altarea Cogedim s entire property portfolio. Vincent Couty, Operations Manager of Altarea Commerce, expands on this theme (page 78). 98% OF NEW COMMERCIAL PROJECTS (SHOPS, OFFICES AND HOTELS) ARE CERTIFIED OR UNDERGOING THE ENVIRONMENTAL CERTIFICATION PROCESS 1,286 ALTAREA COGEDIM SUPPORTS 1,286 DIRECT JOBS AND 13,000 INDIRECT JOBS 31.3 GWH OF PRIMARY ENERGY SAVED BETWEEN 2010 AND 2013, EQUIVALENT TO 1.35 MILLION 2013 annual and sustainable development report 66 67

3 & Getting Involved DEVELOP SOFT LAW Philippe Pelletier is the co-founder and partner in the law firm Lefèvre Pelletier & Associés. A long-standing construction specialist, he chaired the National Real Estate Property Union before becoming President of the National Housing Improvement Agency (Anah) from 1998 to He then led the Operations Committee for the Grenelle Environment Round Table on renovation of existing buildings. With buildings now required to comply with heightened environmental requirements, Philippe Pelletier shares with us his vision of current changes and initiatives that companies today must implement to rise to these challenges. WHAT CHANGES AND GENERAL TRENDS DO YOU SEE TODAY IN SUSTAINABLE DEVELOPMENT? Fifteen years ago, the real estate market had little concern for the environmental aspects of its assets. Buildings energy consumption was rarely monitored and was never set forth as an argument for buying or leasing a property. Today, buildings must satisfy ever more requirements in terms of energy and environmental performance to meet investors and users new expectations. Demand for guarantees and construction work safety is also on the rise. There are several reasons for this gradual change: greater awareness that real estate is the most energy intensive sector in our country and that the energy transition is a vital issue; development of labels and certifications; increasing regulations, both on new construction and now on renovation; the inevitable impact on the valuation and attractiveness of property assets; and growing expectations of market players investors and users alike. Today, environmental performance is mainly measured at the level of the building. Tomorrow, as positive energy constructions and smart grids become the norm, profound transformation of entire neighborhoods is on the horizon. Because it is changing the way we live in our homes and work in business premises, sustainable development is becoming a powerful lever for transforming urban spaces. HOW CAN WE INVEST, BUILD AND RENOVATE REAL ESTATE IN WAYS THAT TAKE INTO ACCOUNT ECONOMIC REALITIES AS WELL AS SOCIAL WELL-BEING AND ENVIRONMENTAL CONCERNS? That is what sustainable development is all about. With regard to new construction, the 2012 French Thermal Regulations have been in force for over two years now. This legislation was anticipated long before its adoption, which has allowed us to maintain an economic balance. In terms of renovation, We must promote a living architecture and develop construction systems that incorporate greater flexibility, transformation and transmission. PHILIPPE PELLETIER market players must take into account three levers: work on the building itself, improved management of operations and maintenance and user involvement to guide behavior. All this while ensuring that the steps taken are economically viable! Initial studies both in France and abroad already demonstrate that energy performance has an impact on assets value. This market logic will lead to more and more low-energy buildings. Moreover, with the development of corporate social responsibility, investors and users are becoming more demanding and quality-oriented. To me, this trend looks irreversible. WHAT MUST COMPANIES DO NOW TO PROVE THAT THEY ARE GENUINELY COMMITTED? Companies must of course respect regulatory obligations, especially in terms of energy audits, reporting requirements and environmental commitments appended to leases. They can also show signs of voluntary commitment, which are becoming increasingly important. The challenge is to develop the soft law method. In this regard, I applaud Altarea Cogedim s strong and immediate commitment to the charter for energy efficiency in public and private commercial buildings supported by Plan Bâtiment Durable. This approach reflects the Group s resolve when it comes to anticipating regulatory constraints for its employees, clients and market watchers alike. It is also an ambitious collective undertaking. Through their actions, signatories to the charter work to develop a method that is set to grow, one that qualifies as soft law by which those involved together determine the rules that shall guide them. This is a very modern approach, and it ensures the effectiveness of the standards put forth. PHILIPPE PELLETIER, ATTORNEY AND CHAIRMAN OF PLAN BÂTIMENT DURABLE Because it is changing the way we live in our homes and work in business premises, sustainable development is becoming a powerful lever for transforming urban spaces. PHILIPPE PELLETIER 2013 annual and sustainable development report 68 69

4 & Getting Involved MAKE CSR A VECTOR OF CROSS-CUTTING EXPERTISE IN THE SERVICE OF VALUE CREATION 2013 CSR AWARDS The social and environmental context is changing, and Altarea Cogedim is turning sustainable development issues into an opportunity to go ever further in fulfilling stakeholders needs. Looking ahead to new regulations, the Group is constantly structuring its environmental, social and societal approach to promote a more sustainable lifestyle and more responsible development. In 2013, Altarea Cogedim took a new step forward, launching an initiative to prioritize key CSR topics. The result of these efforts, presented in the form of a Materiality Matrix, makes it possible for Altarea Cogedim to set out priority CSR undertakings for GUIDING OUR CSR APPROACH The Materiality Matrix was born from a collegiate initiative involving the Sustainable Development Department and the Executive Management Committee. Its strength is prioritizing the Group s key CSR undertakings around three factors: economic impact on the Company s business model; perception of internal and external stakeholders expectations; and finally the degree of control. A complex exercise for a group that operates on several markets, this approach naturally strengthens Altarea Cogedim s multi-business strategy. A testimony to the Group s CSR maturity, this matrix makes it possible for Altarea Cogedim to convey a unifying and cross-cutting message within the Company, while explaining to its stakeholders and economic entourage its CSR choices and priorities for the coming years. STEPPING UP OUR SOCIETAL MODEL Working to create pieces of the city, the Group makes architectural design and prime locations for its programs a central strategic focus. Indeed, aware of the economic and environmental pressure that dissuades people from using their cars, Impasse Marie-Blanche in Paris (18 th arrondissement) 2 Qwartz in Villeneuve-la-Garenne (92) 3 Sky in Courbevoie (92) 4 InterContinental Hôtel-Dieu in Marseilles (13) proximity to eco-friendly low-carbon modes of transportation is part of the Group s DNA for every project. In 2013, 99% of residential projects and 100% of commercial projects were located less than 500 meters from a public transportation network. In an uncertain economic context, Altarea Cogedim chooses to take on a social role by quantifying and increasing its positive contribution to direct and indirect job creation. In 2013, the Group supported 13,000 indirect jobs at 100% in France, 1,270 more jobs than in CONSOLIDATING OUR SOCIAL MOMENTUM Employee expertise is one of the Group s major strengths when it comes to carrying out innovative and high-performance projects. In 2013, we thus stepped-up our training policy in business line courses and efforts dedicated to training management. In addition, an innovative office skills e-learning platform was made available to all as part of the internal Alterego training program. Internal mobility remained buoyant, as 13% of employees on open-ended contracts benefited from a move within the company and/or promotion in A signatory of the 2013 Diversity Charter, Altarea Cogedim has continued its efforts to promote diversity: inter-generational contracts to create employment opportunities for young people and seniors and an in-depth advisory assessment to establish a long-lasting disability policy. MAINTAINING OUR ENVIRONMENTAL STANDARDS For both new projects and its shopping center portfolio, the Group maintains all-encompassing environmental standards through the choice of differentiated environmental or qualitative certifications suited to each project category and each stakeholder. As evidence of this commitment, 100% of its retail projects and 97% of its office and hotel projects earned environmental certification in construction in Regarding property investment, in 2013 Altarea Cogedim renewed its commitment to controlling its environmental footprint. A testimony to the Group s CSR maturity, the Materiality Matrix naturally guides Altarea Cogedim s multi-business strategy. JACQUES GALVANI, GROUP CHIEF OF STAFF This can be seen in the rise of its performance indicators and its gradual certification approach for shopping centers. At the end of 2013, 30% of the portfolio featured BREEAM In-Use environmental certification, perfectly in line with the goal of 100% certification by TIED FOR 1 st PLACE AMONG DEVELOPERS and 3 rd place for Property companies in the Novethic ranking. For the 3 rd straight year, the Group ranked among the top three in the property developer and property company categories. 1 st PLACE IN FRANCE and 9 th place worldwide (out of 276) in the GRESB New Construction ranking. 1 st RETAIL REIT in France, scoring 90% for transparency and achieving a B for performance in the 2013 Carbon Disclosure Project annual and sustainable development report 70 71

5 & Getting Involved Client relations, integration of our projects into their environment and a positive contribution to job support will be key topics for MAXIME LANQUETUIT, HEAD OF SUSTAINABLE DEVELOPMENT OUR COMMITMENTS DEVELOP OUR SOCIETAL FOOTPRINT Since 2010, Altarea Cogedim has been committed to a sustainable development policy through Altagreen, which helps the Group s employees take account of CSR issues in their businesses. In 2013, Altarea Cogedim undertook to structure this progress-based approach around its most significant CSR issues, putting the Group s desire to strengthen its efforts on societal issues into action. How would you summarize 2013 in terms of CSR? Four years after the launch of Altagreen, the Group has reached a new milestone in understanding the risks and opportunities presented by sustainable development issues. This year, Altarea Cogedim established its first CSR matrix, which sets out fifteen priority areas for CSR initiatives. The work was carried out with members of senior management based on an evaluation of stakeholders expectations and the impact of each issue on the Group s activities. It clearly defines priorities for the coming years. In addition, Altarea Cogedim maintained one of the highest CSR reporting coverage rates in the market relative to its financial scope. Lastly, positive development of our main CSR indicators is another source of satisfaction, demonstrating the mobilization of Group employees on these topics and sound operational implementation in line with our objectives. What are your CSR priorities for 2014? The CSR materiality matrix is a mean for us to have a unifying policy within the company, one that is aligned with our strategic priorities, especially in social matters. While we are maintaining our commitment to social and environmental issues, customer relations, integration of our projects into their surroundings and the Group s indirect positive contribution to the areas it develops, in particular in terms of job creation, will be the key topics in How do you measure the indirect impact of your activities on employment? In 2013, we undertook for the first time to quantify the Group s indirect contribution to employment. To do so, we used the definition provided ALTAREA COGEDIM S CSR MATERIALITY MATRIX Excellent response to the challenge Good response to the challenge Moderate response to the challenge by INSEE, which counts indirect jobs based on the amount of Group purchases. This method allows us to accurately quantify the number of indirect jobs supported at 100% by Altarea Cogedim s activities, thus providing the strongest connections with the Group s businesses. Within the same scope of calculation, Altarea Cogedim s multi-business strategy enjoys a better direct/ indirect jobs ratio than that of a traditional property company. This is not only a sign of our Group s economic health; it is above all a testament to our pride in contributing positively to employment in a difficult economic climate. Stakeholder expectations Moderate expectations Important expectations Crucial expectations Contribution to employment GHG Emissions and carbon impact Sponsorship and partnership Energy efficiency Waste disposal and recycling Water management 49.3% OF ASSETS ARE COVERED BY GREEN LEASES, I.E. 699 OUT OF A TOTAL OF 1,418 LEASES. Land management and biodiversity Environmental labels and certifications Employee health and safety Client and user relations Procurement policy Representativity, diversity, social dialogue Urban integration Professional ethics Compensation and skill development Moderate impact Important impact Crucial impact Current and potential impact on Group business 2013 annual and sustainable development report 72 73

6 & Getting Involved Cœur Marais (Paris 6 th arrondissement): a project to completely redevelop and separate two buildings in the heart of Paris. POSITIVE SOCIETAL FOOTPRINT Altarea Cogedim is committed to quantifying the indirect jobs that are 100% generated by its activities. 1, 286 DIRECT EMPLOYEES (2) 13, billion (1) BREAKDOWN OF INDIRECT JOB SUPPORTED BY ECONOMIC SECTOR INDIRECT JOBS (2) DURABLY INTEGRATE PROJECTS INTO THE SURROUNDING ENVIRONMENT Taking advantage of its position as a developer of retail, office, residential and hotel properties, Altarea Cogedim firmly believes in the importance of integrating its projects harmoniously into their environments and connecting various living spaces. Conscious of the economic and ecological impacts of travel, the Group strives to promote the use of more practical and most-effective modes of transportation with lower CO 2 emissions. 59% CONSTRUCTION 14% WHOLESALE 8% ARCHITECTURE AND ENGINEERING 6% MANUFACTURING OF HIGH TECH PRODUCTS 13% OTHER (1) Total Altarea Cogedim purchases. (2) Jobs 100% supported in France indicators verified by Ernst & Young (EY). FOCUS ON CUSTOMER SATISFACTION Altarea Cogedim s traditional quality principle partially motivates the particular attention given to supporting Group clients throughout projects. Future homebuyers enjoy personalized assistance during the purchasing process. Coordinating with the program manager, the customer service agent is the dedicated point of contact from the signing of the contract to the handing over of the keys. Customer services informs and advises the client as to the possibility of making structural and decorative changes, the options available, terms of payment, progress made at the construction site, pre-delivery visit and delivery itself. At the same time, the head of delivery quality in the After-Sales department works with the project manager to lift reservations and ensure that the apartments delivered respect the standards applicable to them during warrantee periods. 99% OF HOUSING PROJECTS AND 100% OF RETAIL, OFFICE AND HOTEL PROJECTS ARE LOCATED LESS THAN 500 METERS FROM A PUBLIC TRANSPORTATION NETWORK annual and sustainable development report 74 75

7 & Getting Involved OUR COMMITMENTS PUT PEOPLE AT THE HEART OF OUR STRATEGY Altarea Cogedim is firmly rooted in a controlled and sustainable growth dynamic, driven by the commitment of its employees. Our conviction: an entrepreneurial spirit and skills development are a means of improving performance and fostering the collective success on which we capitalize. In 2013, the Group continued to grow, hiring 310 employees in our various businesses. BRUNO POULAIN, DIRECTOR OF SUSTAINABLE DEVELOPMENT, COMMUNICATION AND HUMAN RESOURCES In today s sluggish economy and depressed labor market, how do you handle employee development within the Group? With unemployment at an all-time high in France, Altarea Cogedim continues to create jobs. The Group saw growth in 2013, hiring 310 employees in our various businesses. In residential property, diversifying our offering towards entry-level and mid-range products required supporting the development of regional subsidiaries. In retail property, teams were put together for new regional shopping centers such as Qwartz in Villeneuve-la-Garenne in the département of Hauts-de-Seine (92). Individuals were also recruited to assist in the development of Rue du Commerce, particularly for its IT teams. In 2013, we actively hired employees, especially through a growing number of work-study contracts and an intergenerational agreement between each Group entity and its representatives. The goal is to facilitate lasting integration of young people while helping older workers find and maintain jobs. Lastly, we strengthened our commitment to diversity of skills and talents, which we intend to make a source of added value for our Group. We signed the Diversity Charter in 2013, demonstrating our will to fight against all forms of discrimination. What actions have you undertaken to promote the professional development of your employees? For several years now, the Group has been making investments that go above and beyond what is required by law. In 2013, 1.84% of payroll expenses went towards vocational training. Three types of training are offered: individual training, crosscutting collective training and specific offerings structured on a case-by-case basis. As in 2012, one out of every two employees enjoyed at least one training session in This year, we established an e-learning platform for office-skills training available to all Group employees on the intranet. The advantage? Access to over 1,000 5-minute teaching modules, offering practical exercises, assessments and certifications to measure knowledge and progress. Lastly, 920 annual interviews were conducted by our managers and processed by our HR teams. The coverage rate has now reached 80%. This allows us to better understand the expectations of our employees and help them build their careers. What are your priorities for 2014? We will continue offering training programs to enhance the employability of our employees and help them develop their skills. Professional advancement and skill development are naturally a priority. In addition, we will be launching broader initiatives to highlight the appeal of our brand. Our Group has a number of strengths that should be promoted among young graduates and experienced professionals alike. We would like to offer a new perspective on our company and its business. Well-being is another crucial topic. In 2013, we entirely redesigned the Rue du Commerce head offices and made the premises on Avenue Delcassé (Paris, 8 th arrondissement) more functional, creating a dozen meeting rooms. This year, we will be taking other actions to ensure the well-being of employees at the workplace. OUR LABOR MODEL IN NUMBERS 1,286 EMPLOYEES, 56% FEMALE AND 44% MALE (DISTRIBUTION UNCHANGED FROM 2012). Open - ended contract 95% OF CONTRACTS SIGNED WITH EMPLOYEES ARE OPEN-ENDED. 1 OUT OF EVERY 2 EMPLOYEES ENJOYED AT LEAST 1 TRAINING SESSION. Figures at December 31, EMPLOYEES WERE HIRED ON FIXED-TERM OR OPEN-ENDED CONTRACTS (INCLUDING REPLACEMENTS). 1.84% OF PAYROLL WAS USED FOR VOCATIONAL TRAINING. 10,678 HOURS OF TRAINING WERE PROVIDED IN THE GROUP, ALL EMPLOYEES COMBINED annual and sustainable development report 76 77

8 & Getting Involved OUR COMMITMENTS PUT ENVIRONMENTAL REQUIREMENTS AT THE CORE OF OUR BUSINESSES As an owner of commercial property assets, Altarea Cogedim must protect the value of its portfolio by limiting its environmental impact as well as technical and energy obsolescence. The challenges to which it must rise include developing action plans for energy, carbon emissions, water and waste material. Meanwhile, the Group has committed to standardizing BREEAM In-Use certification to harmonize and guarantee the use of best operating practices in all of its assets Indicators ENERGY (Like-for-like scope and climate 2010/2013) DYNAMIC MANAGEMENT OF OUR ASSETS (Like-for-like scope and climate 2010/2013) WATER WASTE BREEAM In-Use (Liter/visit) (Percentage of waste recycled) (Recovery rate) (Percentage of assets certified) -18.4% -14.4% 1.03 l 43% 82% 30% To obtain environmental certification for our property assets, our teams must make sustainable development part of their daily tasks. VINCENT COUTY, OPERATIONS MANAGER, ALTAREA COMMERCE What are your CSR goals for the portfolio? We aim to certify 100% of our assets by the end of We would also like to reduce energy consumption by 22% in kwhep/m 2 and by 24% in CO 2 /m 2 over the next five years. Fully integrating sustainable development considerations into our shopping centers currently in operation means upgrading buildings, equipment and facilities. This type of initiative requires significant financial investment, which must be approved by the owner if the Group simply manages the center. One of the biggest challenges for operations teams is obtaining this approval and incorporating sustainable development investments into the accounts each year without weighing too heavily on the center s overall budget. In addition to all of the other best practices commonly used in building management, these large-scale projects should enable us to maintain a dynamic CSR policy when it comes to buildings in operation and to reduce the environmental footprint of our assets, thus demonstrating the Group s commitment to a responsible approach. How does certification affect your businesses? To obtain environmental certification for our shopping centers, our teams must make sustainable development part of their daily tasks. For this, awareness is paramount. In addition to special tools, training to accelerate skill development and encourage good management reflexes along with action plans and targeted improvements are necessary. In 2013, the Group received its first six certifications, a testament to its strong commitment to achieving its CSR goals. What tools are required for the certification of Altarea Cogedim s assets? In 2014, we must certify 18 of our shopping centers, reexamine six sites certified in 2013 and conduct four biodiversity audits. Among the tools at our disposal, the Altagreen Patrimoine guide covers nine themes (energy, health and wellbeing, transportation, etc.) and makes the certification reference system more understandable so we can share best practices among sites. It is a real management tool, helping us assess and value our assets and formalize action plans to enhance their environmental performance. Objectives for 2015 Two years after the RT 2012 regulations entered into force, the Group is already thinking ahead to the future 2020 responsible building regulation (RBR 2020) by taking into account the health quality, comfort and sustainability of its projects, as well as reasonable use of natural resources. -22% -24% < 1.25 l > 50% > 80% 100% DESIGN OUR PROJECTS WITH THEIR ENTIRE LIFECYCLE IN MIND In addition to its carbon assessment, Altarea Cogedim has given considerable thought to a multi-criteria analysis of buildings life cycles. The Group has already conducted three additional HQE Performance tests on its office and residential projects, including the head offices of Mercedes-Benz France in Montigny (78). This initiative gives Altarea Cogedim s teams greater insight into a building s total environmental impact throughout its life, from design to demolition and including operation, successive renovations and recyclability. REDUCING THE IMPACT OF OUR CONSTRUCTION SITES Altarea Cogedim systematically uses a low-nuisance charter for its commercial programs (retail, office and hotel property). This approach has been strengthened since January 1, 2014, as the Group has standardized the initiative for all housing projects. For the Qwartz shopping center in Villeneuve-la-Garenne, this charter had an impact on all lots, requiring selective sorting of at least 70% of waste produced. The policy lead to sorting of over 93% and recovery of 95% of waste throughout the duration of the project annual and sustainable development report 78 79

9 & Getting Involved LIMIT OUR CARBON FOOTPRINT ENVIRONMENTAL CERTIFICATION, A PILLAR OF THE ALTAGREEN APPROACH For all new projects and assets in its portfolio, Altarea Cogedim selects environmental or qualitative certifications suited to the type of project and expectations of its stakeholders. These certifications guarantee that the building will be designed with respect for the environment, energy efficiency, health and comfort in mind. The InterContinental Hôtel-Dieu in Marseilles was one of the first hotel redevelopment projects in France to receive NF-HQE Hôtellerie certification. In 2014, the project won the MIPIM Award for best renovated building. Since 2012, Altarea Cogedim has quantified its overall carbon footprint (scopes 1, 2 and 3) and updated this information annually for all of its businesses. With regards to the Group s real estate activities, which account for over 98% of its carbon footprint, this comprehensive approach has provided an idea of a building s greenhouse gas emissions over MATERIALS 76% END OF LIFE 8% PROPERTY DEVELOPMENT 499,400 t CO 2 e OTHER 45% its entire lifecycle. Altarea Cogedim uses action plans to control and reduce the largest sources of emissions: commitment to reducing CO 2 emissions related to energy consumption (lessor scope) by 24%; green leases for all new leases and lease renewals from the first square meter (tenant scope); TRAVEL 55% CORPORATE 8,400 t CO 2 e GROUP 656,300 t CO 2 e E-COMMERCE 8,500 t CO 2 e systematic use of Bilan Carbone construction assessments for 100% of retail, office and hotel projects with a surface area of over 107,600-ft 2 (10,000-m 2 ); systematic selection of land located within 500 meters of public transportation. PROPERTY INVESTMENT 140,000 tc0 2 e FREIGHT 76% VISITOR TRAVEL 48% OTHER 7% ENERGY 23% FIXED ASSETS 12% TENANT TRAVEL 10% ENERGY 6% OTHER 24% OTHER 10% BIG-PICTURE THINKING In 2013, Altarea Cogedim launched in partnership with EDF a pilot project in Okabé (Kremlin-Bicêtre), the first NF-HQE certified shopping center with 100% green leases. Thanks to this project, the Group now enjoys a consolidated view of common and private areas that allows it to work with retailers to control the site s environmental footprint. Energy per m 2 2,000 1,800 1,600 1,400 1,200 1, Average for the center: 610 kwhpe/m kwhpe/m 2 Common areas (lessor scope) 954 kwhpe/m 2 Private areas (tenant scope) Food and dining services: 1,616 kwhpe/m 2 Services: 1,349 kwhpe/m 2 Personal equipment: 777 kwhpe/m 2 Beauty and health: 700 kwhpe/m 2 Specialized department stores: 469 kwhpe/m 2 Culture, gifts, leisure: 420 kwhpe/m 2 Home goods: 375 kwhpe/m annual and sustainable development report 80 81

10 CORPORATE SOCIAL RESPONSIBILITY (CSR) CSR CONTEXT, GOVERNANCE AND STRATEGY TRACKING TABLE AND SCOPES ENVIRONMENTAL PERFORMANCE SOCIAL PERFORMANCE SOCIETAL RESPONSIBILITY REPORTING METHODOLOGIES INDICATOR TABLES CROSS-REFERENCE TABLE INDEPENDANT ASSURANCE REPORT Registration Document 2013 Altarea Cogedim 147

11 5 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY EDITORIAL: ALAIN TARAVELLA Chairman and Founder of Altarea Cogedim What role does sustainable development play in the Group s strategy? Sustainable development is a top priority at Altarea Cogedim, as can be seen through the Group s stirring momentum in this field for more than four years. Our progress-based approach, Altagreen, complements our strategy and our traditional focus on quality by incorporating robust societal and environmental requirements in all of our production. Altagreen contributes to the solidity of our portfolio and our business. On a broader note, our CSR approach supports our crosscutting nature, a core strength for our Group and lever for value creation. Today more than ever, sustainable development issues stand out as a central focus at Altarea Cogedim. What were this year s sustainable development highlights at Altarea Cogedim? Altarea Cogedim made progress in managing the risks and opportunities associated with sustainable development issues. Our Group made headway in managing the risks and opportunities that sustainable development represents. I would especially like to point out three advances we made in 2013: Prioritization of sustainable development issues, resulting in the creation of Altarea Cogedim s first CSR materiality matrix. This structure sets out our strategic priorities for ; Signature of the Charter for the Sustainable Building Plan, with Cécile Duflot, French Minister of Territorial Equality and Housing, and Philippe Martin, Minister of Ecology, Sustainable Development and Energy, who attended the signing ceremony. The Charter addresses the reduction of energy consumption for Office property. For Altarea Cogedim, this commitment confirms the environmental objectives we have set for our portfolio; Finally, our comprehensive CSR reporting, covering nearly 100% of each of our businesses, as well as the high scores our Group earned in non-financial rankings, and which attest to the relevance and effectiveness of our action. What are your priorities for 2014? In 2013, the Group took a new step forward in its pursuit of progress by focusing on its major challenges. In 2014, we aim to intensify the current momentum. We will ensure application of our priority CSR initiatives in our day-to-day business, with an eye to continuously enhancing client and user satisfaction, offering Altarea Cogedim employee s high value-added training and guidance and quantifying the development of direct jobs supported by the Group s activities. At the same time, we will continue to insist on the highest quality for all of our real estate development projects and to ensure that they fit into their urban environment. For our Property Investment business, our prime focuses will be achieving BREEAM IN-USE certification and reducing our environmental footprint. This ambitious action plan will encourage Altarea Cogedim employees to go even further in incorporating sustainable development issues into the Group s businesses. Alain Taravella Chairman and Founder of Altarea Cogedim 148 Altarea Cogedim Registration Document 2013

12 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY CSR CONTEXT, GOVERNANCE AND STRATEGY THE REAL ESTATE SECTOR IN FRANCE Environmental, social and societal footprint Real estate accounts for 43% of energy consumption, 21% of greenhouse gas emissions, significant responsibility in terms of waste production, water consumption and impacts on biodiversity. Along with transport, it is the sector in which sustainability issues especially environmental play the greatest role. The extent of impacts creates a risk of value impairment on property assets. Real estate companies therefore have to remain a step ahead of the changes in social responsibility underway and those to come: growing difficulty of access to housing; worsening public health issues and energy insecurity; population aging and dependency; diminishing tax incentives promoting acquisition of sustainable property; pressure on energy markets impacting buildings energy costs and means of transportation; pressure on urban sprawl. As a springboard for technological and socially responsible innovations, sustainable development provides a beacon within the sector and represents a genuine source of value creation for real estate market players Regulatory context In 2009, the Grenelle Environment Round Table set the initial concrete objectives to prepare for the social, societal and environmental challenges of tomorrow. The 57 articles cover energy, construction, transportation, biodiversity, governance and environmental and health risks. For the Group s real estate investment and development activities, the impact is threefold: Improving the energy efficiency of new buildings France s 2012 Thermal Regulations (RT 2012) establish the Low Energy Building (Bâtiment Basse Consommation or BBC ) label for energy efficiency as standard, but the future 2020 Responsible Building Regulations (RBR) will require the construction of positiveenergy buildings (BEPOS) as well as performance-based quality criteria for health, comfort, durability and limited use of natural resources Improving the energy efficiency of existing buildings The Grenelle Law included a provision to renovate public and private commercial property by 2020, with the goal of reducing energy consumption between 2012 and Following from the working groups chaired by Maurice Gauchot, CEO of CBRE, this decree will set out the target performance levels depending on the building s initial condition, type, usage and the level of responsibility of each stakeholder. On October 31, 2013, Altarea Cogedim signed the Charter for the Sustainable Building Plan, chaired by Philippe Pelletier. Cécile Duflot, French Minister of Territorial Equality and Housing, and Philippe Martin, Minister of Ecology, Sustainable Development and Energy, attended the signing ceremony. This voluntary charter brings together investors, major users and industry associations. It anticipates the energy consumption reduction goals and methods to be specified in the upcoming decree scheduled for the second half of Strengthening corporate non-financial transparency Regarding publication of CSR information, Article 225 of the Grenelle II Law of July 2010 includes a provision requiring some companies to release non-financial information in their registration document, and to have this information verified by an independent third party. The registration document must exhibit actions undertaken and orientations adopted to take account of the social and environmental consequences of companies activities and fulfill their societal commitments to sustainable development. As a company listed on a regulated market, Altarea Cogedim falls within the scope of Article 225 as of FY 2012 for all of its activities. To illustrate that the Group s reporting is compatible with the provisions of the Grenelle II Law, Altarea Cogedim has drawn up a dedicated cross-reference table available in section Sustainable development: an opportunity for value creation Working at the heart of a particularly dynamic sector, Altarea Cogedim looks to turn sustainable development into an opportunity by fostering green value in its Property Investment and development businesses. As a developer, the Group has established societal and environmental performance as one of its quality requirements for all production. As such, its positioning and the development of its business and teams are grounded in complementary areas of progress, covering direct and indirect responsibility: improving the comfort of use of new projects by choosing certifications and environmental profiles adapted to each type of asset; extending the durability of development projects by reducing their energy requirements and protecting them from energy price increases; promoting sustainable practices by applying stringent criteria to the choice of sites and location with regard to services and public transportation; reducing the environmental footprint of the construction and end of life of new projects by encouraging more energy-efficient construction materials and processes that produce less greenhouse gas emissions. Altarea Cogedim provides its stakeholders with understandable and comparable information to help them evaluate the green value and societal performance of new projects. As a property investor, the Group gears its strategy towards managing and improving the environmental footprint and societal performance of its assets. It reports on the performance of its assets using specific, transparent indicators in line with sector recommendations to ensure their comparability. Registration Document 2013 Altarea Cogedim 149

13 5 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY Altarea Cogedim looks to limit the environmental impact of its assets, as well as its technical and energy obsolescence and vulnerability to future environmental regulations. Altarea Cogedim will thus boost the appeal and liquidity of its shopping centers for investors while maintaining their appraisal value. Since 2011, Altarea Cogedim has called upon an independent auditor to verify the main environmental (new projects and existing assets), social and societal indicators applied to its assets to heighten the quality of its reporting process and the reliability of data Challenges and outlook Looking ahead to new regulations for its different businesses, in 2014 Altarea Cogedim will persist in its abiding approach to reporting, energy and environmental enhancement, as well as its social and societal initiatives. The impact of 2012 Thermal Regulations and the upcoming decree regarding improvement of the office park, as well as that of Article 225 of the Grenelle II Law intended to structure companies CSR reporting, will be incorporated into CSR reporting guidelines, construction and operation management systems and the Group s action plans. Following from creation of Altarea Cogedim s first CSR materiality matrix, the Group will prioritize its action with regard to material, strategic and sector-specific issues for the period. Procedures for monitoring objectives and indicators are set out in the tracking table included in section Altarea Cogedim Registration Document 2013

14 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY CSR GOVERNANCE CSR organization and governance model The Sustainable Development Department is part of a crosscutting unit that includes the Communication Department, Altarea and Cogedim s respective Human Resources Departments and the Internal Resources Department (corporate services). Bruno Poulain, Director of Sustainable Development, Communication and Human Resources, heads this department, which is supervised by Jacques Galvani, Chief of Staff to the Chairman and member of the Executive Committee of Altarea Cogedim. The Sustainable Development Department now has four staff members: Maxime Lanquetuit, Head of Sustainable Development in charge of all aspects of the CSR approach for the Group s different businesses and operations (mlanquetuit@altareacogedim.com); Flora Alter, Sustainable Development Engineer in charge of environmental reporting for the portfolio and operationnal Bilan Carbone assessments, as well as establishment and monitoring of action plans for the Property Investment business (falter@altareacogedim.com); Romain Bourcier, Sustainable Development Engineer in charge of environmental reporting for the Property Development business, certification monitoring and CSR innovations for new projects (rbourcier@altareacogedim.com); Cécilia Ribeyre-Winckler, Communication and Sustainable Development Specialist focused on internal communication and sustainable development events and campaigns, as well as CSR innovations for the e-commerce business (cribeyre@altareacogedim.com). The Department advises the Group s management in defining Altarea Cogedim s sustainable development strategy through monthly meetings. It also coordinates all of the Group s non-financial communication. The team works with a network of ten sustainable development point persons from each of the Group s businesses (development, Property Investment and e-commerce) who participate in the bimonthly Sustainable Development Committee meeting. A number of focus meetings are also held with representatives on more specific and operational topics. The Sustainable Development Department also benefits from a network of regular point persons representing crosscutting activities: human resources, communication, finance, internal control and corporate services. Targeted meetings are also held with them for exchange and feedback. Structure of Altarea Cogedim s CSR governance Recommendations EXECUTIVE MANAGEMENT STRATEGIC COMMITTEE Arbitration Proposals Guidance SUSTAINABLE DEVELOPMENT DEPARTMENT (4 employees) Guidance Bi-monthly Sustainable Development Committee meeting Meeting on sustainable development topics Coordination Implementation and reporting Coordination Sustainable development point persons development, property investment, e-commerce (10 employees) Sustainable development point persons Cross-cutting activities (5 employees) The structure of the department contributes to advancing the Group s sustainable development approach, thanks to employees who fully grasp their accountability on CSR issues. It also enables the reporting of information as well as sharing and operational implementation in Group businesses through its cross-business network of representatives. Altarea Cogedim s CSR approach is founded on three pillars relevance, sharing and sustainability to guarantee ambitious but balanced efforts from the company. Cross-business by nature, the Group s progress-oriented approach serves to pool the different types of expertise and skills from each of the Group s businesses, allowing the company to mature faster with regard to its CSR initiatives and enhance its sustainable development performance. Registration Document 2013 Altarea Cogedim 151

15 5 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY General Management System (GMS) Altarea Cogedim is gradually implementing customized management systems for all its teams to standardize and improve the reliability of priority practices for all Group businesses. Implementation of this General Management system (GMS) provides easier access to the requirements of qualitative and environmental certification guidelines while developing employees skills. Altarea Cogedim s General Management System PROPERTY DEVELOPMENT PROPERTY INVESTMENT RESIDENTIAL Guide to Best Practices for Residential Property RETAIL, HOTELS, OFFICES EMS Altagreen Commercial projects BRICK-AND-MORTAR RETAIL EMS Altagreen Portfolio ONLINE RETAIL Customer service Environmental Management System (EMS) for Residential Development As a Residential property developer, Altarea Cogedim has integrated a certification approach into its development and construction process: the Guide to Best Practices for Residential property. Through this process certification, the Group enjoys NF Logement qualitative certification on all of its production and can apply NF Logement Démarche HQE (High Environmental Quality) certification to all projects in the Paris Region Environmental Management System (EMS) for Commercial Development Similarly, in 2010 and 2011 the Group designed the ALTAGREEN Commercial Projects EMS. This system offers each development or operational unit a tool to meet all requirements for NF Démarche HQE, BREEAM (Building Research Establishment Environmental Assessment Method) or LEED (Leadership in Energy and Environmental Design) certifications at every stage of the project, as well as guidance for development and construction of the Group s commercial operations (Retail property, Offices & Hotels) Environmental Management System (EMS) for Operations In 2013, the Group completed development of the ALTAGREEN Portfolio EMS to further enhance the reliability of environmental data reporting and the monitoring of environmental action plans. Implementation of this guide will help Altarea Cogedim in its gradual move towards BREEAM IN-USE environmental certification for all of its assets by improving its operational practices E-commerce Qualitative Management System In online retail, repair of high-tech products under warranty enjoys ISO 9001 certification delivered by AFAQ. This certification requires compliance with written procedures that involve daily monitoring of various indicators (such as turnaround time) by various departments (Quality, After Sales Support, Customer Service, Purchasing). If an indicator fails, corrective measures are taken. To maximize customer satisfaction, once a year an auditor from AFNOR checks that the procedures and monitoring of indicators are correctly applied. 152 Altarea Cogedim Registration Document 2013

16 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY CSR STRATEGY Thanks to its size, its growing staff, the expectations of its stakeholders and the incorporation of a new business (Rue du Commerce), Altarea Cogedim Group has responded to the call of the Executive Committee and Management as a whole to launch an initiative to identify and prioritize key CSR topics around three factors: economic impact on the company s business model depending on its activities; perception of the expectations of internal and external stakeholders (investors, local authorities, clients, associations, suppliers, etc.); degree of control of the issue. The result of these efforts, officially released in the form of a materiality matrix, makes it possible for Altarea Cogedim to set out priority CSR undertakings CSR Materiality Matrix Altarea Cogedim s CSR materiality matrix Excellent response to the challenge Good response to the challenge Moderate response to the challenge Stakeholder expectations Crucial expectations Contribution to employment Environmental labels and certifications Client and user relations Urban integration Professional ethics Important expectations GHG Emissions and carbon impact Water management Energy efficiency Waste disposal and recycling Land management and biodiversity Employee health / safety Procurement policy Representativity, diversity and social dialogue Compensation and skill development Moderate expectations Sponsorship and partnership Moderate impact Important impact Crucial impact Current and potential impact on Group business Design methodology This CSR materiality approach, led by the Group s Sustainable Development Department, was conducted in four phases. The method for rating impacts, stakeholder expectations and level of control is based on an analysis of each CSR issue. This involved the General Management of Altarea Cogedim and the support of a specialized consulting firm between June 2013 and February An initial phase allowed us to define the way work would be carried out and to identify the stakeholders, guaranteeing a cross-cutting approach shared by the General Management and Sustainable Development Department. The second phase involved defining the Group s prime CSR issues, characterizing their impacts, risks and opportunities for each of Altarea Cogedim s three businesses (development, investment and e-commerce). A third phase of interviews led us to submit the selected CSR issues and their impacts to members of General Management. To ensure a crosscutting and cross-business strategy for each issue, these interviews were systematically conducted with two top General Management figures, a member of the Sustainable Development Department and an external consultant. We carried out four interviews, and called upon eight members of General Management (excluding the Executive Committee). Registration Document 2013 Altarea Cogedim 153

17 5 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY Lastly, the materiality matrix summarizing the ideas of top Managers, the Sustainable Development Department and sustainable development point persons was presented to the Executive Committee. Six members of the Committee discussed the definitive CSR materiality table individually and collectively to make the final selection Relations with stakeholders The real estate and retail sectors affect a broad number of stakeholders, which have been applying increasing pressure on companies in France since the publication of the Grenelle environmental standards. Altarea Cogedim s growth, the broadening of its shareholder base and the impact of its development projects have resulted in more stringent requirements for transparency, Accuracy and comparability for extra-financial information from all its stakeholders. These stakeholders seek to be able to assess the actual performance of new projects, existing property assets as well as the company s overall operating actions. This provides many opportunities to demonstrate the relevance of the sustainable development approach adopted by Altarea Cogedim. The Group has a various means of communicating its actions. Communication is adapted to each internal and external stakeholder to foster dialogue and follow-up over time. Altarea Cogedim s relations with stakeholders Registration Document Business and Sustainable Development Report "Actions " Newsletter "Retail by Altarea Cogedim" book "Business real estate by Altarea Cogedim" book Professional trade shows: MIPIM, MAPIC, SIEC, etc. "C est vous" Internal Altagreen Campaign "AlterEgo" Integration Days Fair targeting the general public: Real Estate Industry Forum Business and Sustainable Development Report Alterego le mag quarterly magazine AlterEgo.net Business and Sustainable Development Report "Rendez vous Retail" Newsletter "Retail by Altarea Cogedim" book Professional trade shows: MAPIC, SIEC, etc. Sales documentation for commercial programs Registration Document Business and Sustainable Development Report CSR rating agencies Corporate and real estate investors Current and future employees Retailers National and local authorities associations and NGOs Business and Sustainable Development Report Professional trade shows: MIPIM, MAPIC, SIEC, etc. Registration Document Business and Sustainable Development Report Financial press releases Banks, financial analysts and financial media General and real estate media Office and hotel users Suppliers and service providers Business and Sustainable Development Report CSR clauses in contracts Registration Document Business and Sustainable Development Report Press releases Clients, Housing, shopping centers and e-commerce website "Going Green" Booklet Sales documentation for residential programs Fair targeting the general public: National Real Estate Fair Shopping center website Business and Sustainable Development Report "Business real estate by Altarea Cogedim" book Professional trade fair: MIPIM Altarea Cogedim Registration Document 2013

18 CORPORATE SOCIAL RESPONSIBILITY CSR CONTEXT, GOVERNANCE AND STRATEGY Agency ratings and CSR awards Novethic Survey Since 2009, Altarea Cogedim has been evaluated in the NOVETHIC rankings of property developers and investors. The Group tied for first among developers (50%) and came in third among Property Investment companies (66%) in the 2013 ranking, which featured even more rigorous criteria. For the last three years, Altarea Cogedim has consistently ranked in the top three in NOVETHIC s rankings for both property developers and investors Global Real Estate Sustainability Benchmark (GRESB) The Group actively participates in the GRESB (Global Real Estate Sustainability Benchmark) survey program, the most important worldwide classification for evaluating the CSR strategies of Groups and real estate funds. On the basis of its 2012 publication, Altarea Cogedim received a score of 52% for its investment activity (172 nd out of 543) and 77% for new developments, i.e., 9 th worldwide (number one in France) out of 276 contenders Carbon Disclosure Project (CDP) In 2013, Altarea Cogedim also voluntarily participated in the CDP (Carbon Disclosure Project), the largest international ranking of the carbon strategies of major corporations. In its first time participating, the Group scored 90% in transparency and obtained a B in performance, putting the Group at the top of French retail Property Investment companies France Green Building Council (FRGBC) In 2013, the Group was honored in the first edition of the FRGBC Trophées de France with the award for eco-design Participation in sector-specific organizations Altarea Cogedim participates in outside committees and working groups, notably for the purpose of anticipating regulatory trends in the area of sustainable development, and exchanging best practices in the sector. Accordingly, in the area of sustainable development, the Group actively participates in the following organizations: CNCC (Conseil National des Centres Commerciaux), the French industry federation of shopping centers; FSIF (Fédération des Sociétés Immobilières et Foncières), the French property real estate association; FPI (Fédération des Promoteurs Immobiliers), the federation of real estate developers; C3D (Collège des Directeurs du Développement Durable), the French sustainable development officers group; the HQE association; France GBC. As part of the CNCC s Sustainable Development Commission, Altarea Cogedim participated with three other listed retail REITs to draw up the CSR Reporting Guide for Article 225 of the Grenelle II Law. This guide includes recommendations suited to the specificities of CSR reporting for the shopping center industry. These best practices are compatible with EPRA recommendations and will ultimately make it possible to standardize non-financial communication and verify published information. Moreover, Altarea Cogedim is a founding member of the Sustainable Real Estate Observatory (Observatoire de l Immobilier Durable OID), an independent association made up of public and private players in the commercial real estate sector and which aims to: publish statistical indicators representative of the energy and environmental performance of commercial real estate in France; offer OID members a benchmark for the energy and environmental performance of their real estate assets. Through its environmental data, the Group makes an invaluable contribution to establishing the annual environmental indicators used by the OID s Environmental Performance Survey for real estate assets in the lessor category. Registration Document 2013 Altarea Cogedim 155

19 5 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES 5.2. TRACKING TABLE AND SCOPES TRACKING TABLE ENVIRONMENT Unit Change 2010/ verification by EY 2013 Business coverage GRI G4 CRESS Environmental labels and certifications Property development Percentage of surface area or number of homes certified or undergoing the environmental certification process Retail property % 76% 100% +31.6% ü 100% Offices & Hotels % 80% 97% +21.3% ü 100% CRE 8 Residential % 41% 68% +65.9% ü 100% Property investment Percentage of surface areas with BREEAM IN-USE certification Retail assets at December 31 of the current year % 0% 30% NA ü 90% CRE 8 Energy efficiency Property development Percentage of surface area or number of homes surpassing the energy requirements of the thermal regulations applicable to each operations (RT 2005 /RT 2012) Retail property % 76% 96% +26.3% ü 100% Offices & Hotels % 77% 91% +18.2% ü 100% CRE 8 CRE 1 Residential % 42% 89% % ü 100% Property investment Primary energy consumption per m² Retail assets in the scope of reporting and constant climate kwhpe/m² % ü 84% CRE 1 Biodiversity and land management Property development Percentage of surface area having undergone an ecological assessment Retail property % ND 86% NA 100% Offices & Hotels % ND 26% NA 100% EN 12 Percentage of Residential programs for which the unbuilt surface area is equal to or greater than the footprint of the building Residential % ND 82% NA 100% EN 12 Property investment Score in the BREEAM IN-USE Land Use & Ecology thematic assessment Retail assets at December 31 of the current year % ND 17% NA ü 30% EN 12 Waste disposal and recycling Property development Proportion of the surface area or number of homes with a low nuisance charter Retail property % ND 100% NA ü 100% Offices & Hotels % ND 97% NA ü 100% Residential % ND 64% NA ü 100% EN 1 EN 2 Proportion of the surface area or number of homes with High-Performance or Very High Performance results on NF HQE target 6: Management of waste produced by operations Retail property % ND 100% NA 96% Offices & Hotels % ND 87% NA 95% EN 1 EN 2 Residential % ND 81% NA 47% Property investment Rate of sorting of recyclable waste Retail assets (current scope) % 30% 43% +45.9% ü 90% EN 23 Rate of waste recovery Retail assets (current scope) % ND 82% NA ü 90% EN 23 *Unless technically impossible or not approved by the investor. 156 Altarea Cogedim Registration Document 2013

20 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES 5 Objectives Deadline Trend Comment towards achievement For more information Materiality level Minimum of BREEAM Very Good certification for 100% of new Retail projects Continuous J Excellent certification level for new commercial projects across all types Capital Minimum* of NF Bâtiment tertiaire - Démarche HQE Very Good and BREEAM Very Good certification for 100% of new office projects. NF Bâtiment tertiaire - Démarche HQE certification for 100% of Hotel projects Continuous J Excellent certification level for new Office and Hotel projects. Stable compared to Capital NF Logement certification for 100% of new Residential projects outside the Paris Region. NF Logement - Démarche HQE certification for 100% of new Residential projects in the Paris Region Continuous J Good certification level for new Residential projects. The contribution of the Paris Region branch accounts for 63% of the total number of homes with environmental certification Capital BREEAM IN-USE certification for 100% of retail property assets included in the scope of reporting, minimum level of Good for initial certifications and Very Good for subsequent reassessments for the Management category 2015 J 6 assets with Good BREEAM IN-USE certification for the Management category in Capital Systematically carry out dynamic thermal simulations and achieve at least 50% improvement on 2012 Thermal Regulation consumption items 2014 J Excellent performance level for lessor and lessee scope energy items (green lease technical requirements) Significant Minimum level of HPE 2012 (RT %) energy efficiency for all Office developments 2014 J Very good energy efficiency level for new programs in the scope of reporting Significant Pilot programs with an HPE 2012, THPE 2012 and Effinergie+ energy efficiency level 2014 J Positive anticipation and adjustment to RT 2012 regulations, HPE 2012 and THPE 2012 labels pending Significant 22% reduction like-for-like in primary energy consumption for portfolio assets compared to J Specific energy audits for each site and proper application of energy consumption optimization initiatives Significant Broaden application of ecological assessments upstream of new projects Continuous J Good level of application for programs undergoing the BREEAM certification process More difficult to implement the approach for NF HQE certification alone L Significant Develop substantial green spaces in new projects Continuous J Good level of application Significant Establish a biodiversity action plan for 100% of assets in the scope of reporting 2015 L Initial results obtained in 2013, to be improved through implementation of a specific biodiversity action plan at each site Significant Broaden application of construction Charters to 100% of new commercial projects J Continuous Broaden application of low-nuisance construction Charters to 100% of new residential projects K Excellent level of application Significant New objective Significant Facilitate waste management and sorting for future occupants and users in all new projects Continuous J J K Very good level of application for programs with environmental certification Significant Achieve a rate of sorting of recyclable waste greater than 50% for the current scope 2015 J Gradual increase of sorting in sites and implementation of new categories of waste sorting (plastics, biodegradable waste, etc.) Significant Maintain a rate of energy or material recovery from waste greater than 80% for the current scope Continuous J Work with waste collection service providers to find waste processing methods allowing for recovery Significant Registration Document 2013 Altarea Cogedim 157

21 5 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES ENVIRONMENT (Cont d) Unit Change 2010/ verification by EY 2013 Business coverage GRI G4 CRESS Greenhouse gas emissions and carbon impact Group Bilan Carbone assessment, scopes 1, 2, 3 Development, Property investment, E-commerce, Corporate tco 2 e/employee 555 (2012) % 100% EN 18 Property development Bilan Carbone assessment, scopes 1, 2, 3 per m 2 Retail property kgco 2 e/m² 417 (2012) % 100% Offices & Hotels kgco 2 e/m² 606 (2012) % 100% CRE 4 Property investment Residential kgco 2 e/m² 629 (2012) % 100% Bilan Carbone assessment, scopes 1, 2, 3 per m² Retail assets in the scope of reporting and constant climate kgco 2 e/m² 8.9 7,6-14.4% ü 84% CRE 3 Average emission factor of visitors modes of transportation to shopping centers Retail assets (current scope) gco 2 e/visitor.km 108 (2011) Management of water risk Property development 92-15% ü 74% EN 17 Proportion of surface areas or number of homes with High-Performance or Very High Performance results on NF HQE target 5: Eco-friendly water management Retail property % ND 78% NA 96% Offices & Hotels % ND 63% NA 95% CRE 2 Residential % ND 78% NA 47% Property investment Water consumption in common areas per visitor Retail assets (current scope) L/visitor 0,74 1, % ü 90% CRE 2 SOCIAL Unit Change 2010/ verification by EY 2013 Business coverage GRI G4 CRESS Representation, diversity, social dialogue Group Employees Total headcount Number 767 1, % ü 100% G4-10 Gender equality Number of women in management bodies Number % ü 100% LA 12 Disabilities Number of employees with a recognized disability Number % ü 100% LA 12 Compensation and skill development Group Training Number of employees with a recognized disability Employee health and safety Group hours/ employee Absenteeism Total absentee rate % 6.5% (2012) % ü 100% LA 9 6.4% -2.0% ü 100% LA Altarea Cogedim Registration Document 2013

22 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES 5 Objectives Deadline Trend Comment towards achievement For more information Materiality level Carry out Bilan Carbone assessments, scopes 1, 2, 3 for all Group businesses Continuous J 2013 progress level consolidated, establishment of targeted action plans (Bilan Carbone construction carbon assessment, reduction of the transportation impact of portfolio assets and projects, reduction of CO 2 emissions associated with energy consumption of portfolio assets, etc.) Moderate Systematic use of Bilan Carbone construction assessments (scope 1, 2, 3) for all new programs with surface area greater than 107,500 ft² (10,000 m² net floor area) Systematic use of Bilan Carbone construction assessments (scope 1, 2, 3) for all new programs with surface area greater than 107,500 ft² (10,000 m² net floor area) 5 Bilan Carbone assessments (scope 1, 2, 3) carried out, corresponding to the 5 new residential development ranges Continuous Continuous 2015 K 3 Bilan Carbone assessments carried out on retail projects across all types (shopping center, Lifestyle Center, Family Village, RP) Moderate K 6 Bilan Carbone assessments carried out on office and hotel projects Moderate K Deadline extended, 3 Bilan Carbone assessments carried out on residential projects Moderate 24% reduction like-for-like in greenhouse gas emissions associated with energy consumption in portfolio assets compared to J Specific energy audits for each site and proper application of consumption optimization initiatives Moderate Enhance reliability of studies of customers modes of transportation and reserve parking spaces for hybrid and electric vehicles Continuous J Growing use of eco-friendly low-carbon modes of transportation Moderate Systematic use of water-efficient equipment in all new projects Continuous J Good level of application for new retail projects Moderate K K Installation of water-efficient equipment, difficulties associated with improvement of the leakage rate on the plot Maintain water consumption under 1.25L/visitor for the current scope Continuous K Precise monitoring of water consumption for rapid detection and repair of leaks and anomalies Good performance in spite of the increase in the ratio due to strengthening of fire safety systems in the shopping center category Moderate Objectives Deadline Trend Comment towards achievement For more information Materiality level Guide Group growth Continuous J Organization of two Crescendo Days to integrate new employees Significant Increase the proportion of women in management bodies Continuous J 51% of all employees promoted in 2013 were women Significant Double the number of disabled employees 2017 J Signature of the Diversity Charter, implementation of an in-depth advisory assessment in late Significant Increase the proportion of Business line courses Continuous J Creation of an e-learning office skills platform available to all employees Significant Implementation of an awareness-raising program for psychosocial risks 2016 J New objective Significant Registration Document 2013 Altarea Cogedim 159

23 5 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES SOCIETY Unit Change 2010/ verification by EY 2013 Business coverage GRI G4 CRESS Customer and user relations Property investment Proportion of green leases out of the total number of leases Green leases signed and not expired at December 31 of the current year % 6.9% 49.3% +614% ü 100% EN 7 EN 27 Urban integration Property development Percentage of surface areas or number of homes located less than 500 meters from a transportation network Retail property % 100% 100% +0,0% ü 100% Offices & Hotels % 94% 100% +6.4% ü 100% EN 30 Property investment Residential % 92% 99% +7.6% ü 100% Percentage o f sites located less than 200 meters from a transportation network Retail assets (current scope) % 73.1% (2012) Percentage of sites located less than 500 meters from a transportation network with waiting time under 20 minutes Retail assets (current scope) % 69.2% (2012) Professional ethics Group 72% -2% ü 90% EN 30 68% -2% ü 90% EN 30 Training and awareness raising for employees on concepts linked to corruption All employees identified as highly exposed / at risk Qualitative indicator ü NA SO 4 Standard application of a Code of Conduct for all Group businesses E-commerce Qualitative indicator ü NA SO 4 Procurement policy Group Incorporation of social and environmental clauses in contracts signed with suppliers and service providers Property development Qualitative indicator ü NA Property investment Qualitative indicator ü NA E-commerce Qualitative indicator ü NA EN 32 EN 33 LA 14 LA 15 SO 9 SO 10 HR 10 HR 11 Contribution to employment Group Number of indirect jobs supported during the year Number of indirect jobs Number 11,729 13, % ü 100% EC 8 Sponsorship and partnership Group Amounts allocated Cumulative amounts allocated Euros 940,000 2,140, % 100% EC Altarea Cogedim Registration Document 2013

24 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES 5 Objectives Deadline Trend Comment towards achievement For more information Materiality level Achieve a coverage rate for green leases greater than 65% for the portfolio as a whole 2015 J Standardization of green leases for new leases or renewals as of the first m² since 2010 Environmental information gathered by lessees at the OKABÉ shopping center Capital Systematic selection of new plots of land located less than 500 meters from a public transportation network (bus, tramway, metro, RER suburban train, main-line train) Continuous J J J Excellent application for selection of new plots of land Capital Incorporate the proximity to public transportation criterion in the strategy of purchase and sale of Group assets Continuous K Good level of connection to public transportation networks Work with the Executive Committee Capital Incorporate the public transportation waiting time criterion in the strategy of purchase and sale of Group assets Continuous K Good level of connection to public transportation networks Work with the Executive Committee Capital Train employees concerned by the various concepts of corruption, illegal acquisition of interest, delegations of power and potential related criminal liability risks Continuous J In cooperation with specialized agencies Capital Establish a code of conduct specific to the e-commerce business 2015 L 2013 deadline postponed to Capital Incorporate social and environmental clauses into 100% of contracts for 100% of new commercial projects Extend application of assessments of companies and service providers for residential programs Continuous General application of the environmental charter and appendices for 100% of contracts signed with service providers on sites included in the scope of reporting J Strengthen social and environmental clauses for 100% of contracts J J Incorporation of clauses relating to: undeclared work, construction site safety rules, worker health and safety, environmental certifications, etc. in standard form contracts in For residential projects, creation of an assessment matrix featuring 7 criteria approved by CERQUAL. This matrix was applied to companies in 2010, and to other service providers (architects, design offices, works management assistants, etc.) as of Application of the environmental charter and appendices for construction, maintenance and cleaning contracts as of December 2013 Incorporation of clauses relating to: counterfeiting, respect for human rights and labor rights, consumer health and safety, etc Significant Significant Significant Calculate the volume of indirect jobs supported at 100% by Group businesses on an annual basis Continuous J Initial calculation in Significant Commit to a sponsorship program in line with the Group s businesses and beliefs Continuous J 3-year renewal of the partnership with Habitat et Humanisme Moderate Registration Document 2013 Altarea Cogedim 161

25 5 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES SCOPE OF REPORTING AND GUIDELINES With the aim of comprehensively measuring the social, societal and environmental impact of its business within the broadest possible scope, Altarea Cogedim defines and specifies all of its scopes and reporting periods, thus making it easier for other stakeholders to fully understand its reporting. For greater transparency, the Group bases its reporting on the main national and international indicators and guidelines (GRI CRESS, EPRA, etc.) to facilitate data comparison Comprehensiveness of reporting scopes and guidelines used Reporting covers nearly all of Altarea Cogedim s real estate investment and development activities, as well as the operations of its head office. Given the particular characteristics of the e-commerce business, Rue du Commerce features complete social reporting. CSR reporting coverage rates demonstrate the comprehensiveness of this exercise compared to financial reporting. Comprehensiveness of Altarea Cogedim s non-financial reporting CORPORATE PROPERTY DEVELOPMENT PROPERTY INVESTMENT SOCIAL STANDARD GRI CRESS Internal definition ("Reporting methodologies," section 5.6) GRI CRESS EPRA recommendations CNCC CSR Reporting guide GRI CRESS PERIOD September 1 of the previous year to August 31 of the current year January 1 of the current year December 31 of the current year January 1 of the current year to December 31 of the current year January 1 of the current year to December 31 of the current year SCOPE OF ACTIVITY HEAD OFFICE 88,780 ft 2 (8,248 m 2 ) useful space RESIDENTIAL 234 programs 18,704 homes OFFICES & HOTELS 22 programs 3,928,750 ft 2 (364,997 m 2 ) Floor area or net floor area RETAIL 5 programs 2,117,000 ft 2 (196,691 m 2 ) Floor area or net floor area RETAIL 6,954,500 ft 2 (646,107 m 2 ) GLA GROUP (Development, Property investment, E-commerce) 1,286 employees REPORTING COVERAGE 100% 100% 100% 100% 87.1% (in surface area) 91.0% (in value terms) 100% Compliance of reporting with national and international guidelines In its drive to ensure transparency and a durable environmental reporting process, Altarea Cogedim used the National Council of Shopping Centers (CNCC) sector-specific CSR reporting guide to establish its internal reporting guidelines and non-financial communication. The CNCC guide, published on July 9, 2013, sets out reporting recommendations suited to the shopping center industry following publication of Article 225 of the Grenelle II Law governing corporate non-financial communication. These recommendations are perfectly compatible with the Best Practices Recommendations for Sustainability Reporting of the European Public Real Estate Association (EPRA), released in September 2011, as well as with the sector-specific GRI 4 CRESS (Construction & Real Estate Sector Supplement) Reporting period To ensure consistency with financial reporting, the Group chose, whenever possible, to base its environmental reporting on the same period. Nevertheless, regarding measurement of environmental data for buildings used by the Group (corporate scope), the constancy of data and the length of calculation processes require that we apply a different period (September 1 of the reference year to August 31 of the following year) to comply with the completion schedules of our regulatory documents Description of environmental reporting scopes Scope of reporting for corporate activities The scope of corporate reporting includes environmental data from the head office of Altarea Cogedim, located at 8 Avenue Delcassé in the 8 th arrondissement of Paris. This data was managed either directly by Altarea Cogedim (waste) or by the owner of the building (water, energy, CO 2 ) and transmitted to Altarea Cogedim for annual (or more frequent) follow-up Scope of reporting for development activities (new developments) For its Property Development business, the Group developed indicators to assess the true quality of its production for a given year. As such, the Group chose not to establish indicators based exclusively on operations begun or those that have been delivered, as both configurations would provide only partial information on the developer s production. They would thus not include operations in progress that were neither launched nor delivered within the year in question. A development year includes operations launched through new building permits, operations under construction that were launched in previous financial years and are to be delivered in subsequent financial years, and operations that were delivered in the course of the year. Likewise, it seemed relevant for us to be able to place all 162 Altarea Cogedim Registration Document 2013

26 CORPORATE SOCIAL RESPONSIBILITY TRACKING TABLE AND SCOPES 5 these projects within the scope of a single indicator that would be perfectly consistent and comparable with the financial and operational activity of the development business. That is why the Group selected a scope allowing indicator calculations to include office, residential, retail and hotel development projects with a building permit (provisional or permanent), under construction or delivered during the reference year. Due to the small number of hotel projects under development, office and hotel data have been combined so that the CSR reporting covers all new Altarea Cogedim developments. Method of accounting for new developments in the scope of reporting FY 2013 DEVELOPMENT PROGRAMS Building permit Construction work Delivery Building permit Construction work Delivery Building permit Construction work Delivery PROGRAMS ACCOUNTED FOR The Residential property indicators are consolidated in terms of number, while office, retail and hotel property indicators are consolidated in terms of net floor area for building permits subject to RT 2000 / 2005 thermal regulations or floor area for building permits subject to RT 2012 thermal regulations. For better understanding of indicators concerning the development operations, the Group chose to use the same recognition method for each project type, each environmental certification and each energy label. However, key dates for granting of certification may vary depending on the various asset types and environmental certifications. Please see details of the different dates in the diagram below. Key dates for granting of environmental certification/energy labels by asset type OFFICES & HOTELS RESIDENTIAL Building permit Construction work Completion Delivery RETAIL RESIDENTIAL, OFFICES & HOTELS HPE, THPE, BBC energy labels Description of the reporting scope for investment activities (existing assets) Scope of ownership The scope of ownership includes all French assets for which Altarea Cogedim ownership is not nil. Assets included in this scope are those that have been held for at least 12 months in the reference year. As a result, any acquisitions or disposals made during the reference year are excluded from the scope of ownership. Sites undergoing construction during the reference year are included in this scope unless they are completely closed for at least one month in the reference year or if the gross leasable area is greater than 20%. Scope of current reporting All assets included in the scope of ownership are also included in the scope of current reporting with the exception of: Sites not managed by Altarea Cogedim and therefore for which the Group has no operational control; Sites on which no Altarea Cogedim representative carries out onsite management. Scope of overall reporting The scope of constant reporting is defined as all assets included in the scope of current reporting that have been held throughout the period under review, i.e., 48 months for the period. All disposals and acquisitions carried out during the assessment period are excluded from the overall scope. Due to the portion of the total portfolio it represents, the Cap 3000 shopping center is included in the scope of constant reporting for the period under review. The vast majority of data dating from before the acquisition of the center are known, thus limiting values to be estimated. All assets included in the scope of reporting and the overall scope even partially-owned assets are recognized in full if Altarea Cogedim manages them directly. Furthermore, assets directly managed but not owned by the Altarea Cogedim Group are excluded from the scope of current and overall reporting. Registration Document 2013 Altarea Cogedim 163