pg. 95 Sustainability Statement Integrated Annual Report 2025 SUSTAINABILITY STATEMENT CLIMATE CHANGE AND DECARBONISATION (CONT’D) CLIMATE RISKS AND OPPORTUNITIES (CONT’D) The REIT identified several physical and transition risks that impact its operations, financial performance, and the wellbeing of its employees and stakeholders. Based on the identified risks, the REIT developed mitigation measures to counter them while also identifying opportunities that can be capitalised on to strengthen its position. Transition Risks Potential Impact Opportunities Time Frame Policy and Legal Potential carbon tax and pricing implementations • Higher operating costs to maintain compliance due to more stringent environmental regulations and standards In addition to complying with potential upcoming regulations, we tap into a new market and stay abreast of regulatory development Medium to long term Technology Barriers in the implementation of new technologies and lowcarbon processes • Higher capital expenditures for new technologies, including solar panels and smart building solutions, that optimise energy consumption and decarbonises our portfolio • Additional costs to adapt existing processes to align with emerging standards Investments in low-carbon and energy-efficient technologies reduces our GHG footprint and positions us to be a leader in sustainable property management Short to medium term Market Evolving market conditions and customer demand • Rising costs contributing to lower revenue • External economic events such as recessions that lower property values and rental income, increase vacancies and unproductive properties, and other financial challenges Showcasing our sustainability commitment and implementations to differentiate us from competitors and attract environmentally aware clients Short term Reputation Reputational damage as a polluting or lagging organisation in portfolio decarbonisation • Climate-resilient and sustainable properties remain a top priority for investors and tenants. Failing to meet these expectations could result in dissatisfaction and reputational harm • Infrastructure failure or disruptions caused by climate events reduce the brand perception and reliability of our portfolio, potentially leading to dissatisfaction and loss of market share, tenants, and investors Developing low-carbon and climate-resilient implementations prevents impacts from occurring and strengthens our image as a responsible and reliable REIT Long term
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