GECINA - REFERENCE DOCUMENT 2017

07

FROM CORPORATE RESPONSIBILITY TO SUSTAINABLE PERFORMANCE Societal impact and materialization of value

SOCIETAL IMPACT AND MATERIALIZATION OF VALUE 7.1

and thus contribute to the energy and environmental transition of the locality. Consequently, Gecina's influence is shown to be significant for four UN Sustainable Development Goals (SDG): SDG 3 “Good Health and Well-being”, by the capacity of ■ its buildings to be healthy, comfortable and productive living and working spaces (see section 7.3 “Priority 1: Generating productivity and well-being for the occupants of adaptable buildings” and 7.7.8 “Safety and control of risks”); SDG 7 “Affordable and Clean Energy” and ■ SDG 13 “Climate Action”, by the ongoing improvement of the energy efficiency of its operating portfolio, the development of renewable energy in its energy mix, the use of bio-sourced or reused materials, and the involvement of its clients and suppliers in the overall performance of its assets (see 7.5 "Priority 3: To reduce environmental footprint by a resource-efficient and carbon-neutral building"); SDG 11 “Sustainable cities and communities”, by its ■ choice to be established in the urban areas and the contribution to their dynamism by promoting the accessibility of its buildings for all people and the diversity of uses (residential, student residences, businesses and offices) on a territory-wide basis (see 7.4 “Priority 2: Energizing the construction of a sustainable city by developing biodiversity and accessibility for all people”). EXPECTATIONS Gecina identified eight stakeholders groups according to their degree of importance and their direct or indirect relations with the company: Government and local authorities, customers who are tenants and real estate users and investors, local communities and associations and NGOs, suppliers, investors and financial partners, employees, rating agencies and analysts, peers and competitors and professional associations. If these stakeholders contribute to Gecina’s strategy (see 1.1 “Gecina's fundamentals”), the environmental, social and societal impacts of its activity generate expectations among them. Since 2013 the process has consisted in: identifying the expectations of each category of ■ stakeholders from a direct or indirect dialogue with each of them ( via the Stakeholders’ Committee organized by a third-party, information watch, dedicated studies, etc.); evaluating the magnitude of Gecina’s impacts on these ■ categories of stakeholders and each other; proposing partnerships on the issues that require a group ■ approach. STAKEHOLDERS AND THEIR 7.1.2

7.1.1

GECINA'S BUSINESS MODEL AND ITS ENVIRONMENTAL, SOCIAL AND SOCIETAL IMPACTS

Gecina’s activity generates environmental, social and societal impacts specific to its business model, its strategic positioning and the location and characteristics of its property portfolio. These impacts are analyzed for each step in Gecina’s business: investment, design, construction or restructuring, operation and then possibly the disposal of assets. All of these elements are described in chapter 1.1 “The fundamentals of the new Gecina”. The various factors below therefore influence the evolution of the societal footprint of Gecina: Gecina's position on the so-called PRIME office buildings ■ segment calls for consideration, as early as possible in its activities, of emerging non-financial issues (e.g. occupant well-being of adaptability of the assets); the lifetime of an asset (at least 50 years) requires taking ■ into account the long-term, non-financial issues, progressively integrated in regulations, such as energy performance (Grenelle laws, the Energy Transition Law for Green Growth), the reduction of carbon footprint (National Low Carbon Strategy), biodiversity and the impact of the building on the comfort and well-being of its occupants (work in progress on Thoughts on 2020 Responsible Buildings ); the strategic choice for development of its activities in ■ urban areas that are already dense and the intermediate size of its assets moderate the specific contribution of Gecina to the development of these territories, as well as its impact on biodiversity and urban sprawl; the significant portion that the real estate sector ■ represents in national energy consumption (40%) and the average energy consumption of Gecina’s operating portfolio which, given its intrinsic characteristics (average age and architectural specificities), tends to be greater than that of more recent portfolios, strengthens the relative impact of its energy performance and its carbon weight; Gecina’s business model and its positioning as an ■ ordering customer make its direct social impact lower than its environmental and societal impacts. In 2015, a detailed analysis of its societal impact shows a major contribution in terms of indirect and induced employment (10 times greater than the number of its employees) and of capacity for influencing suppliers (VSEs accounting for 40%). Likewise, the indirect emissions of greenhouse gases generated by the operating services are significant since they equate to those of the energy consumption of its assets; the strategy for overall value creation called “total return” ■ leads Gecina to acquire buildings, often older, to redesign

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