Commitment to Sustainability
During 2018, Franklin Street Properties continued its focus on environmental, social and governance (ESG) actions. We believe that commercial real estate provides us with an opportunity to benefit the environment, while also reducing portfolio risk and improving portfolio quality.
We are pleased to report continued progress on the GRESB Real Estate Assessment. GRESB is an industry-driven, global benchmark that evaluates the performance of real estate firms on key areas of participants' ESG programs. FSP was again awarded the designation of Green Star, recognizing achievement for both the Implementation & Measurement and Management & Policy dimensions of the benchmark. We received a GRESB rating of four out of five stars, which is indicative of FSP's quintile position relative to all GRESB respondents.
While GRESB looks at real estate companies at the portfolio level, FSP also uses two key tools to assess our asset-level sustainability performance: the EPA's ENERGY STAR program and the U.S. Green Building Council's Leadership in Energy and Environmental Design (LEED®) rating system. Over 80% of our combined owned and asset-managed portfolio (as measured by rentable square feet), has earned the ENERGY STAR label, demonstrating energy performance in the top 25% of buildings. Regarding LEED, over half of the rentable square footage in our portfolio, either owned or asset-managed by FSP, has been awarded LEED certifications under one of the LEED rating systems.
Additional information regarding FSP's initiatives may be found via the ESG section on our website www.fspreit.com. We look forward to continuing our ESG progress for the benefit of all stakeholders.