LCOR is firmly committed to its intrinsic and societal responsibility of minimizing the environmental impacts resulting from the development and operation of our communities.
Being good stewards of the environment and our communities lays the groundwork for our continued responsible growth and financial success. Aligned with our philosophy of building “best-in-class” properties that deliver lasting value, we have integrated sustainability principles and objectives into all aspects of our core business strategy by formalizing our enterprise-wide sustainability strategy in 2022.
A message from the CEO:
On behalf of LCOR, I am pleased to present our second annual Sustainability Report which highlights our continued commitment to integrate sustainability objectives into all aspects of our business.
Our sustainability journey began over a decade ago with the integration of innovative sustainable construction techniques into our properties, supporting our philosophy of building best in class properties that deliver lasting value.Over time, we established subcommittees, partnered with industry experts, formalized a holistic sustainability strategy, and participated in the annual Global Real Estate Sustainability Benchmark (GRESB) survey. Through the execution of our sustainability strategy, we have defined a path of continuous growth and improvement, bolstering the financial and environmental resiliency of our assets.
In 2023, we advanced our sustainability objectives, expanded partnerships, and achieved recognition from industry-leading organizations.2023 highlights include:
Submitted our second GRESB survey response, achieving our second consecutive GRESB Green Star and significantly improving year-over-year performance.
Conducted our first Materiality Assessment to identify topics that are material to our organization, our stakeholders, and the environment.
Expanded our New Development Sustainability Standard to include detailed, step-by-step protocols and guidance for our development teams and partners to ensure sustainability considerations are evaluated for all new development projects.
Continued to make progress toward our performance targets.
Completed a community-scale geothermal heating and cooling system in Coney Island and continued work on our second geothermal heating and cooling system in New Rochelle, New York, highlighting our commitment to renewable energy.
Conducted portfolio-wide and asset-level climate risk assessments in partnership with CalSTRs and RCLCO leveraging Munich RE’s Location Risk Intelligence platform to assess the physical impacts of climate change and natural hazards.
Achieved additional green building and health and well-being building certifications for our communities.
Aligned our sustainability strategy with the United Nations (UN) Sustainable Development Goals (SDGs) to support a sustainable future that benefits all.
Continued to support our DEI efforts by conducting annual assessments of diversity-related hiring metrics, performing annual employee compensation assessments to ensure pay parity, implementing annual DEI training, and promoting a diverse pool of employees.
Supported a variety of community organizations in our markets focused on key social issues including food inequality, senior care, childhood poverty, cancer research, homelessness, and affordable housing.
I am very proud of our talented and hardworking team who worked diligently this past year to advance our sustainability strategy and make meaningful progress towards our goals.We look forward to building on this momentum as we seek new opportunities to raise the bar and strengthen the resilience of our organization.Thank you to our clients, investors, partners, and communities for your continued trust and commitment to LCOR as we strive to achieve our ambitious goals and further our commitments to sustainability.
Anthony Barsanti
Chief Executive Officer
2023 Sustainability Report
Review the full report here.
Recent Sustainability Initiative Highlights
Sustainability in Construction
In 2023, we expanded our Sustainability Standard for New Developments to include detailed guidance for our development teams and partners to ensure we consistently design sustainable and resilient communities aligned with our corporate sustainability objectives.
Many of our communities have obtained or are working towards Fitwel certification to show our dedication to health and wellness. Fitwel is an international building standard that encourages healthier work and living spaces to enhance the well-being and productivity of those who use them. Created by the U.S. Centers for Disease Control (CDC) and General Services Administration (GSA) and now administered by the Center for Active Design (CfAD), Fitwel offers a research-based approach to designing and managing healthy buildings. As the Fitwel standard develops, we will keep using the framework to create communities that enhance our residents' health and overall quality of life.
All development projects are designed to LEED Building Design & Construction (BD+C) standards to ensure minimum design and operational standards adherence. We are incorporating large geothermal heating and cooling systems into three new development projects in the NYC metropolitan area.
Sustainability in Operations
The transition from construction to operations is a crucial step in operating an efficient and healthy building. Following this transition, we continually monitor energy and water usage, perform annual on-site energy- and water-efficiency evaluations, and evaluate equipment upgrades for more efficient options. This is all done with the goal of reducing greenhouse gas emissions. LCOR tracks and reports its emissions from activities such as burning natural gas and fuel oil on-site for heating and backup power (Scope 1), as well as the electricity and heating/cooling produced off-site by local utilities (Scope 2). Going forward, we will endeavor to measure emissions related to resident energy use, construction projects, and our supply chain (Scope 3), while staying aware of changes in GHG reporting frameworks.
Certification highlights
As part of our broader sustainability strategy, LCOR pursues a green and/or healthy building certification at all development projects to valid our commitment to environmental performance and health and well-being. All new communities are designed and constructed to LEED Building Design & Construction (BD+C) or equivalent standards to ensure adherence to minimum environmental standards. Since 2012, LCOR has achieved LEED certification for 11 development projects, Fitwel certification for 5 development projects, and are currently pursuing additional certifications (i.e., LEED, Fitwel, WELL) for various projects currently under development.
Case Study – 1515 Surf, Coney Island, NY
LCOR is dedicated to being environmentally friendly. At the 1515 Surf Avenue construction site in Coney Island, we are building a 463-unit residential development. We are partnering with EcoSave USA to install a geothermal heating and cooling system, which we received a grant for through the NYSERDA pilot program. The geothermal system will use heat from the earth to heat and cool the buildings and provide hot water. It will be the largest in New York, reducing greenhouse gas emissions by 60% compared to traditional systems. This will help the community meet future emissions standards in New York City.
LCOR is committed to providing affordable housing with 139 units for people of all income levels. The community is conveniently located near the beach and the Coney Island-Stillwell Avenue transit station, making it perfect for those who want an active and healthy lifestyle. Residents will enjoy low utility costs, an outdoor pool with an ocean view, a fitness center, lounges, co-working spaces, and indoor basketball and handball courts. The community will also have a "Vertical Boardwalk" that overlooks the beach, with social spaces and gardens that bring the community together. Construction of the project will be finished in 2024.
Supporting Local Communities & Urban Alliance
We take great pride in our commitment to being good stewards of the communities where we live, work, and serve. From partnerships with local charities and volunteer organizations to expanding affordable housing opportunities, LCOR strives to support diverse and vibrant communities where all can thrive. We encourage our coworkers to support our communities and to seek opportunities to make a difference in the lives of others. In 2023, our team supported a variety of community organizations focused on key social issues like food inequality, senior care, childhood poverty, cancer prevention and cures, homelessness,
and affordable housing.
Since 2019, LCOR has partnered with Urban Alliance on their Property Management Pathway Program. Focused on workforce development, the program introduces local youth from communities of color to upwardly-mobile, living wage careers within the real estate industry. From dressing professionally to filing a maintenance report, the program provides real-word experience for students transitioning into part- or full-time work after graduation.
