CHIEF EXECUTIVE’S STATEMENT business, with a focus on extending our two distinctive These targets are widespread across our portfolios, and hotel brands into other cities through hotel management we see this as the right time to fully engage with our agreements. We will be expanding in Shenzhen with our tenants about sustainability. Tenants increasingly have new House hotel in the Shenzhen Bay Area, which is their own ESG commitments, and we are providing tools targeted to open in 2025. The hotel will be within a key and support to help them achieve their goals. commercial hub, and will help meet the growing demand for luxury accommodation in Shenzhen. We launched the Green Performance Pledge (GPP) earlier this year, a tenant-landlord collaboration where We are also excited to be bringing a new House hotel to we will work with tenants to optimise their fit-out and Tokyo, marking the debut of The House Collective brand renovations, gather data and identify opportunities in outside China. The hotel will be located within the iconic their operations to help them continuously improve their Shibuya district and will introduce the brand’s distinctive sustainability performance. The GPP will also feature a design and exceptional service to a new market. sustainable office furniture service, where tenants can access premium and re-used furniture products, with an Our premium residential brand has opened the door for aim to contribute to Hong Kong’s circular economy. This new opportunities in Hong Kong and South East Asia. We is in addition to our Green Kitchen Initiative, where our are making good headway on a pipeline of new projects teams work closely with our retail food and beverage in Hong Kong, including developments in Wong Chuk tenants during the pre-fit out process, to reduce their Hang, Wan Chai and Chai Wan. Our investments in energy and water usage and improve their waste Jakarta and Ho Chi Minh City are also on track, whilst we management practices. continue to explore new opportunities in South East Asia. Our leadership work in sustainability is also reflected In Miami, retail sales continue to grow, thanks to strong in our digital transformation. Since 2020, our new domestic demand. ventures department has helped to accelerate the adoption of emerging technologies for our business, and manages a US$50 million corporate venture capital Leadership in Sustainability and fund to invest in promising technology start-ups around Digital Innovation the world. By engaging with thought leaders and scouting innovative new technology, we aim to make prudent Since launching our Sustainable Development 2030 financial and strategic investments with a view to helping Strategy in 2016, we have demonstrated a deep level our business grow. of commitment and ambition to be a sustainable development leader in our industry. We ranked number one in Asia and seventh in our industry globally in the Celebrating 50 Years of Success Dow Jones Sustainability World Index last year, and we are building on these accomplishments with very The festivities for our “ORIGINAL. ALWAYS.” 50th aggressive targets intended to help reach the global anniversary campaign will continue throughout 2022. 1.5˚C decarbonisation goal. We are very proud to be celebrating this milestone with our teams and the many stakeholders who have played a crucial role in our success. 14 Swire Properties Limited Interim Report 2022