Environmental, Social and Governance (ESG)
Allied made a commitment to submit formally to independent scrutiny of its ESG performance by 2020. The most important single step was to obtain a GRESB (formerly Global Real Estate Sustainability Benchmark) Assessment and to provide an annual ESG Report. These reports identify strengths and opportunities for improvement at Allied. What is most important is that they will assist the Board and Management in establishing rational priorities going forward and provide benchmarks for measuring improvement.
We believe environmental, social and governance sensitivities are an integral part of Allied. They flow from Allied’s evolution as an organization focused on the provision of distinctive urban workspace and network-dense urban data centre (UDC) space in Canada’s major cities.
Long before going public, Allied focused on the adaptive re-use of older structures built over a century ago for light-industrial purposes. The goal at the time was not to minimize the impact on the environment. Rather, it was to meet what was rightly perceived to be a growing need on the part of users of workspace for environments that would assist them in attracting, motivating and retaining knowledge workers. Nevertheless, by re-cycling buildings rather than re-building them, Allied minimized the impact on the environment. This evolved into greater sensitivity as to the environmental impact of its activity.
Again long before its initial public offering (IPO), Allied concentrated its properties in specific urban
areas. The goal at the time was not to make a social contribution. Rather, it was to meet what was rightly perceived to be the need on the part of users of workspace to grow in amenity-rich, mixed-use urban communities. Nevertheless, by aggregating buildings in this way, Allied became sensitized to the impact on the surrounding communities in which it operates. Allied began to see its buildings as part of a larger urban ecosystem and to acknowledge its responsibility to the surrounding community as a whole.
Finally, the launch of Allied’s IPO in 2003 increased its sensitivity to governance. The sensitivities at the time were predominantly financial and operational, but as Allied evolved and attracted unitholders globally, the sensitivity to a broader conception of governance increased. Allied’s Board and Management began to see governance as something that could strengthen the business significantly.
Allied’s Board and Management are committed to making the inherent approach to ESG more manifest, deliberate and measurable. They have always believed that submitting to informed scrutiny will make it
a better business, and formally submitting to ESG scrutiny is no exception in this regard. The Board and Management look forward to your feedback.
On December 2, 2020, Allied published its inaugural Environmental, Social and Governance (ESG) Report. Allied obtained a GRESB Assessment for 2019, which was published by GRESB on November 24, 2020. Allied received a score of 64, which was recognized by GRESB as a “strong first-year showing”. Allied intends to obtain a GRESB Assessment and to provide an ESG Report on an annual basis.
On December 8, 2020, Massey Hall announced that Allied made a landmark contribution to the Massey Hall Revitalization. This transformative support expands the project’s original scope and introduces Canada’s premiere multi-purpose performance facility, Allied Music Centre, home of historic Massey Hall. This partnership with Massey Hall will enable Allied to contribute meaningfully to its communities over an extended period of time. It will also enrich the experience of the many creative organizations and people who use Allied’s urban workspace across the country.
Green Financing Framework
In February 2021, Allied released its Green Financing Framework under which it intends to issue green bonds, green loans, and/or other financial instruments. Read more about Allied’s Green Financing Framework and Sustainalytics’ Second-Party Opinion.
Allied’s framework for governance balances the interests of stakeholders across the company. It is established by applicable legislation, including the following key documents below.
MANDATES & POLICIES In our first annual report (2003), our Chairman, Gordon Cunningham, described our governance philosophy as follows: “Being in compliance with the mechanics of governance rules provides the appropriate framework of good governance, but doesn’t ensure it… Good governance is ensured by having in place people, whether trustees or management, who have the skill sets to run a business, the intellectual capacity and business experience required to understand the issues and risks facing that business, the time to invest to ensure that information provided is understood, and the integrity to stand up and be counted, should anything not pass the reasonably prudent man’s litmus test.” This remains an excellent description of our governance philosophy.
- Trustees’ Mandate
- Role & Mandate of the Chair
- Mandate of the CEO
- Governance Compensation and Nomination Committee Terms of Reference
- Audit Committee Terms of Reference
- Disclosure Policy
- Insider Trading Policy
- Whistleblower Policy
- Code of Business Conduct
- Advance Notice Policy
- Majority Voting Policy
- Accessibility and Customer Service Policy
We strive to ensure good governance by utilizing the talents and accumulated experience of a board of nine trustees, seven of whom are independent, and by encouraging open, ongoing and productive discussion between trustees and management and between management and the investing public.